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Stop being a banker to your clients!
Forget ‘Factoring’ or ‘Discounting’!
Stop wasting unproductive resources on debtor management!
Become proactive!
Download our Helpful Hints – Click Here
Fee Funding (FF) provides accountancy, bookkeeping and tax agency firms
the in-house ability, via a secure website, to automatically provide
clients with the option to pay fees by instalments over 6, 8, 10 or 12
months.
In addition, other businesses that charge clients fees may be
eligible to benefit from FF.x
The advantage is that your firm receives the funds upfront and saves
the expense of debtor management.
This is NOT factoring. Your firm owns the debtors at ALL times and your
firm receives 100% of the fees being funded.
FF is funded by Lumley Finance Ltd (Lumley), part of the Lumley Group
that now forms part of the Wesfarmers Group.
Audit Services Pty Ltd (www.auditservices.com.au)
operates under license from ProFee Australia Pty Ltd.
Importantly, your firm doesn't have to provide any financials; it costs
'ZERO' for your firm to establish the facility; your firm receives 100%
of the fees invoiced; your clients don't have to provide financials unless
their combined fees exceed $100,000 at any one time; and your firm can
include a handling fee or percentage.
How can FF assist your firm?
- Costs your firm nothing to establish and operate. All fees
are paid by your clients.
- Funds all debts irrespective of any age.
- Reduces debtors and saves the amount of time and resources spent
on debtor management.
- Improves cash flow and interest return.
- Increases your ability to undertake 'project' type activities and
have fees settled more quickly.
- Fund annual client fees on this basis.
How do your clients benefit?
- Is simply another 'pay by the month' service that clients are used
to.
- Smooths their cash flow and conserves cash in the business.
- An unsecured line of credit that doesn't impact or disturb existing or
additional funding needs.
- Gives them confidence to explore other 'project' type activities.
How does it work?
- Via a secure website, your firm can generate funding contracts up
to $100,000 per contract. Over $100,000 requires provision
of client financials. NOTE - maximum limit PER client is $100,000
unless client financials provided and accepted.
- Your firm has control over the duration of repayment by setting the
instalment period, i.e, 6, 8 10 or 12 months.
- If your client wishes to pursue, they simply sign the contract and
your Fee Tax Invoice and mails direct to Lumley.
- Once processed, Lumley will deposit funds directly into your bank
account (typically 5 working days) and thereafter manages
client instalments.
- If you client defaults, Lumley will initially contact your
client to sort as to why. Typically it's the result of a changed
bank account or cash flow timing. Lumley will reset the bank
debit authority.
- If there is continued default, Lumley will involve your firm with
the ultimate outcome being your firm taking over payment of the instalment
amount or paying out the balance.
Helpful hints
- Suggesting/offering FF shouldn't be seen as expressing concern about
a client's financial health. Clients pay many liabilities by instalment,
why not your professional fees. Many clients will appreciate
the offer.
- Place yourself on the client's side. Many clients won't openly
admit that they probably fear the annual fee date or are reluctant
to engage your firm on other projects because of concerns on cash flow
and the ability to fund your fees. FF removes this heighten
fear.
- FF is a great way for clients to fund and accountants being prepared
to be involved in new project work. With many projects, substantial
time delays can occur before clients have adequate funds to settle
your fees. With FF, a budget can be set; a fee invoice generated;
and then funded.
- Don't be afraid to offer. You'll be positively surprised by the outcome.
- Display payments options on your Tax Invoices and elicit an early
response from your client as to preferred payment option. If
your firm knows in advance that your client plans to fund, you can
be more proactive in having them sign a Client Funding Contract early
rather than chasing them after the debt has hit 60 or 90 days. Accountancy
firms that adopt this approach are finding that 35%+ of their clients
are choosing the FF option with most debts settled under 45 days.
Be proactive! It costs nothing!
STEP 1. Quick Quote
Click on the following link to obtain a quote on what the monthly instalment
will be: www.profee.com.au/quote-pfa-0042.shtml
STEP 2. Sample Client Funding Contract
To view how the website generated contract looks like, click this link
- http://www.profee.com.au/sitecore/sample-contract1.html
STEP 3. The Funding Agreement
For security reasons, interested firms need to contact us for an
email copy.
We’ll also provide additional instructions so that we can have your firm operational within a matter of 24 hours or so.
Contact details:
Kerry Henry or Meghan Drew
Phone: 9437 1718 Fax: 02 9437 1728
Office address: Suite 1, Ground Floor, 551 Pacific Highway St Leonards NSW 2065
Email: fees@feefunding.com.au
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