Bibby factoring finance

Original Post:

Treece

Free Member
Aug 16, 2024
7
5
Hello,

I am in need of some advice, after 2 years of starting the business I came into contact with 2x contracts which paid on a 3 month term period, the issue occurred when I had to pay for outgoings which at times could be in the thousand carrying out new build groundwork, with outgoing being high but income be paid every 3 month I came to a issue with cashflow and was introduced to bibby factoring, I was sold the dream and due to my age at the time only being 25 I was stupid in my ways and signed up for factoring finance and as a guarantor (should not of done this), the deal I carried out with themselves was that I would have the £30,000 unpaid invoice insurance which I paid a premium for.

The issue which started to arise was when they charged account managers, the account manager managed to loose one of the contracts worth £200,00 due to bad attitude and chasing for invoice which was not due, so in the end the contract cut ties with myself.
The second issue occurred was when I had the 2nd contract refuse to pay the £24,000, now I believed this wouldn’t be a issue due to the financial insurance but turns out they didn’t want to know and tried blaming me for not providing time sheets for a fixed price job?, I never provided time sheets so this annoyed me and then they tried saying it was my fault the invoice didn’t get paid (take into account I provide all relevant documents etc invoice and instruction from the client). Due to this bibby wouldn’t chase the invoice leaving me financial in ruin due to the lose of the contract and also the lose of pay, they then ended the contract saying it was good and took me personal to court attempting to take my house, I managed to sort this and get in a payment plan which they have the good sense to charge me £10,000 more for that good deed (also couldn’t attend court due to the letter disappearing as the quoted to the lawyer), I didn’t know about the excess when I went into the payment plan.

The advice I’m looking for is there any way out of this situation? And is there anything I can do as I’ve lost my business pretty much and ended up paying for a bill of another company who owed me money.

Could do with some advice please!
 

fisicx

Moderator
Sep 12, 2006
46,796
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15,440
Aldershot
www.aerin.co.uk
@Ian J is our resident invoice factoring expert.
 
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I'm sorry to hear about this mess. The insurance was against the financial failure of your customer so doesn't sound relevant in your case. From what you have written the most important thing at this stage is to ensure that your customer pays the £24,000 that they owe and you need to do whatever is necessary to ensure that this happens even if it means getting round the table with Bibby, the customer or both
 
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Treece

Free Member
Aug 16, 2024
7
5
thank you for the reply Ian, the only concern I have was when I signed the document the sale person ensured me that it was to cover any financial failure encase of a non-payment or else I wouldn’t of signed.

Yes off course I 100% agree, the issue is getting round the table and finding a solution to getting paid, as stated previously Bibby just doesn’t want to know.
 
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