26 Feb 2018 | 11.57 am
Eoin Christian Explains What Grenke Offers
GRENKE frees up cashflow with invoice finance
26 Feb 2018 | 11.57 am
SMEs took a big hit in the recession but are now confidently back on track. They are also more informed than before, says Eoin Christian, Managing Director of GRENKE Invoice Finance. The company was established in 1978 in southern Germany, initially focused on finance leasing. It subsequently expanded its operations to establish the GRENKE bank and Invoice Finance/Factoring businesses throughout Europe and now worldwide.
GRENKE has been in Ireland since 2002 with its PLC group, Leasing joined in 2004 and in 2015 the Irish operation expanded to offer the Invoice Finance business here too. GRENKE’s niche is in providing smart finance leasing and invoice finance options to SMEs from €500 upwards.
“We are now seeing renewed investment in assets and a greater knowledge about the alternative forms of finance options available to SMEs,” says Christian. “We help businesses free up cashflow by financing a company’s invoices with their debtors. We are the leading mid-sized bank-independent invoice finance company in Ireland.”
Last year was a strong one for the GRENKE group, with year-on-year profit growth. The team also expanded as a result of the solid trading and is now 40 strong. GRENKE provides asset-based lending and invoice finance, and Christian sees further growth opportunities in both aspects of the business.
“A manufacturing business can have asset leasing for business critical machinery and also avail of invoice finance for some invoices that have longer payment terms, thus allowing them access to cash flow to pay their own bills,” he explains.
“However, businesses like dentists work differently, usually getting paid on the day of treatment, so they don’t have invoice finance requirements. Leasing of critical asset machinery such as dental chairs, x-ray machines and IT equipment makes much more financial sense.
“GRENKE Invoice Finance costs SMEs no more that 1-3% at most, depending on the size of the facility. Critically, we pay within 24 hours, allowing you the possibility of negotiating better terms with suppliers to offset costs,” Christian adds.
“With the upturn in business within the Irish market, many companies have been able to positively invest in their growth strategies and are looking ahead to bigger and better things. Businesses that have the best chance of securing invoice finance facilities are ones that sell on credit and have good clients. They also need to be up to date on reporting and have a requirement for cashflow.”