- 19 Nov
Invoice Finance Can Help New Starts & High Growth But Most Can't Access Funding
Looking back over two recent surveys one of 100 new start businesses and our most recent survey of 100 high growth businesses (20%+ pa) and there are a number of interesting similarities. Both segments, new starts and high growth companies are ideal for invoice finance funding such as factoring & invoice discounting but in both cases the vast majority of companies don't find their way to invoice finance and the reasons they give are quite similar:
Why 96% of New Starts Didn't
Consider Invoice Finance
Why 84% of High Growth Companies
Didn?t Consider Invoice Finance
Didn?t think it was an option 39% 34% Hadn't heard of it 25% 24% Heard it was expensive 23% 12% Wasn?t Offered 14% 27% Though it was last resort for failing companies 0% 4%
The results above show that the issues are common between the two segments, new starts and high growth. Both are ideally suited to invoice finance as a method of funding their business but in both cases the majority either thought it wasn't an option for them (for a variety of reasons see my previous posts), hadn't heard of it or said that it wasn't offered to them as a product option.
There is a huge opportunity here for the invoice finance industry.