There has been a great shift in the approach of organisation to be funded in the UK and the procedures are growing flexible and are on a rise in implementation.
The consistent growth in the use of the invoice financing facilities for the past five quarters. In the year 2010 alone there over an amount of £ 200 bn was funded using these invoicing funding techniques such as the factoring and discounting.
The advances given straight away by the financing companies to the clients increased from £13.6 bn to £15 bn during the period 2006-2010 which accounts to a growth of 22%.
Factoring is practised widely by a wide range of clients that there were 18, 894 business in UK implementing the factoring.
On the other hand the amount of funding provided is higher by the discounting and 17, 466 business availed finance using the discounting by the end of 2010 and the amount of cash funded through the invoice discounting was almost £180 bn.
Manufacturing industry had the largest clients using both these procedures with about 31% of the market consumption using both the services by 2009.
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