Factoring Blog, 1st April 2016
As well as being Fools Day today sees the start of a new year for Factoring Partners.
Originally established in the Autumn of 1996 I would love to say with complete certainty how many deals have been referred and written since then but this cant be done following the great Apple Mac to PC switch over about 10 years ago which resulted in the loss of early years records.
What can be said with certainty is that business has been written with over 40 different funders with clients ranging from the new start to the established, covering a wide range of sectors.
Facilities include commercial property and asset finance but by far the majority have involved invoice finance. I remain a strong believer in the strength of invoice finance facilities to support businesses given they offer flexible, cost effective, appropriate alternatives to the historically more conventionally available borrowing facilities.
The role of the invoice factoring broker has changed dramatically since 1996 with changes largely attributable to the internet. The broker plays an important part as long as the broker is independent and experienced. The internet muddies the water as it allows web skilled people the opportunity to harvest enquiries and then scatter them in an arbitrary manner. Enquiries this way are not necessarily going to the most appropriate funder so the enquiring company is not always best served.
Give Factoring Partners has a very limited web presence via Google the above is a significant challenge.
As a matter of interest on this day in 1996 Bank of England Base Rate was 5.9375% and as regular blog readers will know I believe this to be nearer to a far more sensible level than the current 0.5%.