Financial Services
    Financial Services
    Financial Services

Invoice Discounting

Invoice Discounting is very similar to Factoring except that it is even more flexible. The Discounter still buys the invoices and makes available a percentage of the gross value in cash. The purchase is made on the basis that it will be subject to “recourse” to the client if the debtor has not paid within a specified time frame. In other words the client will have to reimburse the Discounter if the debt is not paid within say 90 days.

How is Invoice Discounting Different from Factoring?

Factors administer the client’s debtor ledger and credit control leaving the client to concentrate on productive activities. The invoice Discounter does not take over the debtor ledger or collection of debts. The client retains responsibility for chasing accounts so that they are fully paid before any pre-set “recourse” period expires. In practice the Discounter will usually monitor the debt to ensure that action is taken before it becomes stale and the funds previously paid to the client have to be repaid. There is great flexibility in this system as the client maintains a personal relationship with his customer and he does not have to sell all of his invoices if he does not wish to. Some customers pay promptly and it would be unnecessary to “discount” such debts.

Invoice Discounting is offered by these branches: Illinois, Florida, England

Contact Us
  • Address:
    1074 W Taylor Street
    Chicago, Illinois 60607
  • Phone:
    (312) 774-2100
  • Fax:
    (312) 564-4858
  • Email:

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