Yorkshire based company Proton Group is supporting its growth ambitions with the help of invoice finance from Siemens Financial Services Limited (SFS).
Proton Group was formed in 1971 and is a producer and distributor of hygiene chemicals including dishwasher cleaners, laundry chemicals and beer line cleaners for the hospitality market. The company uses invoice finance to improve cash flow and help fund expansion.
By using invoice finance, when a company invoices their customer, up to 90% of the approved invoice total is immediately advanced by the finance provider. The remaining 10% is paid once their customer settles the balance. This provides the company with essential working capital so it can benefit from improved cash flow without having to wait for bills to be paid.
As David Shaw, Finance Director of Proton Group explains, “Invoice finance plays an essential part of our business model. In order to properly plan and structure for our growth targets we need a constant stream of working capital, and invoice finance provides us with this. In particular, we need to keep appropriate stock levels in order to be able to respond efficiently and effectively to our customer’s needs. Invoice finance means we always have the necessary funds available.”
Before working with SFS, Proton Group was using invoice finance from an alternative provider. When Proton Group embarked on expansion plans, however, it ran into difficulties with the previous arrangement.
“We launched an innovative online portal where customers could purchase stock directly online,” says David. “Unfortunately our previous arrangement and invoice finance system was unable to accommodate this model because it complicated the process of reconciling our accounts.”
Additionally, the previous provider required Proton Group to have its software installed to enable account monitoring and send a notification of each transaction. As online order volumes increased the demands of the previous system became more and more time-consuming.
Since working with SFS, Proton Group has been particularly satisfied with the new arrangement and support system which is more up to date and is compatible with Proton’s web-portal model.
“SFS’ system is very intuitive; it’s simple, straightforward design has made the transition seamless. Additionally, we’re delighted with the service received and find the SFS team approachable and friendly. Whilst we were first attracted by SFS’ very competitive rates, the approach and attitude of the team has been a great bonus.”
Guy Webster, Head of Invoice Finance Sales (South West & South Wales), Siemens Financial Services adds, “An innovative company needs to be supported by a modern invoice finance system. We are delighted that The Proton Group is working with us to help realise their goals and look forward to a long future together.”