Invoice Finance - Case Studies

Four funding solutions, four different challenges

How we're helping clients right now

At GoodFX, no two funding requirements are ever quite the same. Our team, with over 90 years of financial services experience, understand this intuitively;  Every business has its own contract structures, growth plans, and cashflow pressures, and that means every solution has to be built around the client rather than pulled off a shelf. That is why we work with a panel of over 60 different lenders to ensure each situation is met with a tailored solution. 

Here are four live cases from our current pipeline, each showing a different side of what cashflow funding can do. Across multiple different industries, and from multi-million facilities to springboards for  day one start-ups. 

CASE STUDY

Consultant | Healthcare Trust contract

Consultant working on a contract with a Healthcare Trust came to us needing funding against stage payments and applications for payment. The initial requirement was modest: funding against a contract worth £80k.

But this was about more than solving today's problem. Over the next 12 months, the same client has the opportunity to take on a much larger contract worth £250k. We're structuring the facility now so that it will flex with them, meaning that when the bigger contract lands, they'll already have the structure in place to fund it without delay.

It's a good example of why we always look beyond the immediate ask. A facility that only solves the problem in front of you can quickly become a constraint once the business grows.

CASE STUDY

£10m turnover | Wellbeing sector

This client already had a funding facility in place, but it wasn't built for how their business actually operates. Export sales make up 20% of their turnover, and their existing facility didn't support export funding at all. On top of that, a large proportion of their revenue comes from one blue-chip client, and the previous facility couldn't accommodate that level of concentration either.

Both issues left the client underfunded against the reality of their trading. We're sourcing a replacement facility to solve both problems in one move: proper support for export debtors, and headroom for the concentration with their biggest client.

This is a common story. Facilities that made sense when a business was set up don't always keep pace as the business evolves, and it's worth reviewing whether your current funding still reflects how you actually trade.

CASE STUDY

£20m turnover | Renewable energy construction

This one had more moving parts. A renewable energy construction business with a £20m turnover had recently been through a pre-pack acquisition. The historical financials weren't strong, which is often the case in these situations, but the new owner had invested fresh capital and restructured the business in a way that gave us genuine confidence going forward.

The client needed funding against applications for payment, alongside a term loan, and had already gone out to the market for quotes. The Invoice Discounting terms they'd been offered were fine, but the standalone term loan quote came back expensive.

Rather than have the client juggle two separate lenders and two separate costs, we're exploring options for a single lender able to provide both. One route is a Confidential Invoice Discounting facility with an uplift by way of a GGS loan, all under one roof, alongside other cashflow loan solutions, so we can find whichever combination gives the client the most cost-effective outcome.

The goal is to give the client the flexibility to fund a large upcoming contract, and the peace of mind that their cashflow position will be solid moving forwards, at a point when they need stability the most.

CASE STUDY

£8m facility | Recruitment | Multi-country

A recruitment company operating across multiple countries had an existing invoice finance line in place, but it didn't stretch far enough. The facility simply couldn't cover all of the territories the business was trading in, leaving parts of their debtor book unfunded.

We sourced a replacement facility of £8m that covered every country the client operates in, with no funding restrictions across the book. It meant a facility that was actually fit for purpose for how the business trades internationally, rather than one that only worked for part of it.

For a business trading across borders, having funding gaps by territory isn't just inconvenient, it can hold back growth in exactly the markets where the business is expanding. Solving it in one facility gave the client funding certainty across the whole group.

Why this matters

None of this happens by chance. With over 30 years in the invoice finance sector, we know the lenders and, just as importantly, we know the right people within them to speak to. That relationship and market knowledge means we can match a case to the funder most likely to say yes, rather than the one most likely to say no.

Just as important is knowing what questions a funder will ask before they ask them. Pre-pack acquisitions, debtor concentration, export exposure, weak historical financials: these are all things that can stall or sink an application if they're not anticipated and addressed upfront. Understanding what underwriters need to see, and presenting it that way from the start, is often the difference between a facility taking days rather than weeks.

Whether it's a single consultant funding one invoice, or a cross-border, multi-million-pound business trading globally, we know the right solutions for each end of that scale, and everything in between.

The common thread

Different sectors, different structures, different challenges, but the same approach each time: understanding the full picture, not just the funding request on the surface, and building a solution that works for where the business is going, not just where it is today.

Sound familiar?

If any of this sounds familiar, whether it's growing contract sizes, facilities that no longer fit how you trade, or a time-critical funding need following a change in ownership, get in touch. We'd be happy to talk through the options.