Factoring Solutions Blog News, views and gossip from the world of factoring, invoice discounting and trade finance

It has been announced that the parent company of Cattles Invoice Finance have put it up for sale and we understand that they are hoping to conclude a deal by the end of the year.

It is always a difficult time for the clients of a factoring company that has put itself in the shop window as they try and tidy up their portfolio as many of what they consider to be borderline cases are often terminated and others may see their rates increased in an effort to make the portfolio look as healthy as possible.

Needless to say until matters become clearer we cannot recommend Cattles Invoice Finance to any of our clients as we don’t know what the future holds for them.

Ian

Posted under cattles invoice finance

Although it seems that the big bank owned factoring companies are feeling the pinch at the moment the level of enquiries being received by Factoring Solutions is still being maintained.

It is traditional in times like this for the larger companies to tighten up their own liquidity by slowing down payments to suppliers and this in turn is causing the smaller companies to look to factoring or invoice discounting to free up their own working capital.

We are also noticing an increase in enquiries from clients of the less efficiently run factoring companies as their poor credit control policies have an even more painful effect on cash flow than usual.

When economic times are tough there are still winners and this time it is the more service oriented factoring companies who are doing better as they are the ones receiving the benefit of clients transferring from their poorer performing competitors.

Ian

Posted under factoring