Close Brothers Invoice Finance is the invoice financing arm of Close Brothers Group. Their product range is therefore restricted to various invoice financing offerings, including invoice discounting, factoring and asset-based lending, but also bad debt protection. But many more merchant banking services can be delivered by the Group.
Services and areas of expertise
While the firm brings forward a solid expertise in factoring, their range of services extends to many other funding options that companies from all industry sectors might need, especially when working with international suppliers or clients.
Close Brothers Invoice Finance offers invoice discounting...
At Close Brothers Invoice Finance, invoice discounting releases worth up to 90% of the balance of submitted invoices as soon as they have been raised. The firm boasts the service “seamlessly integrates” with “over 90 accounting software packages” through their IDeal online platform.
Costs for an invoicing facility between £250,000 and £2m typically include a service fee between .2% and 1% plus a discount charge between 2.5% and 3.5% over Libor.
... top-up invoice finance product...
The invoice finance scheme can actually cover 100% of submitted invoices when the invoice discounting facility is topped up with Liquidity Plus. This product from Close Brothers is aimed at clients facing unusually high customer demand.
... invoice factoring...
Invoice factoring also works for up to 90% of the value of submitted invoices. Costs will be very similar to invoice discounting.
... and bad debt protection
Close Brother Invoice Finance’s bad debt protection service ensures the client receives payments even when their own customers have difficulties paying their invoices, thereby providing extra protection to selected invoice finance clients. Close Brothers directly gets in touch with the insolvency practitioner and the service even includes credit checks on new customers.
Background and key figures - Close Brothers Invoice Finance... and the Close Brothers group
It is quite impossible to completely dissociate the invoice finance business of Close Brother from the might of the Close Brothers Group, one of the most reputed merchant banks in the UK, providing businesses with all of their financial needs for over a hundred years.
The invoice finance services arm of one of the oldest merchant banks...
Although Close Brothers invoice finance is relatively recent, the history of parent Close Brothers Group dates back as far as 1878, when the bank was founded in London by... the Close brothers: William, Fred and James. The business moved to Chicago as early as 1884. The group has been consistently privately owned, except for five years, and until 1984, when it was floated on the London stock exchange. The same year, through the acquisition of Century factors, Close Brothers entered the invoice finance business.
Close Brothers group is active in asset finance, asset management, business finance commercial finance, easing, motor finance, property finance, securities, but also vehicle solutions and even brewery rentals!
... handling billions of pounds worth of business loans
Close Brothers does not disclose many figures for the invoice financing business taken individually, but the group itself reports significant numbers:
- 2,900 people employed,
- £1.92bn in market capitalisation,
- £6.0bn in the loan book (banking division)
- including £376.6 million for invoice finance only
- £9.5 billion in client assets (asset management)
Close Brother Invoice finance boasts being part of a large, old merchant bank offering complete bespoke merchant finance services, advanced technology and specialized staff for all specific finance needs.