ABFA Reports Growth in Invoice Finance Despite Caution
for Q112 showing that both total funding and turnover from companies using
invoice finance remain broadly positive with year-on-year growth, reports the
Asset Based Finance Association (ABFA). UK and Irish firms, however, still
remain cautious and are not accessing all of the funding available to them.
ABFA says that turnover from companies using invoice finance grew by 6% in both
Q112 and over the same period last year, with total client sales rising from
£59.2bn against £55.6bn for Q111. Funding by the ABFA’s members to businesses
also rose 4% year on year, with £15.4bn outstanding in advances at the end o f
March. The Association adds that while this figure is 1.9% down on last
quarter’s total advances the fall was fully expected with Q112 figures
traditionally showing a slight drop and annual growth remaining positive.
Sharp, chief executive officer (CEO) of the ABFA, said: “The new figures show a broadly
positive picture, with both total funding and turnover from companies using
invoice finance rising year on year, plus the number of clients increasing.
However, the new figures also show a conservative approach to accessing funds
from firms, with their appetite for new investment and maximising growth
potential being muted. With the economy back in recession perhaps this is not
surprising, but equally it does mean there will probably be missed