Invoice Factoring Saves and Grows a Cabinet Making Business
An entrepreneurial cabinetmaker in a major Australian city had a successful and growing business. He had the opportunity to take on some new major contracts but did not have the finance or working capital to fund his business growth and expansion.
It was likely that he was not going to be able to take on these new contracts, which would have been an opportunity missed because they represented a potential “game-changer” for his business growth plans.
He went to nearly all the main banks and finance companies. None of them were prepared to offer any financial support. Finally, a finance broker who was unable to assist him through a bank or other business finance options introduced him to Nova Cash Flow Finance. This was his last chance to take on these lucrative contracts.
Nova Cash Flow Finance was able to offer a cash flow finance solution through factoring his invoices. They also found an innovative way to verify the work was completed. The unpaid sales invoices for work verified as completed could be used as security to release more working capital into the cabinetmaking business. This meant that they could meet payroll, rent, and other expenses.
The new client was able to turn his $300,000 on the debtor ledger into cash flow for his cabinet-making business. He was able to engage new staff, take on new work, and eventually larger jobs confident in the knowledge that he would be able to pay his bills when he needed to. By using the receivables finance facility he had in place through Nova Cash Flow Finance he went from distress to success.