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Bibby Financial Review

By
Sean Peek
,
business.com writer
|
Jan 14, 2020
Image Credit: wutwhanfoto / Getty Images
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Bibby Financial Services is a global financial company owned by Bibby Line Group, which has been serving businesses for over 200 years. Bibby Financial accepts invoices that are up to 90 days overdue, which is longer than many other factoring services we evaluated. For this reason, Bibby Financial is a good fit if your customers don't pay their invoices on time. 

Bibby Financial

Bibby Financial

The Best Factoring Companies of 2020

The Verdict

Bibby Financial Services offers nonrecourse factoring, transportation finance, asset-based lending, export receivables financing and accounts receivable financing.

View all of our factoring service reviews on our best picks page.

Bibby Financial Services Rates and Fees

This factoring company offers nonrecourse factoring, which means if your customers don't pay Bibby Financial the invoice amount, you do not have to buy back the invoice. This type of factoring allows you to maintain steady cash flow so you can focus on your business and pursue new growth opportunities. Recourse factoring, on the other hand, holds you accountable for any unpaid invoices and can set you back if a customer doesn't pay the factoring company. 

Bibby Financial Services works with B2B companies – both startups and established businesses – that are aren't able to obtain traditional lending from a bank. 

If you factor with Bibby Financial, they will advance you an initial 92% of the invoice upfront. Most factoring companies offer up to 90 or 95% of the invoice, so Bibby is in keeping with the average advance rate. 

After this company collects payment from your customers, it funds you the rest of the money, minus its fees. We were unable to verify Bibby's fees, but in the factoring industry, the average ranges from 1 to 5%. 

Bibby Financial Services buys invoices that are up to 90 days overdue, which is toward the high end of the ceiling that is generally accepted in the factoring industry. Many factoring companies won't accept invoices that are 60 days overdue.

Minimum Requirements

Bibby Financial is a viable alternative to traditional lending for new or small businesses. However, because it scrutinizes the creditworthiness and risks of your customers instead of your business, and you don't always know your customers' credit history, if Bibby Financial determines your customers aren't creditworthy, your application may be denied.

Ease of Application

After you fill out an application on Bibby's website, you can be approved in as little as 24 hours, which is on a par with most of the factoring services we reviewed. 

Once your account is set up and you've started selling invoices to Bibby for factoring, you generally receive funding within 24 hours. This time frame is also on par with most factoring companies.

Customer Service and Support

Bibby Financial offers a dedicated advisor who will serve as your point of contact to help you factor invoices and answer questions you have. 

The company offers phone and email support, but it doesn't offer live-chat support. We reached out to Bibby Financial as a potential customer to test its customer service. The representatives we spoke with were friendly and helpful. They answered our questions thoroughly and were eager to advise us on what would work best for us. Overall, we had a positive customer service experience with this company.

Limitations

Although Bibby Financial Services is a reputable company with a long history, its website isn't transparent about its rates and fees. The average fee ranges between 1 and 5% of the total value of the invoice, but we couldn't confirm the precise rate. 

Editor's note: Looking for the right factoring service for your business? Fill out the below questionnaire to have our vendor partners contact you about your needs.

Bibby Financial

Bibby Financial

The Best Factoring Companies of 2020

The Verdict

Bibby Financial Services offers nonrecourse factoring, transportation finance, asset-based lending, export receivables financing and accounts receivable financing.

Sean Peek
Sean Peek
Sean Peek is a writer, small business owner and SEO specialist. He began his career in digital marketing as a freelance writer in 2013 and has over five years of experience in the B2B space. You can learn more at lightningmediapartners.com.