Professional Fee Funding

Lending Strategy operated by Credit Originator, Apxium.

Invoice funding for accounting firms, secured against the fees they have billed their clients. Clients repay each funded invoice in ten monthly instalments. The loan itself is made to the accounting firm, with security and recourse comprising: Guarantee and Indemnity, Personal Guarantees, Equitable Assignment over the firm's receivables, Right of Offset over its collections, Step-in Rights, and Right to Perfect Title.

Interest in advance. The first of the ten instalments, which includes all of the loan's interest, is paid before the invoice is funded. That does two things for a lender. It proves the invoice is genuine and undisputed before any money is advanced, because a client does not pay the first instalment on a bill it is contesting. And it means the interest on the loan has already been received when the loan begins, so what is at risk over the remaining nine instalments is principal only, falling with each one.

If a client's instalment is dishonoured twice, the accounting firm is debited for the loan's entire outstanding balance on three days' notice; if the firm's account cannot cover it, all receivables payments are redirected to the Credit Originator under its Right of Offset until the debt is repaid.