Invoice insurance is designed to protect your business from any clients that may experience protracted default or insolvency. In a rapidly changing world, invoice insurance is the safety blanket that enables you to do business securely, by ensuring that you’re protected if your clients get in to deep water. Companies such as Carillion, Maplin and Patisserie Valerie have faced seismic shakes in the last year, impacting on many of the businesses they work with, particularly smaller dynamic companies. We are here to keep things running smoothly, ensure your cash flow isn’t interrupted and keep you on the right track.
We do the hard work for you, by getting to know your business and operations, and then brokering the right type of cover for your activity. We understand that each company is unique, and don’t take a one-size-fits-all approach to cover. We monitor the health of your clients, track coverage limits, update you on policy terms and mandatory reporting requirements. If you do process a claim with us, we’ll make sure it’s managed smoothly and efficiently, and that you’re returned any money you are owed. In addition, insured receivables make much stronger bargaining chips than non-insured receivables. This can lead to an increase in your borrowing power which means you can expand your sales and your profits.
Credit insurance supports your business if a client fails to pay a trade debt. This could be if a client becomes insolvent or misses their contractual payment terms, which is protracted default. Credit insurance usually legally compensates you for a proportion (up to 95%) of the debt that you’re owed. It protects your biggest asset; your accounts receivable. Certain coverage also includes political risk.
Invoice financing enables you to use your invoices as proof that you can pay a lender back on an advance, which means you can get up to 85% of your invoice upfront from the lender. Once your client pays their invoice, you can then pay the lender back.
Having invoice insurance still means you can receive up to 85% of the invoice upfront from your lender. However it differs to invoice financing in that you are essentially handing over your invoices to a third party, us here at InvoiceInsure, to ensure that they’re fully protected. We will make sure that you receive the full amount of the invoice from your clients, not just up to 85%. It removes the time spent communicating with your lender and client, freeing up time for you to focus on running and growing your business.
That’s up to you. If you want to let your clients know you have invoice insurance then you can, but they won’t receive any notification that your invoices are protected with us.
You can fill out a quick quote form on our website here. This shouldn’t take more than 20 minutes and will provide us with all the information we need to provide you with a quote. If you’re happy and want to move forward, you’ll be covered within a matter of minutes.