Can Your Credit Score Prevent You From Getting Invoice Finance?

By Per Frennbro in Financing

Are you a business owner? Then you may know how tricky credit is for you. Sometimes, compared to personal loans, it may even be harder to get. No business owner can deny how important it is for the smooth operation of their businesses.

There may be times when the cash flow slows down, such as when the sales are not enough to cover the shortfall or the customers are slow to pay. What most people do as a solution is to go to the bank and ask for a short-term loan or a line of credit. In order to prove your creditworthiness and reliability, there is a lot of paperwork that the bank wants. And if the bank finds out a few faults in your credit history, you have to face a lot of difficulties in order to get the cash you need.

 

 

Basics of credit scoring

For businesses, credit scoring is just the same as personal credit. If your business pays all its debts on time with creditors and lenders, it is rewarded with an increase in its credit rating. In case of late payments, your credit score does get affected a bit. However, in case of occasional late payments, the overall creditworthiness of a business is not counted as a major issue. A few late payments can make it a lot harder for a business to get the required money from lenders at an affordable rate, if at all.

This is where you may think about invoice financing as an alternative. So what does invoice financing help you with? With invoice financing, you get the cash that you need at a discounted price. However, times when you are experiencing a cash flow crunch, you may think that the invoice financing companies will also turn you down. Well, that’s not the case with us, BETALD.

With us, credit is not the main criteria

You may be worried that each and every form of lending must need a credit check along with a lengthy examination of how your business has performed in the past and is performing at the present. While this is true for other invoice financing companies, the good news is that BETALD easy invoice finance platform has a different set of requirements that do not include your poor credit. We follow a simple process.

We do not look at your credit score only. Only look at the financial situation that you have recorded in your bookkeeping. We don’t look at your credit scores as we know that as a business, it’s natural for you to face financial crisis more than once per year. It usually is like a sinus curve for most businesses. Sometimes up and very often down, but the business can be a well-managed business despite this.

In order to get invoice financing from us, all you have to do is maintain your bookkeeping records properly. It should include the details of all your incomes as well as your expenditures as well ass your customers. As long as you do it properly and honestly, you can rest assured that you will face no problem in availing finance from BETALD. This is what makes us different from other invoice financing companies. We believe in transparency and honesty. Use our BETALD platform and see the difference yourself!

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