In 2016, Funding Societies launched our second product, Invoice Financing. Through Invoice Financing, businesses can realise their unpaid invoices sooner. This allows them to put more cash towards business growth. Unlike a business term loan, you are not taking on any additional debts. You are simply freeing up money owed to you, for the service you have already delivered to your clients.
Recently, Funding Societies announced the launch of Invoice Financing V2.0, an upgrade of our existing product, to provide SMEs with more flexibility and support in improving their cash flow.
With Invoice Financing V2.0, SMEs can expect:
- Cash upfront for their invoices
- Up to 80% of invoice value
- No collateral required
- Quantum up to SGD 1 million
- Pro-rated interest on a daily basis
To help you better visualise the improvements we’ve made, let’s deep dive into Invoice Financing V2.0’s fresh new features:
1. Pro-rated interest on a daily basis
For regular invoice financing, interest rates are fixed to the invoice amount and loan tenor, and will not differ even if you or your clients repay early. Funding Societies’ Invoice Financing V2.0, on the other hand, pro-rates interest on a daily basis, providing SMEs with savings for early repayment. For example, if your clients were to repay a 100-day Invoice Financing in 90 days, only a 90-day interest will be charged, saving you a total of 10 days of interest!
2. Flexible Loan Tenors
For most Invoice Financing products, your loan tenor is fully dependent on your invoice terms, regardless of early or late repayments. In reality, however, companies often struggle with late invoice payments from debtors. With Invoice Financing V2.0, Funding Societies takes into account the client’s receivables aging history and offers up to 120 days tenor to provide SMEs greater flexibility and cash flow assurance through their invoices.
With your interests in mind, Funding Societies is dedicated to improving our products to better serve your financing needs.
Invoice Financing V2.0 is crafted to help business owners like yourself have greater confidence in your business’ cash flow and provide SMEs with a quick turnaround option to fund operations and capture opportunities.
Funding Societies now takes into account invoices’ aging history for the approved loan tenor and also provides more ﬂexibility for early repayment that would incur zero interest for the remaining invoice days!
Never miss out on another opportunity with Invoice Financing V2.0!
Unsure? Still hesitating? Live chat with us today to find out more!