How Independent and Impartial is their Advice?
The role of the independent factoring broker is supposed to be to advise companies and introduce them to most appropriate factoring company with the company being safe in the knowledge that the advice given is impartial due to the independence of the broker.
All that changed a few years ago with the acquisition of one of the largest factoring brokers in the country by the Bibby Factors Group so presumably their advice can no longer be considered to be impartial.
Additionally the last few years has seen considerable growth in the number of new factoring brokers setting up who are owned by insolvency practitioners and who are known within the industry for only introducing new business leads to those factoring companies that will reciprocate with lucrative insolvency business for them.
Factoring Solutions provides an ethical broking service get advice from us, an Independent Factoring Broker
Most companies, assuming that all factoring companies are the same, will take the simplest route and sign up with the subsidiary of their clearing bank without first establishing whether or not there are more suitable options available. Unfortunately unlike most other financial facilities, factoring is the provision of finance geared to a service and that service element is not only highly important but equally highly variable from one factoring company to another and in very general terms the big bank owned factors do not rank well in the service stakes with one even outsourcing it’s credit control function to India.
Factoring should be straightforward but in reality it isn’t and as we have very real concerns with the way that some factors operate we have set out details of the possible pitfalls in the following pages including such matters as “Why some factors offer such a poor service” and “Why the cheapest quote often works out much more expensive in practice”
There are no charges for our services as they are free so for an informal, friendly chat with an expert, please contact Factoring Solutions now on 01827 707680 safe in the knowledge that we will only ever introduce you to one of the factoring companies that perform as well as they claim – all completely free of charge.