There is evidence that accounts receivable financing can help companies optimize their working capital and improve cash flow.
One study found that companies that use invoice financing report higher levels of financial performance and liquidity, compared to those that do not use it. The study also found that invoice financing is especially beneficial for small and medium-sized enterprises (SMEs), which often have limited access to traditional forms of financing.
Another study found that accounts receivable financing can help companies manage their cash flow more effectively, especially during times of economic uncertainty or when they are experiencing rapid growth. The study also found that invoice financing can help companies reduce the time it takes to collect payment from customers and improve their relationships with suppliers.
Overall, the empirical evidence suggests that accounts receivable financing can be an effective tool for optimizing working capital and improving cash flow for companies, particularly SMEs. It can help companies manage their cash flow more effectively, reduce the time it takes to collect payment from customers, and improve their relationships with suppliers.
Qube Account Receivables Finance Added Value
PRI® inside Platform
The fully automated solution for account receivables (or AR) financing by PRI® inside offers:
- Daily (re)purchase of invoices
- Daily portfolio analysis and portfolio review
- Daily notiï¬ÂÂÂcation of purchased receivables
- Daily settlement of credit-notes and uncollectable invoices
- Daily liquidity calculations
- Full ‘track and trace’ solution, all required steps are logged and documented
- Fully automated data-exchange after one-off implementation of data-exchange protocol
- Daily funding and settlement towards participating companies & institutions
- Fully integrated risk, operational and legal framework
Set-up for daily settle-ment routine is deï¬ÂÂÂned on automated interface between client’s ï¬ÂÂÂnancial and operational systems and Qube’s PRI® inside. Interface will be implemented and supported by Qube Servicing.
After go-live Qube’s clients will have access to all daily settlement reports with automated instructions for payments if required, resulting in a very limited work-load for clients on an ongoing basis.
PRI® inside has been developed based on the in-depth experience with receivables finance with the objective to have a fully front-to-backend automated receivables finance platform based on historic and actual data which to provide full insight & transparency which will be evidenced by demo on request.