Letting the cash flow
Article Abstract:
UK companies are increasingly recognizing the advantages of factoring and invoice discounting as a means of releasing working capital and improving cash-flow. The total sum factored in 1997 was 15.4 billion pounds sterling, 15% more than in the previous year. Invoice discounting increased by 19% in 1997. The factoring process is particularly useful to small firms. It involves a factoring firm paying most of the sum due on an invoice immediately it is sent by a company, then deducting a fee when the debt is collected. Larger companies benefit from invoice discounting.
Publication Name: The Director
Subject: Business, international
ISSN: 0012-3242
Year: 1998
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It's about time
Article Abstract:
The UK government will introduce legislation during 1998 which will permit small businesses to charge interest on late payments. Late payers include small firms and government departments as well as large firms, but experts estimate that outstanding debts owed by large firms to small UK firms usually amount to about 20 billion pounds sterling. The Federation of Small Businesses will also publish a league table of organisations which habitually make late settlements of invoices.
Publication Name: The Director
Subject: Business, international
ISSN: 0012-3242
Year: 1998
User Contributions:
Comment about this article or add new information about this topic:
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