Working Capital Loans | Full Book Invoice Discounting

Merchant West Working Capital Solutions

How it Works

Merchant West Working Capital Solutions purchases the client’s full Debtors Book, and the client cedes the rights and claim to the underlying debt to Working Capital Solutions. Based on the composition of this Debtors Book, we can advance up to 80% of this Debtors Book in the form of a revolving working capital facility. This facility remains confidential, and the debtors in the book are not notified of the cession of the debt or the existence of this facility.

Making use of this product, the client is appointed as Working Capital Solutions’ Collection Agent. The client continues to manage and collect on the Debtors Book in the course of the business, and Working Capital Solutions takes ownership of the client’s Debtor Collections Bank Account.

The client is able to make requests for draw-downs on this facility, and interest is only charged on the outstanding balances in the facility – similar to a bank overdraft facility. When Debtors settle their outstanding invoices, and the outstanding balance is settled on the facility, Working Capital Solutions will release the 20% Retention money, less the applicable interest charge.


  • Increased liquidity in line with your credit sales, enabling you to take advantage of business growth opportunities.
  • Ability to settle trade creditors earlier and obtain higher settlement discounts.
  • Obtain more favourable prices on bulk or increased order quantities placed with your suppliers.
  • Access to immediate cash to help ease seasonal cash flow problems and requirements.
  • Converting unpaid invoices into cash, which prevents you from having to grant excessive early settlement discounts to your debtors to encourage earlier payments.
  • Expert credit control advice on the underlying debtors.