Invoice factoring

[justintime]

One of my clients is looking into invoice factoring for the first time. He has a Ltd Company small construction company and is normally paid the Friday following the week worked, he then pays his subbies. He's just taken on a new contract where payment is 30 days from invoice, which means he's going to need approx £6000-8000 of revolving factoring.

I've been tasked with looking into it and a/ how easy would it be to get the factoring in the first place, and b/ any particular recommendations? Credit rating is 59 but he's just borrowed £2500 from Iwoca to help with set up costs in getting a couple of new contracts started, so I don't know whether this will have any affect. I've found a company called Hydr via Google, which looks as if it's an entirely digital online solution, any pro's on con's from people who've heard of them?

 

[ctrlbrk]

any particular recommendations?

No idea on recommendations but @Ian J on this forum does factoring, he may be able to advise.

 

[Mark T Jones]

Yip @Ian J is your man

 

[fisicx]

A second vote for @Ian J

 

[Ian J]

Whether it is factorable all depends on the terms and conditions of the contracts as most construction companies will only get paid on completion of signed certificate and of course whom the end customer is.

I have never heard of Hydr nor of the two directors and a look at HN Flow Ltd which seems to be the company behind the venture shows that it appears to be a small operation with a share capital of £1 with most of it's net worth being comprised of a share premium