Immediate payment of invoices to help remove book debt from the balance sheet.

Provides

Simple and effective method of removing book debt from the balance sheet.

Benefits

Enables a business to receive immediate payment for invoices thus reducing debt on the balance sheet.

Enables risk sharing of the debtor book.

Provides simple, secure and flexible export trading.

How

When an invoice is raised to a debtor, notification is made to us and we purchase the invoice at an agreed discount. The facility is confidential and the business retains its relationship with the customer, collecting the debts as our agent. When the customer makes payment it is banked for our account.

Coface assumes the risk of customer non payment or late payment. All other risks remain with the business.

Costs

There are no fees. We earn our income by purchasing the debts at a discount. The rate is dependent on the cost of money, the price of insurance and the tenor of the debt.

Optional Extras

Collection services. Coface has a worldwide network of offices able to provide collection in addition to credit insurance worldwide.

Frequently Asked Questions

Q. Isn’t this just discounting bills of exchange?

A. No. Bills of exchange require the intervention of the customer. The bill has to be raised, sent to the customer for acceptance and then returned before it can be discounted. The payment date must be set and then special arrangements need to be made for presenting and collecting. This facility is much simpler in operation and does not require the customer’s participation.

Q. Is credit insurance with Coface UK essential?

A. The debts are purchased without recourse in the event of non payment. The facility has in-built insurance and a separate policy with either Coface UK or a different provider is superfluous.

Why wait? Turn your unpaid invoices into ready cash now. Contact us for further information.