Hitachi Capital Invoice Factoring Review
Hitachi Capital is part of the global Hitachi organization, and has accumulated over 30 years experience in the financial services industry. In the UK, they offer Invoice Finance solutions to businesses from a diverse range of industries including manufacturing, recruitment, and transport.
In 2014, Hitachi Capital funded £72 million to over 650 businesses in the UK, and is also one of the fastest growing Invoice Finance providers in the UK. Their products include Invoice Factoring, Confidential Invoice Discounting, and Payroll Finance.
So, let’s begin our review of Hitachi Capital Invoice Factoring.
Hitachi Capital provides SME-friendly Invoice Finance solutions for a variety of industries and business types, including new-starts and phoenix businesses. Their transparent and straightforward services make Hitachi Capital a top choice for businesses in the UK. Their offerings include:
- Flexible contracts with 6 month trial periods
- Simple feesAward winning, affordable service
- Dedicated client manager
- Experience in a wide range of industries
Hitachi Capital promises to save up to 10% in overall costs with their innovative Invoice Finance solutions. They have local offices in Telford and Reading that focus on Invoice Finance products, and can arrange to meet you in-person at your place of business.
Hitachi Capital Invoice Factoring Costs and Fees
Hitachi Capital has a remarkably simple and transparent fee structure. You are charged an initial service fee when you receive your cash advance, and a smaller finance fee once your client settles their invoice.
The service fee is an agreed percentage of your turnover, and covers the cost of running the Hitachi Capital Invoice Factoring facility. The finance fee is a percentage of the amount lent, and is automatically deducted from your account.
If you prefer an even simpler fee structure, Hitachi Capital’s Inspired Cashflow solution only requires you pay a one-off fee of £250 and a service fee ranging from 0.45% to 4% of your sales invoice value. No annual or contractual fees!
Hitachi Capital Invoice Finance Products and Services
Hitachi Capital provides a range of alternative funding solutions such as Invoice Factoring, Confidential Invoice Discounting, and Payroll Finance. They help your business achieve multiple goals such as boosting cash flow, easing stress of business operations, and covering daily expenses. You can use these solutions to maintain a steady stream of funding for your business, while focusing on growth and expansion.
Hitachi Capital Invoice Factoring
Invoice Factoring is a widely-used funding solution for small businesses, that allows you to access up to 85% of your invoice value within 24 hours. Hitachi Capital Invoice Factoring provides much more flexibility than traditional options such as bank loans and overdrafts, because your available funding grows in line with your business. Therefore, as your business expands and your working capital needs increase, you won’t be limited by funding.
To be eligible for Hitachi Capital Invoice Factoring, you need to have an annual turnover of £50,000 or more. Hitachi Capital handles your customer collections and credit control functions, which is extremely helpful for small businesses that don’t have the in-house facilities.
Hitachi Capital also offers Bad Debt Protection and a CHOCC facility, in case you want to handle your own credit control and collections. Their online Invoice Factoring facility management is easy-to-use, convenient, and saves time.
Hitachi Capital Inspired Cashflow
Inspired Cashflow is an award-winning Invoice Finance product from Hitachi Capital. Its simplicity means that you only face one simple service fee, no further hidden costs and no long-term contracts.
You immediately receive up to 85% of your invoice value, and the remaining balance when your customer settles their invoice. Inspired Cashflow is a straightforward Invoice Finance solution that gives you a flexible funding line and allows more time to focus on your business, while Hitachi Capital handles your credit control.
Hitachi Capital Confidential Invoice Discounting
Confidential Invoice Discounting allows you to instantly access up to 85% of your invoice value, while still maintaining your regular customer relationships. Your relationship with Hitachi Capital is confidential, which means you get to handle your own collections and credit control.
Essentially, you’ll still be able to access the funds tied up in slow-paying invoices, but Hitachi Capital doesn’t provide assistance with credit management and collections. This solution is suitable for businesses with annual turnovers of £250,000 or more, with stable in-house payment collections and credit control functions.
Payroll Finance is an industry-specific funding solution for recruitment agencies facing administrative and financial problems such as timesheet management, payroll processing, and client invoicing. Hitachi Capital seamlessly integrates your business payroll information with Sage Payroll, to allow for a smooth process while you get to focus on running your business.
You are able to access up to 90% invoice value within 24 hours, and a credit control Client Manager is assigned to collect invoice payments for you, as well as help run your back-office administration.
Bad Debt Protection
Bad Debt Protection allows you to protect and waive up to 90% of your eligible liability, which minimizes the potential negative impact of an insolvent customer. You continue growing your business and use the available funds, knowing that your finances are protected. Your cash flow stream remains secure, and you transfer the credit risk onto Hitachi Capital.
What’s more, you can apply Bad Debt Protection to sales made in the UK or overseas!
Hitachi Capital Customer Support
Hitachi Capital offers telephone support during normal business hours. You can also fill out an online enquiry form here, and receive a response within one working day. If you prefer to speak to an adviser in-person, you can easily make an appointment for one of Hitachi Capital’s representatives to visit you at your place of business.
As a client, you have access to a Client Manager, who provides industry expertise and knowledge to assist with your credit control functions. They are easily accessible, and will be your main point-of-contact throughout your relationship with Hitachi Capital.
Hitachi Capital Invoice Factoring Contracts
Hitachi Capital Invoice Factoring contracts are considerably more flexible than other providers in the UK. They offer a 6 month trial period, followed by a rolling contract of 3 or 6 months, depending on what service you use.
Hitachi Capital Invoice Factoring Reputation
Hitachi Capital has been operating for over 30 years, and has garnered a solid reputation as a trusted Invoice Finance provider for businesses in the UK. Their client testimonials talk about professional staff, personal service, and high speed transactions that allowed for improved cash flow.
In fact, 99% of their clients chose to stay with Hitachi Capital following their 6 month trials, indicating that they were more than satisfied with their experiences.
On feefo.com, Hitachi Capital currently has a stellar 5-star rating from 9 reviews. Although this is not a large quantity, they still offer insight into past customer experiences. The reviews praise Hitachi Capital’s helpful service, competitive rates, and overall transparent process.
Comparing Hitachi Capital Invoice Factoring
Hitachi Capital is a large independent Invoice Finance provider, whose products and services are comparable to other similar companies such as IGF, Bibby Financial Services, Skipton Business Finance, and Close Brothers Invoice Finance.
|Invoice Factoring Providers||Hitachi Capital Invoice Finance||IGF Invoice Finance||Bibby Financial Services||Skipton Business Finance||Close Brothers Invoice Finance|
|Cash Advance||Up to 85%||Up to 90%||Up to 100%||Up to 90%||Up to 90%|
|Time to Receive Funding||Within 24 hours||Within 24 hours||Within 24 hours||Within 24 hours||Within 24 hours|
|Annual Turnover||Min. £50,000||Min. £100,000||Not specified||Not specified||Min. £250,000|
|Contract||6 month trial, followed by rolling contract||Varies||Rolling contract||Varies||Varies|
|Bad Debt Protection||Offered||Offered||Offered||Offered||Offered|
Hitachi Capital compares well to their competitors, as they are able to provide up to 85% invoice value within 24 hours. They are also relatively more flexible with their contracts, offering a generous 6 month trial, followed by a rolling contract. This is unlike other large lenders, who prefer to enter long-term contracts with you, with early termination fees.
Should You Use Hitachi Capital Invoice Factoring?
Hitachi Capital is a well-known Invoice Finance provider in the UK, and offers flexible small business-friendly funding solutions. Their Invoice Factoring services have simple, transparent fees and no long-term contractual obligations, which gives you the freedom to use their services whenever you need. Hitachi Capital offers the funding capabilities and expertise of an established Invoice Finance provider, while maintaining the flexibility and personable service of a smaller company.
Not only does Hitachi Capital support a wide range of industries, but they also consider new-start and phoenix businesses. While most lenders tend to be risk-averse, Hitachi Capital are willing to listen and understand your business, in order to determine if their Invoice Finance products can help you.
Hitachi Capital is a large, independent UK Invoice Finance provider, and is a part of the global Hitachi Group organization. With over 30 years of experience, they have expert industry knowledge in a wide range of sectors including transport, recruitment, and manufacturing. Their solutions aim to help your business grow, ease cash flow concerns, and give you more freedom to focus on your business.
All in all, Hitachi Capital offers transparent fees, flexible contracts, and straightforward service, making them a popular choice for businesses in the UK. Almost every client chooses to stay on with Hitachi Capital after their trials, which demonstrates an ongoing commitment to clients. No matter your business goals, Hitachi Capital provides you with alternative funding solutions to ensure that you have a steady stream of working capital at all times.
If you’re interested in finding out more about Hitachi Capital’s Invoice Factoring or receiving a quote, be sure to reach out to a customer representative.