Reinventing invoice finance to help businesses get paid on time
Xero add-on Satago’s CEO Steven Renwick talks about the launch of a new type of invoice finance and how it will revolutionise the way small businesses get paid on time. Invoice financing has had a bad name for many people. Steven explains why he felt a new class of invoice finance was needed, and how it integrates with Satago, and thus with Xero.
Lies, Damned Lies, and Statistics
Until now, Satago has not done much analysis of its own user data to see how much faster we have helped small businesses get paid. We have not done this analysis for a couple of reasons: 1) It’s actually pretty complicated and the data is quite messy (we’ve seen more than a few invoices with 100+ year credit terms!), and 2) it’s too easy to mislead people, unintentionally or otherwise (aka ‘Lies, Damned Lies, and Statistics’).
Anecdotally, however, many of our customers tell us what a difference Satago is making to their cashflow. One agency managed to reduce their debtor days by 23 days in just a month. While another user recently told us that we had actually brought their average debtor days down to less than their actual credit terms (i.e., getting paid in 25 days when they ask for payment within 30 days). Perhaps most rewarding has been a couple of companies who have told us that we had saved them from bankruptcy. That is just by fixing their Accounts Receivable.