This comparison service is provided by Touch Financial Support Ltd.
Touch Financial is a leading UK invoice finance broker which works to help businesses find the right products for their needs. They compare invoice financing services from a range of different lenders, aiming to find the one that best suits the needs of their business customers. Touch Financial consultants look at the profile of each business, including cash flow, accountancy needs, and any other specific requirements, to match them with the most appropriate invoice finance provider and product. Touch Financial is a trading name of SFP Brokers Limited, authorised and regulated by the Financial Conduct Authority (FRN: 727220). Touch Financial is a broker not a lender.
Hitachi Capital Invoice Financing FAQs
Who is Hitachi Capital?
Hitachi Capital (UK) PLC is a financial services company that was established in 1982 and is owned by the Hitachi Capital Corporation. It provides a wide range of funding services to businesses across the UK, from SMEs up to multinational corporations.
What is Hitachi Capital invoice financing?
Hitachi is just one of many lenders providing invoice financing, a product which allows businesses to borrow against the value of their invoices. You might require this service, if you wish to make investments in your business, but lack sufficient cash flow at present. Hitachi provide a number of invoice finance types and even offer a trial period for new clients.
Is invoice financing a form of debt?
No, as with any other lender, Hitachi invoice financing incurs no new debts, as invoice financing is actually a form of sale. You sell your invoices, whether they’re unpaid or outstanding, and a lender provides a cash injection, based on a percentage of the invoices.
Is invoice financing with Hitachi quicker than seeking a loan?
Yes, invoice financing with Hitachi or other lenders can be faster than if you sought an actual small business loan, as you would be using your loans as collateral. In comparison, conventional loan applications can be time-consuming, as you have to be assessed based on creditworthiness, in order to incur new debt.
How long must I wait for invoice financing to come through?
At most, Hitachi invoice financing should ensure that cashflow takes no more than a few days to come through, as this kind of financing product is often marketed as a way of freeing up money for cash injections at short notice, when you lack sufficient funds, to begin with.
Does invoice financing carry some fee or charge?
Yes, Hitachi invoice financing can carry a fee, as it would with other providers. This is subtracted from the value of the money you wish to borrow from invoices. It is rarely more than a small percentage of the invoice values.
What is invoice factoring?
With invoice factoring, you sell invoices to a factoring company via your provider. The factoring company handles incoming invoices, allowing the lender to make a cash injection to your business.
What is invoice discounting?
Invoice discounting serves as a more discreet form of invoice financing - it lets you take responsibility for those invoices, without requiring the provider or a factoring company to liaise with your clients in the process.
Is invoice financing helpful with late payment?
Yes, a large number of businesses use the invoice financing Hitachi and other lenders provide, specifically to overcome cash flow issues directly caused by late payment of invoices. The benefit of using these kinds of products is that you can receive cash injections before invoices have actually come through fully.
Can I be found liable for late payment in any way?
Only if you specifically signed a recourse agreement with your lender. Under this agreement, you absorb the risk and ultimately pay the value of invoices back to your lender, if clients fail to pay. Non-recourse agreements require the lender to absorb the cost instead, but they might charge you a higher fee to compensate.
Where can I compare invoice financing products?
Touch Financial serves as an ideal means to compare and contrast Hitachi invoice financing products with those from other providers. If you’d like to have the benefit of Touch Financial’s advice, follow the instructions at the top of this page in order to be put in contact with one of their trained consultants today.
Services offered by this provider may change over time. Always check Ts&Cs.