How to Finance Your Business While Avoiding the Banks

If you don’t feel like the values of the big banks are in line with the way you do business, there are alternative sources of financing available. Often these providers are also quicker and cheaper.

Published: 21/05/2018

Fraud is Part of Doing Business in the Banking Industry

Gone are the days of the big four banks being the sole providers of lending in Australia. In fact, with the Banking Royal Commission in full swing and some highly confronting and dirty behaviours being revealed, it’s no wonder the public are having “trust issues” with our traditional lending institutions.

But if you’re looking to finance your growing business or improve cashflow, what are the alternatives to the big four and the traditional ways of borrowing? Invoice financing is an option growing in popularity and when compared to banks, it’s often much cheaper, faster, and more flexible than traditional business bank loans or company credit cards. Unfortunately many invoice financing providers are still financed by banks, thus still affected by the increasingly regulated and opaque operating environment of the banking industry. When looking for a cashflow finance provider, search for peer-to-peer providers, which will help you get the cash you need, allowing you to maintain control and avoid the bureaucracy of the banks. Peer-to-peer invoice financing providers serve the business community as well as a community of investors, creating a mutually beneficial relationship.

What is Peer-to-Peer Invoice Financing?

Peer-to-peer invoice financing platforms connect businesses and investors. Sometimes known as debtor finance or invoice trading, peer-to-peer invoice financing works to benefit both parties. By purchasing an invoice at a discount, investors have a quality asset paying a risk-adjusted return, while business owners can have their invoices funded before their customer pays – improving cashflow and helping businesses get on and grow.

As opposed to the process of bank lending, peer-to-peer invoice financing aims for quality customer service and flexibility. For example, on the Grapple platform, businesses can sell a single invoice or even a part of an invoice with no setup or ongoing fees or requirements for property security. This is a truly flexible financing option, with cash when you need it and no headaches.

Benefits of Peer-to-Peer Cashflow Finance

  • Personal – Grapple as a peer-to-peer lending platform uses a community-based approach, and adopts terms that are mutually beneficial to both business owners and investors. Grapple has a straight-forward online approval process, ensuring transactions can take place quickly and efficiently.
  • Flexibility – Unlike banks, business owners and investors aren’t locked in for any set period – Grapple’s platform is obligation-free, payment is ‘as you need it’ and you can opt out at any time.
  • Improves cashflow – Funding an invoice on the Grapple platform allows businesses to obtain cash quickly and be able to control their businesses cashflow. Waiting for a client to pay an invoice – particularly if payment terms are lengthy or they have complex internal processes to pay – means less growth opportunities and can often spell disaster.

If you don’t like the idea of being beholden to a morally-questionable institution, which doesn’t value its customers, then take action and look for alternative sources of business financing. Peer-to-peer invoice financing is among several “bank-free” options, which offers you service and flexibility and has your business’s interests at heart.

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Get your invoice paid today!

Grapple is a disruptive peer-to-peer invoice financing marketplace that allows businesses to finance their invoices for as little as 1%, with payment being received in less than 48 hours from registration. Grapple’s technology seamlessly and quickly matches your invoices with investors for financing at a competitive rate.