Aldermore Business Confidence (ABC) enables small businesses with a turnover of up to 500,000 to access and utilise cash tied-up in unpaid invoices. There are no set-up or administration charges and both the servicing and discounting fees are fixed for two years from inception.

Whats Included With Your Fixed Fee Factoring Facility:

CHAPS payments and online access to Aldermores factoring system are included in the monthly fee and ABC customers also qualify for a free copy of Sages Instant Access Account software. Payment level is up to 80% of a valid invoice and all clients are given Free online access and management system.

Take Advantage of Fixed Fee Invoice Factoring here and get a free appraisal today.

While these figures are encouraging it doesn’t necessarily paint the whole picture as a lot of small to medium sized businesses are still finding trading conditions very tough. With a lot of companies justtreadingwater stagnation in theeconomyseems to be one of the biggest issues facing UK plc.

Davenham refers to its announcement on 28 March 2011 in which the company confirmed that, in order to extend the steady platform from which to continue the run-off of the groups loan book for the benefit of the groups banking syndicate, the banking syndicate had extended the maturity of the groups on demand bank facility from 31 March 2011 to 30 September 2011.

Following discussions between the banking syndicate and the company, the banking syndicate has (following the expiry of the term of that facility on 30 September 2011) informed the company that it will not be extending or renewing that facility and has demanded immediate repayment.

Given that the group is unable to repay the amounts due to the banking syndicate following the expiry of the term of the facility, the board has concluded that it should appoint administrators.

The administrators will work with the existing management team to complete the run-off of the groups loan book in a prudent and orderly manner. The run-off to date has seen the group meet (or exceed) the financial milestones set by the banking syndicate as part of the run-off process.

If you have a finance agreement with davenham finance please contact us and we will do our best to explain what your options are.

Total advances from members currently stand at 15.7bn, showing strong year on year growth of 12%. This growth comes on the back of continued growth in advances over the past five quarters and shows that UK and Irish firms are increasingly opting for this type of finance over other forms of lending.

The latest figures also show invoice finance clients are again choosing not to access all of the funds available to them. Total available funds this quarter were 22.2bn, with 6.5bn of finance available but not drawn.

Of the total funding provided by members, SMEs received almost 40%, or just over 4bn this quarter. A decreasing gap in the level of advances between SMEs and businesses with turnover above 100m suggests a growing confidence amongst SMEs as they get comfortable with increasing debt levels. This is supported by total clients sales growing 14% over the past year to reach 59bn.

The latest ABFA economic report also shows that export and import factoring have both grown substantially, enjoying a year on year rise in client sales of 48% and 47% respectively. This leap in demand for import and export factoring indicates that while the UK market remains sluggish, clients are looking to customers outside of the UK to buy their products, and are choosing this type of finance to help facilitate overseas trade.

Credit protection payments by ABFA members to their clients have also continued to decline, dropping by 27% over the last year to total 4.9m, consistent with the UK wide trend of lower default rates on loans and a stable rate of write offs. Together with the shortening average debtor day numbers both these factors reflect one of the key product benefits of asset based finance, namely introducing firmer debtor disciplines.

Phillip Evans, Director at Enable Corporate Strategies Ltd. “The report from ABFA is inline with our experience as we are seeing our clients with growthaspirationsturning to invoice finance as one of their key enablers for growth. Used properly invoice finance is a very viable funding solution as part of the overall business finance package.”

Kate Sharp, chief executive of the Asset Based Finance Association, said: The figures in our new economic report indicate growing business confidence amongst invoice finance clients, both SMEs and larger firms. This contrasts markedly with the general negative sentiment concerning the state of the wider UK economy and a general contraction in the stock of lending.

Firms using invoice finance are seeing rising sales and are continuing to have access to an ample supply of finance. With total client numbers rising by 244 in the last quarter, the invoice finance sector is providing much needed finance to many UK and Irish businesses and is, and will continue to be, a significant contributor to supporting the wider economic recovery.

source: businessmoney.net

NACFB Survey 2010/2011:

• Total commercial lending to SMEs via brokers up by 14% year on year
• BUT overall lending still remains only at 44% of total at the peak of the market
• Invoice finance increases for the fourth year running, now double of that in 2007
• Buy-to-let mortgage lending increases by 46% but this follows huge drops in previous two years.

TheNational Association of Commercial Finance Brokers (NACFB)has released the results of its latest annual survey of its members. Chief Executive of the NACFB, Adam Tyler, commented: We have continued to see the SME community struggling to raise funding and being faced with increased costs. Our latest figures reveal the true position of both excellent and vulnerable businesses across the whole of the UK. Despite many lenders protestations that they are lending more than ever, these figures reveal what anecdotal evidence has already shown: that funding for businesses is still very hard to access, but it has improved. Whilst we are very pleased to report that there is an increase in lending over the last twelve months, this is now coming from a wider variety of lenders and is also being lent in a real variety of ways

He continued: Commercial Mortgages rose by just over 6% and Asset Finance went up by 3.5%, however short term lending rose by a whopping 180% over the last year. Our asset finance brokers in particular have struggled to find funders, but there has been an increase in the number of smaller lessors coming into the market. To try and fill some of the gaps in funding we have seen over the last few years. It is pleasing to see an increase in Development Funding of 103%, our members have been helping provide the cash needed by developers to build much needed new residential housing stock.

The increase in invoice finance for the fourth consecutive year shows that our members are seeking more cost effective borrowing where they can for their SME customers, as overdrafts limits are reduced but costs have increased. We have more than doubled the amount of invoice finance facilities we have been setting up and this is now just short of 1billion of new business in the last 12 months

Adam Tyler added: Around 90% of small businesses bank with the four main high street banks; when it comes to borrowing SMEs are now reaching out to a wider variety of lenders. NACFB members have access to 68 different providers of business finance for their clients. Businesses dowant to borrow; theydowant to grow. A recent survey of SMEs showed that only 16% had applied to their banks for borrowing, of which one third were rejected. These businesses need to feel confident when they are considering borrowing, and the NACFB now receives ever increasing numbers of introductions for new business from a plethora of different SME trade bodies. Our members are now sourcing new lines of funding and this is helping the SMEs in the UK to grow and invest

This takes the total value of loans on its books to more than 800 million and total assets to more than 1 billion.

Ian Wilkins, group managing director of commercial finance at Aldermore, said: “At a time when the big banks are falling short of their business lending targets, Aldermore is exceeding all expectations.

Aldermore offers specialist financial support to SMEs which enables them to purchase assets such as plant and equipment, improve their cashflow and acquire business premises.

In July, Aldermores Invoice Finance business made over 130 million of funding available to SMEs which is an increase of 42% over the same period last year (the invoice finance market has grown by less than 10% over the same period). At the same time, its Asset Finance business, which only started lending last year, boosted the banks balance sheet by 100 million, with 32 million of new loans being written last month.

In a recent survey by Bibby Financial Services, the UK largest independent invoice finance provider, it has been revealed that almost a quater of allbusinessessurveyed (24%) reported that trading conditions are worse than a year ago.

27% Feel that they are only just surviving or are forced into cutting costs or rationalise trading operations.

With 35% of businesses commenting that they do not expect the economy to recover for at least another 3 years.

Grim picture for business confidence.

• Almost one in four (23%) businesses have not seen any signs of recovery
• Nearly a quarter (24%) of firms believe a loosening of lending criteria would most help to stimulate economic recovery.
• More than three quarters (79%) of businesses have not applied for any external funding in the past 12 months.

Take advantage of alternative sources of business finance.

Despite the perceived doom and gloom the, Factor Index, Q2 research shows 39% of businesses across the UK are hopeful for the future. With regional breakdown showing levels of optimism rising as high as 70% in East Anglia and around the 50% point for many areas.

If you are looking to grow your business and are needing finance to helpachieveyour goals please visit our business loans page and request a free and risk free quote.

The focus of our 2011 edition has been to keep things simple and try and give a better userexperience so our web developers have made better use of video content. This will certainly become a major deliver method for our business advisors.

We have alsorevisitedour products and services offering and will belaunchingthe following over the next couple of weeks:

• Unsecured Business Loans – from 5,000 to 75,000.
• New range of overseas mortgages for buy property abroad.
• Access to a large range of Overseas Property for sale and investment strategies and solutions to buy them.
• A new range of specialist Corporate Finance – Funds from 500k through to 150 million.
• New Commercial Mortgage Lenders.
• A new Invoice Finance product specifically designed for the construction industry.
• Excellent and really useful business tools to help business growth and efficiency.

The total number of insolvencies fell by 12.5% during February compared to the same month last year – from 1,834 in February 2010 to 1,605 in February 2011 bringing the rate of insolvencies down from 0.10% to 0.08%.

The overall financial strength score of UK businesses continued to improve, from 81.18 in February 2010 to 81.60 in February this year. The score also saw a small month-on-month improvement from 81.49 in January.

For more posts on business loans Click the asset finance link

Scotland saw the greatest improvement with the lowest insolvency rate at 0.06% in February, while Wales saw the biggest increase to the rate of insolvencies rising to 0.11% from 0.08% in February 2010.

Yorkshire was the worst performing region with a rate of 0.13%, while Greater London continued to be the region where businesses had the lowest financial strength score at 80.51.

These Figures Conflict With Retailers Under Pressure Form Insolvency

However, last month saw a disturbing jump in the number of retail companies at high risk of going under, according to a report by RSM Tenon. The number of companies deemed to be at high risk of insolvency jumped by 4% in March compared to the month before, and jumped 2% compared to this time last year. The increase was the second in two months, reversing the positive trend that lasted nearly a year, bringing worrying news for the UK retail sector.

The news follows the announcement by the British Retail Consortium which reported its worst fall in sales since records began in 1996 with a drop of 1.9% in March compared to the same period last year.

This robust growth has taken place in a general environment of low economic growth (only 1.8% across the EU 27) and demonstrates the importance of the factoring and commercial finance industry in funding and supporting the development of business, both domestic and international.

Admittedly this growth is against the back drop of Banks have less appetite for their traditional bank lending facilities such as overdrafts. However, this reluctance to lend is requiring Business Owners to look at the alternatives and furthermore Directors are seeing that invoice finance is a very credible alternative.

For more posts on invoice discounting Click the link

An Invoice Factoring facility could be an ideal funding solution for any business that sells products or services to another trading business.

• Fund Sales Invoices up to 90%.
• Track Sales your funding grows inline with your sales growth.
• Flexible Facility draw down as and when you need the additional working capital.
• Similar Interest Rate Costs to an overdraft.
• Available to New Start Businesses.
• Flexible Terms No extended tie in contracts.

If you are interested in a Risk Free invoice finance quote click here.

The above Research: Five countries made up 80% of the total EU market share: United Kingdom, France, Italy, Germany and Spain. The level of factoring penetration in terms of GDP increased from 6.5% to 8.0%