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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Tom Atkinson |
| Date: | Friday, 30th Jul 2010 18:02 |
| Views: | 5 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Hi Bootlace,
Re "What pitfalls should I look out for and what questions should I ask ?" Click on www.cashsimply.com (or the link on this page) and then on "Hidden Charges". That will give you some good deas as to what to look out for and what questions to ask.
Re "Can anyone recommend any invoice discounting or factoring companies who are flexible in their approach with no horrendous T&Cs or tie-ins and willing to deal with 1 man bands ?"
Yes. Us. We do more than both.We fund and also do all the backoffice. We have won awards for both payroll and back office. I believe we are the only invoice funder to have done so. One man band new starts are our core business. Unlike many, we are happy to deal with Sole Traders. Tie in is one year Temps (3 month for Perms) but with a 3 month Quality Guarantee which allows you to get out without penalty if we fail to deliver what we promise in the first 3 months.
Horrendous T&C's? Well you must legally assign the debt to us and we must be sure that the T&C's are legally sound to perfect our title to the debt and grant us power of attorney in case we have to take a debtor client to court. Also we shall want your ID allowing us to comply with the Fraud + Money Laundering Act and require you to comply with the Data Protection Act. There are limitations re self billed invoicing and for the CIS and re foreign currencies but we have mechanisms for dealing with them.
Depends what you mean by "Horrendous" I guess. If you mean set up fees, minimum turnover requirements, concentration limit funding reuctions, low levels of funding, invoices having to be in our name instead of yours etc etc, well there's none of that as you will see from the web site and of course there are no "Hidden Charges"
I hope that helps. Call to have a chat with our Sales Director or call me if you would prefer to do that. Tom.
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Factoring Solutions |
| Date: | Sunday, 1st Aug 2010 06:54 |
| Views: | 5 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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I'm afraid that most factoring / invoice discounting / payroll companies have extensive terms and conditions for their protection but most of the independents would be willing to deal with one man bands as long as they are home owners.
Ian
Factoring Solutions |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Factoring Solutions |
| Date: | Wednesday, 4th Aug 2010 09:41 |
| Views: | 2 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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I'm afraid that most funders whether traditional factoring companies or payroll funders like Cash Simply have tie ins that can make it expensive to exit early if you wish to do so for any reason.
Some funders also claim to offer 100% funding which is often not the case as they omit to say that it's 100% of approved debts and if they don't approve the debt there is no funding at all.
I am currently talking to several companies who thought that they were getting 100% funding but in reality get nowhere near that.
Ian
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Tom Atkinson |
| Date: | Wednesday, 4th Aug 2010 14:08 |
| Views: | 2 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Hi All,
Just an word or two to clarify the incorrect assumption/statement about Cash Simply.
Cash Simply is not a "payroll funder". Cash Simply is an invoice funder i.e. it funds against your invoice - and is nothing like the New Millennia (their invoice to client) model.
Cash Simply does not and never has provided funding for payrolls; unlike for example the now defunct Wageroller or Smartflows of the world. (The latter of which we provided an internal non -funded payroll service for).
What Cash Simply does do is provide the best comprehensive invoice finance, back office , bad debt protection and mamagement reporting service in the recruitment industry. (Management reporting is even better than the new on line reporting stuff recently launched by a competitor - although to be fair their presentation of their weaker reporting is rather good and we shall learn from that).
So to sum up. Cash Simply is NOT a payroll funder. If you want a payroll funded, please go elsewhere.
Hope we are all clear on that now. Tom. |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Factoring Solutions |
| Date: | Wednesday, 4th Aug 2010 17:58 |
| Views: | 3 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Whether Cash Simply is a payroll funder or invoice funder they still only fund on approved debts and I have been contacted by several of their unhappy clients who are not being funded to the levels that they anticipated.
I have made alternative arrangements for three of them but they first have to pay hefty early termination fees before their accounts can be transferred to a traditional factoring company.
Ian |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Tom Atkinson |
| Date: | Thursday, 5th Aug 2010 10:08 |
| Views: | 3 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Hi All,
My thanks to Factoring Solutions for the opportunity to clarify..
Firstly Re "Whether Cash Simply is a payroll funder or invoice funder " is not in debate. It is beyond doubt.
Please see above. In case missed, I reiterate Cash Simply DOES NOT FUND PAYROLLS IT FUNDS INVOICES. I hope that is clear for all to understand including Factoring Solutions.
Secondly Re "I have been contacted by several of their unhappy clients who are not being funded to the levels that they anticipated".
Provided debts are within credit limits and less than 3 months old, Cash Simply provides 100% of the invoice funding.
The above is absolutely clear in contract and indeed, Report Simply has a risk centre updated daily that can be accessed 24/7 by Cash Simply customers from anywhere in the world. It warns both of over credit limit trading (N.B. credit limits are advised before trading commences) and when debts become older than 60 days and then provides two unique things. Firtsly, access to the credit control notes so that appropriate action can be taken by the agency to help get payments in before 3 months and protect their cash flows. Secondly, a countdown calandar showing how many days are left before that debtor affects cash flow.
For information, debt protected credit limits are obtained from a reputable credit rating agecncy acceptable to credit insurers - we currently us Graydons - and as stated above these are both advised BEFORE trading commences and tracked on Report Simply with warnings through the click on "Risk Center" on a daily basis, with a countdown calandar. Therefore, if reductions in funding were not "anticipated", then I can only suggest that if this is a true statement, those referred to must be contractually, financially and web illiterate.
Re "hefty early termination fees before their accounts can be transferred to a traditional factoring company".
This is absolutely correct. We honour contracts and do not terminate customer's contract early. We expect no less from our customers. Unlike others,Cash Simply does not charge any upfront nor "set up" fees nor minimum nor turn over charges: in fact no hidden charges at all. We do all the background and set up work for nothing and rely upon the length of the contract to recover our investment. Nevertheless, we also operate a 3 month quality guarantee where any customer can get out without penalty in the first 3 months simply by telling us why and clearing the book debt.
On average 2 in 3 customers who leave us fail in the following year. It will be interesting to see how the three mentioed get on.
I hope the above is sufficient clarification to remove the confusion and allusions above but just in case not I repeat - Cash Simply does not fund payrolls. Tom. |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Bootlace |
| Date: | Thursday, 5th Aug 2010 10:37 |
| Views: | 1 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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I'm not quite sure what you mean by 'funding payrolls' Tom ?
Surely that is exactly what invoice discounting is for ?
I am not interested in offloading the debt as my client is not likely to go under. I am only interested in the cashflow situation so I can pay my contractors on time |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Tom Atkinson |
| Date: | Thursday, 5th Aug 2010 11:31 |
| Views: | 2 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Hi Bootlace,
Invoice discounting is a mechanism for releasing cash against the security of invoice debt. In its purest form, confidential invoice discounting, the arrangment is not seen by debtors, the funder does not manage your sales ledger and you can spend the cash as you like; so if you choose not to spend it on patyrols that is your choice.
There are companies that fund against payrolls. Cash Simply is NOT one of them. In fact Cash Simply not really care how much your temp payroll is as long as the cost of it does not exceed the related invoice values.
Cash Simply funds against invoice debt like normal factors.
Unlike normal factors however, instead of simply paying away funds to to you for you to pay away to others (except the fee which the factor will have paid away to itself) , Cash Simply makes things easy by paying away directly to your temps/contractors (inc VAT if applicable and e mailed pay slips for PAYE if required) HMRC for PAYE as your agent (If applicable) and the fee to us and of course the balance to you less the above sums paid away to others on your behalf. This is all accounted for by superb reporting and means that not only is it done for you but you cannot inadveratently spend PAYE sums due to HMRC for example.
This mechanism improves our security and allows us to provide 100% invoice funding compared with lesser percentages paid by others. It also reduces 1st year new start up failure rate to below 1 in 20 compared with the norm of 1 in 2.
The caveats are of course that client debt does not exceed the credit limit for that client and debt age does not exceed 90 days. If it does, then funding levels reduce.
I hope that explanation helps. Tom. |
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Paul Dewick |
| Date: | Thursday, 5th Aug 2010 13:54 |
| Views: | 2 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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Hi,
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Liberate your business from inflexible solutions, personal guarantees, minimum costs and debt underwriting. There is a Synergy solution for your agency - we work with start-ups, growing and established agencies.
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| Reply To This Thread |
| Re: invoice discounting / factoring |
| Author: | Richy M |
| Date: | Thursday, 5th Aug 2010 14:22 |
| Views: | 2 (excluding Digests and RSS feeds) |
| Category: | Other | | URL: | http://web.ukrecruiter.co.uk/forum/Forum/read.php?i=210172 |
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I've been a Cash Simply customer for over a year and think their service is excellent.
If there were or are any dissastified customers with Cash Simply I would assume they had unique situations as Cash Simply is a very straight forward and helpful service.
Everytime I have had an issue it has been resolved by Martin & Pauline immediately.
Some of my clients have not been funded but to be honest their credit checks came back high risk as they had turned over losses in the year before and even when this happened with one of my clients Cash Simply helped me work around things as they know the recruitment industry very well.
I think with all these things its different strokes for different folks but if Cash Flow is a problem Invoice Factoring is your solution and Cash Simply are one of the best. |
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