No need to wipe those spectacles, you read it right! For eligible SMEs, we're now offering an innovative, high-tech funding solution based on competitive pricing and plenty of flex.
Sound good? With no fixed-term contract, you could the unlock capital in your outstanding invoices with a flexible line of credit from £25,000 - £1,000,000 through a paperless platform seamlessly integrated with your accounting package.
This solution provides more automation than traditional finance facilities, syncing with your accountancy software and generating a real-time credit limit based on the value of your eligible invoices. Your available limit is adjusted as invoices are raised and paid.
OK but what are the costs?
Borrow what you need, when you need it and only pay for what you use on limits of £300,000 or less. Facilities over £300,000 are subject to an annual fee of 1.5% (against the facility limit), which is payable monthly in arrears.
For limits £300,000 or less:
Rates range from 4.5% - 8.5%
No arrangement fee
For limits over £300,000:
Rates range from 1.5% - 6%
No arrangement fee
Interest is calculated daily and charged monthly with no exit fees or minimum monthly charge.
Any other good stuff?
The platform also has two-way data sharing, which makes reconciliation seamless. A customer pays an invoice into your account and you'll see it appear in your accounting software instantly. There's no requirement for data entry, or uploading invoices, giving you time back to focus on your business.
In addition, credit approvals can take as little as 48 hours with funds made available just 2 hours later (subject to business hours).
How is this different to Factoring?
Typically, a factoring provider will purchase your invoices and take over collections. Therefore, your customers will be aware you’re using a factoring service as they’ll be in direct contact with the provider.
This solution is fully confidential, sitting in the background whilst you remain in charge of collections.
Is my business eligible?
If your business meets the following criteria then absolutely, this product could be the solution you've been waiting for:
Trading for 6 months or more
Have an annual turnover greater than £100k
Limited company or limited liability partnership (registered in England & Wales)
Invoices other businesses i.e. B2B
Invoices once the work is complete (no staged invoices or applications for payment)
Your business must also currently use one of the following software packages:
Sage 50
Sage Business Cloud
Xero
Quickbooks Online
Oracle (Netsuite)
KashFlow
FreeAgent
All looks good to me, so what's next?
If you like what you see and wish to explore this funding solution further, please get in touch with the team at KeySME today - We can talk you through the mechanics, costs and benefits to your business!
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