Ultimate Finance supports telecoms firm with £350k invoice finance facility

A specialist telecoms services business has secured a £350,000 invoice finance facility from Ultimate Finance to address working capital pressures created by extended customer payment terms during a period of rapid growth.

The company, which provides high-volume communications services to the telecommunications industry, supports clients with large-scale messaging, alerts and advertising campaigns, including international SMS delivery. As demand increased, a key customer extended payment terms from 14 days to 45 days, creating a cash flow gap despite rising revenues.

The business was introduced to Alex Russon, Regional Director at Ultimate Finance, by Phillip Pratt of Hilton-Baird Financial Solutions.

Russon said: “This was a strong business entering a real growth phase, but the shift in payment terms created a clear working capital pinch point. The key was moving quickly, understanding the debtor position properly, and building a solution that let the business keep saying yes to new volume.”

Ultimate Finance structured a £350,000 invoice finance facility, including debtor protection, to provide working capital that flexes in line with sales growth. The facility took a pragmatic approach to the company’s debtor concentration, which had made some lenders cautious.

Evette Orams, Managing Director of Hilton-Baird Financial Solutions, said: “Standard metrics in terms of concentration couldn’t be applied to this client. So our team took the time to understand the dynamics and details of the business and identified Ultimate Finance as a suitable funding partner, who appreciated the balance of the risk and reward fully. The result is our mutual client now benefits from a tailored facility which meets their needs perfectly, benefiting from the right level of funding to support their growth plans.”

Ultimate Finance also worked with the business to ensure a smooth transition to the new facility. Ahead of completion, Emma Booth, Head of Relationship Management at Ultimate Finance, visited the company to review day-to-day processes and onboarding requirements.

Russon added: “Our job is to combine strong risk discipline with a real-world understanding of how businesses operate. When the detail stacks up, we’re prepared to go the extra mile – and our deal team approach on this one was a big part of getting the facility set up.”