Case Study 1

A potential client was referred to us by an existing GRENKE customer. Their turnover was just over 300,000 but due to winning some projects with 3 large blue chip clients they were expecting this to increase dramatically over the next 12 months to 3,000,000.

 

Some of their work was providing marketing material and also marketing staff so they incurred a lot of upfront costs but were having to wait 30 days for payment of their invoices which they could only issue upon completion of a month long project so they incurred costs long before the invoice was even issued.

 

They faced many problems when trying to find a factor including wariness of their large projected increase of business, concentration levels of the debtors and potential future seasonal peaks in their business.

 

GRENKE looked at the business from our usual common sense approach and were able to offer a 250,000 facility on a non-recourse basis with a 90% advance of funds.  The client was able to continue to look after their existing debtors while GRENKE factored their 3 large new clients where they couldn't fund the work themselves.

 

The client considered a number of offers and decided upon GRENKE as we could give them the flexibility they required as their business grew and changed over the next year. They were impressed by GRENKE's personal service and propensity to get things done.

 

  

 

Case Study 2

A marketing and brand development company had been considering factoring for some time. They were keen to outsource the collections process as this had been looked after on an ad-hoc basis until recently. They therefore often had a panic situation in their cash flow as they ran out of money and had to chase their customers aggressively to get paid.

 

Although they had spoken to many companies who were willing to offer a facility they chose GRENKE for their simple and personal approach. The directors found the charges and procedures of other lenders confusing, but they were impressed by GRENKE's simple pricing structure and easy to use on-line system.

 

GRENKE put in place an 80,000 facility for their full factoring product advancing 90% of the invoice value on a non-recourse basis. The customer was happy in the knowledge that they would not be responsible for any losses incurred including any additional collection charges or solicitors fees if a debtor did need to be pursued for payment.

 

The customer asked GRENKE to meet with his accountant before he signed an agreement which we were happy to do, and his accountant was so impressed with our products and fresh approach to invoice finance that he now recommends GRENKE Factoring to other accountants that he knows and any of his own customers who can benefit.

 

 

Case Study 3

A software development company had been considering invoice discounting for some time and had spoken to three companies in the past. They had decided not to enter into a facility with any of these companies as they found them to be inflexible in regards to their company's procedures. The company had been a GRENKE Leasing customer for some time and although they had given up on invoice finance as an option for their business when they heard that we now offer factoring they were interested to find out more.

 

After sitting down with the directors of the company GRENKE were able to satisfy them that we could work with their existing sales model and sign off procedures. One of the main obstacles that had to be overcome was that the customer collected a deposit before doing any work, which could not be advanced upon but GRENKE have adapted the product to allow us to accept these payments and look after the collections process for them.

 

GRENKE put an 85,000 facility in place with a view to increasing this facility later in the year if the customer needs it. GRENKE decided to allow the facility even though the customer is viewed as maximum risk due to their history of working with GRENKE Leasing and their latest set of draft accounts, demonstrating our flexible approach to underwriting.

 

The company was very impressed with our product especially as we were willing to take the risk of non-payment from their debtors and look after their collections process. This was different to the invoice discounting which was offered to them in the past and now allows them to concentrate on their core business rather than chasing payments.