Is Debt Factoring expensive?

The cost of debt factoring is split in to three key areas:

1. A set up fee for the administration of establishing the facility.
2. A service fee which covers the admin costs and management related to your account, which is then charged as a percentage of your gross turnover.
3. A finance fee which is the cost of the money you draw down. This is charged daily against your outstanding balance.

All reputable finance providers will be transparent about the fees and costs related to the facility prior to signing the agreement.