Satago Invoice Finance

Originally launched in 2012 as a credit control system which integrates with cloud accounting systems, Satago has expanded to provide a tech-based cashflow service offering invoice finance, credit control and risk insight facilities.

Satago invoice financing is a means for businesses to leverage their own sales ledgers in order to generate cash flow at a time when they are facing monetary constraints and need a cash injection at short notice.

The invoice financing Satago and other providers offer entails being able to sell invoices both unpaid and outstanding to factoring companies or lenders. Rather than incurring debt, this uses your own invoices as a form of collateral, with lenders paying you a percentage of their value.

Businesses often request the invoice financing Satago and other providers offer if they’re on the cusp of a growth phase but have issues such as late payment holding them back. Invoice financing takes the invoices they expect to receive and speeds up getting the money over to them, in order that they can invest in personnel or equipment sooner rather than later.

Businesses of all shapes and sizes can request invoice financing services from Satago and other comparable lenders, but they may have to meet certain criteria. Some small businesses might be excluded if a lender requires a turnover threshold, for example.

One way to mitigate the risks of failed invoice payment is to pursue a non-recourse agreement as part of your invoice financing facility. If a client fails to pay invoices, your provider absorbs the risk, although they might charge a higher fee to compensate.

If you take out a recourse agreement as part of your invoice financing, you accept liability for invoice payments. This means you shoulder the costs if clients fail to pay invoices. The personal risk is greater, but your lender will consequently charge a lower lending fee.

Your lender will typically charge a small percentage fee as a proportion of the sum you borrow against your own invoices. It rarely exceeds a few per cent but varies between providers.

Our partner, Newable Finance is a suitable platform for comparing Satago invoice financing products with those of competing lenders. By filling in a form or giving them a call, Newable Finance can put you in touch with a specialist consultant, to help find a suitable lender easily.

Many business owners prefer to keep their invoice financing plans private. For them, the invoice discounting Satago and other lenders offer is ideal. It ensures that only you liaise with clients about invoices, so they don’t have to know you’re intending to leverage them to generate additional cash flow.