North East Business News

Issue 121

Many established SMEs know invoice finance – but outdated perceptions still get in the way. Here’s how modern facilities remove hassle and support growth. Most established businesses have heard of invoice finance. The resistance usually lies elsewhere: it’ll be a hassle; it’s only for firms in trouble; it’ll spook customers; it’s expensive. These views stem from older, clunkier models and a very different banking era – but they don’t reflect how modern facilities actually work. Today, invoice finance supports thousands of UK businesses, yet many owners still default to loans, overdrafts or cards simply because they feel more familiar. The backdrop hasn’t eased. Long payment terms and late invoices continue to tighten cashflow for SMEs, and government consultations on payment practices reflect the scale of the challenge. Even so, uptake of invoice finance remains lower than its practical value – driven more by perception than product. Misconceptions – and the…