Search
Close this search box.

Cash Flow Lending

Cash flow lending is a type of unsecured loan used by businesses for day-to-day operations like working capital.

Cash Flow Lending

Cash flow lending is a type of unsecured loan used by businesses for day-to-day operations like working capital.

Cash Flow Lending: How can I secure a cash flow loan?

There is no ‘one-size-fits-all’ when it comes to securing a cash flow loan. We explore the different loan options that are worth considering and exploring further. Below we list some of the main ways cash flow lending can benefit your business.

What is Debtor Finance?

Debtor financing (also known as invoice financing) is a way for businesses to borrow money against the amounts due from customers. This advance can be used to improve cash flow, pay employees and suppliers, and reinvest in operations and growth earlier than they could if they had to wait until their customers paid their balances in full.

Growing businesses with extended cash cycles and directors that want to keep business and personal matters separate can benefit most from this type of finance. Instead of getting finance secured to your property, you’re able to secure against your invoices to gain access to funds that help manage cash flow, fund expansion or take advantage of key investment opportunities.

Talk to an expert

Could trade finance be more suited to your needs?

Trade finance provides you with fast funding for stock, inventory and raw materials, so you don’t have to turn away new orders. This type of financing allows you to use a revolving line of credit to pay your overseas or local suppliers when you need it, in almost any currency. Trade finance can be facilitated with TT (telegraphic transfer), Letters of Credit or Documents against Payment.

How will my business be assessed for a cash flow loan?

Although lenders take into consideration your credit score, they’re often much more focused on your cash flow and the cash flow generation capacity of the business.

The capacity of your business is based on a few factors, including:

  • Bank statements and/or credit card processing transactions
  • Frequency and volume of transactions
  • Seasonal sales
  • Expenses
  • Returning customer revenue
  • Customer reviews

As it often is with an unsecured loan, the cash flow loan attracts higher interest rates. This compensates for the high risk of loan default. Depending on your lender, you might repay the loan in anywhere from six months to a year and a half.

Talk to Inovayt today & find out why we’re regarded as the most trusted service provider in Australia.

Helpful resources

finance resources

Financing your business

Invest time into your business finances. Our business finance guide unpacks everything you need to know about financing your business.

Find an Inovayt Commercial broker near you

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.
Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Our team of experienced commerical brokers help you discover the right financial solutions for you and your business, so you can put your business in the best possible situation to grow, while having piece of mind.

No posts found!

Find an Inovayt Commercial broker near you

No posts found!

No posts found!

Our team of expert brokers are with you through every step of the way on your home buying journey. Not only do we help you find the right loan, we also stay with you right up until after settlement, helping you navigate stamp duty and other home buying fees.

No posts found!

No posts found!

No posts found!

Our experienced and friendly team can provide you with lifetime financial solutions by understanding your individual needs and goals.

Get in touch
1300 354 355

Send us an email
info@inovayt.com.au

Start your journey, contact Inovayt today

Get in touch
1300 354 355


Send us an email
info@inovayt.com.au

Looking for extra cash flow? Contact Inovayt today

Start your journey, contact Inovayt today