i looked into factoring companies myself. I got 3 quotes and they were all an absolutely terrible deal. This is a quote i got from one of the companies, copied

i looked into factoring companies myself. I got 3 quotes and they were all an absolutely terrible deal. This is a quote i got from one of the companies, copied verbatim from the email they sent me, they were all around the same terms: Based on a turnover through the facility of £200,000: Full service Invoice Factoring – including credit control and cash allocation £35,000 facility review limit Prepayment of 75% against invoices 12 month contract with 3 months’ notice Service fee – 3.5% of invoices placed through the facility, subject to a minimum monthly fee of £470 (the higher of these two will be taken as the monthly fee) Discount fee - (cost of money) – 5.5% above base rate (0.5%). This is an annualised fee and based on an average borrowing of £20k would be £100 per month Set up fee – £350 Annual renewal fee - £350 Security: We would take a bond and floating charge and would request a director’s guarantee of 20% of the facility review limit. I decided it wasnt worth it.