The popularity of factoring and invoice discounting as a financing option has continued to grow as industry turnover hit record levels for the second quarter running, revealed by figures released today by The Factors and Discounters Association (FDA). FDA members' client turnover has risen to a staggering Ј28.3 billion in quarter two, up from Ј26.5 billion in the first quarter, an increase of 6.8 per cent. There has been an increase of 11 per cent since the same period in 2003.
Alongside domestic growth in invoice finance, the industry has seen an increase of 14 per cent for exporting. Export has become a more attractive option for UK businesses as the current weakness of sterling against the Euro undoubtedly allows UK products and services to become more competitive in European markets. This figure significantly reverses the 2002 trend that saw funding to exporters reduce after five years of continued growth.
