With COVID-19 taking its toll on businesses throughout the country, JobKeeper became a lifeline for many companies and their employees. As cash flow dried up and employers were forced to make the hard decision on scaling back, the JobKeeper subsidy became a safety net for more than 3.5 million Australians.
Jobkeeper was never intended to be a permanent solution and the tap could be turned off in less than 5 weeks. With more than 1.5 million workers still receiving the subsidy today, businesses need to start seeking alternative funding solutions such as debtor financing to ensure they have sufficient cash flow to continue to run their business.
Use Debtor Financing To Cover The Gap
Debtor financing eases the strain on your cash flow by allowing you to convert sales invoices into immediate cash, rather than waiting 30, 60, or even 90 days, for your clients to pay their invoices.
This helps keep cash moving through the business, so you can pay your employees, manage your ATO obligations, meet operating expenses, and even grow during this challenging time.
With the JobKeeper payment potentially coming to an end, having a more predictable cash flow stream could be the difference between retaining or losing some of your best workers.
How Does Key Factors Debtor Financing Works?
Key Factors debtor financing gives you quick access to money you have already earned in 3 simple steps:
- Invoice your clients as normal, and send us copies of invoices you want to be funded.
- Key Factors will credit your account with up to 80% of the invoice value, in as quick as 4 hours.
- We will transfer you the remaining 20% less any accrued fees when your client pays us.
When you use Key Factors debtor financing, you are working with a company that has over 31 years of experience in helping Australian businesses improve their cash flow.
Who Does Debtor Financing Suit?
We help small to medium businesses, including start-ups, cover the gap of slow-paying clients and manage their cash flow needs.
Companies benefiting from Key Factors debtor financing generally have a high level of customers on accounts and have an average monthly turnover of $50,000 or more.
Businesses that have a growing pipeline or need to turn their business around by improving their cash flow, should also look into debtor financing.
With the uncertainty of the JobKeeper subsidy potentially ending, seeking alternative funding solutions to cover the gap should be a high priority for businesses right now.
Benefits of Key Factors’ Debtor Financing
If you are looking for a fast and flexible business finance solution, you should speak to our team to explore the following benefits in working with us:
No Hidden Fees: We are transparent about fees from the start so there are no nasty surprises. Use our funding calculator to work out how much funding you can get and how much it is going to cost.
No Property Security: Use your accounts receivable and not your family home to finance your business.
No Lock-in Contracts: Use us when you need us and leave us when you don’t.
No Quarterly Audits or Intrusive Shadow Software: You retain the freedom to run your business, while we help to manage your factored accounts and funding requirements.
Fast Approval: Don’t expect to wait weeks for approval. We aim to get back to you within 24 to 48 hours of receiving your application.
Fast Funding: Invoices are processed the same day and funding of invoices can occur in as quick as 4 hours.
Flexible Funding: Use debtor financing as much or as little as you’d like to meet your cash flow needs. We allow selective factoring so you are not required to finance all of your invoices.
Since 1989, Key Factors has grown to become one of Australia’s leading debtor finance companies. We are independently owned with offices in Sydney, Perth, Melbourne, and Brisbane. We work with businesses Australia-wide in a range of industries including recruitment, labour-hire, manufacturing, wholesale, transport, business services, and more.
Our personalised financial solutions are tailored to meet your unique needs, and our friendly cash flow experts are always on hand to assist you at every stage of your business journey.
We understand the challenges small and medium businesses are facing, particularly during these uncertain times. Contact us today by calling 1300 884 100, to discuss how you can turn your unpaid invoices into cash and immediately improve your cash flow.