Working Capital Solutions, The Solution To Slow Payment

As Christmas and the holiday season approach, we tend to see that some of our customers are struggling to meet their monthly payments, which may be understandable at this time of the year, but doesn’t help us meet our own commitments. For those who haven’t already done so, this is an excellent time to be thinking of meeting with an invoice financier, before the holidays catch us up. Edward McKee Wright is the founder and CEO of Working Capital Solutions, a locally owned business financier based in Auckland. Working Capital Solutions are a specialist invoice financier offering the full suite of invoice finance products, from the purchase of single invoices to large, undisclosed invoice finance facilities.

Creating a successful business is one of the most meaningful and rewarding adventures a person can have, but it is also the loneliest and most difficult and testing journey we will ever go on. Many small businesses fail, this is a fact, but when they do succeed, they become an enduring expression of the founder’s vision. At Working Capital Solutions they understand the unique difficulties a business owner will have and they respect their struggle while celebrating their success.

Another fact is that 90% of New Zealand businesses turn over less than one million dollars and employ less than five people. These businesses are generally overlooked by traditional finance companies and banks. Working Capital Solutions specialises in small businesses and they have realistic expectations and aim to make the finance process a simple one for the small business owner. Though invoice finance has only recently become popular in New Zealand, it is the oldest and most prevalent form of business funding used throughout the world. With invoice finance, debtors on a company’s balance sheet are converted to cash and paid to the company in the form of a flexible overdraft. The overdraft is paid by the debtors of the company and new funds are re-drawn as new invoices are produced.

There are several reasons to choose invoice finance and one of the most significant is that businesses can use invoice finance on top of their other borrowing facilities. Also, funding is based on sales and not on a fixed limit that must be reviewed continually. The main thing is that the company’s debtors are the security and there is no requirement for external property security and they are not bound by the financial covenants and red tape of a traditional overdraft.

Don’t let the Christmas period catch you out, go to http://www.workingcapital.co.nz today.