ABFA E-Learning Foundation Course

The Foundation Course has been developed as an introduction to the ABFA's 3 step Distance Learning Programme. It is designed to assist staff to obtain a general understanding of the workings of the industry together with an increased awareness of their company's clients' expectations and issues.

Content

The course provides an overview of the invoice financing industry including a brief history of the products, the benefits to clients and the methods that the industry uses to finance its clients whilst protecting its investment. The course consists of 5 modules:

What is Invoice Financing

This module looks at the recent growth and development of invoice finance in the UK, and the types of products that the industry offers to its customers. On completion of this module, students should understand and be prepared to discuss; the origins and growth of their own organization in the context of the industry as a whole, the different types of invoice financing available, the types of products their company offers and the criteria which may apply to different customers, how the products are managed by their organization, the concept of funding mechanisms and their calculation.

Why a Company Uses Invoice Financing

This module explains the benefits to clients of using the different types of invoice financing. Students are given the opportunity to research the ways in which their company obtains its clients and the kind of services that it offers.
On completion of this module students should understand and be prepared to discuss; different ways of introducing funds into a company, how funding may be secured, why a company needs funding, the cost of invoice financing to a company, how their organisation finds and serves its own clients.

The Client and the Process of Invoice Financing

This module explains what an invoice fiinancier does when taking on new business. It will look at the activities undertaken by the invoice financier to identify the suitability of a prospective client, match the needs of the prospect to the invoice financing "service", through to the prospect becoming a client.
On completion of this module students should understand and be prepared to discuss; the risks to be considered when deciding the suitability of a potential client, the facts which an invoice financier establishes about the nature of a client's business before offering a facility, the process by which an offer is made within their company, the process which establishes the relationship with the clients within their company.

The Invoice Financier and the Process of Invoice Financing

This module looks in more depth at the management of the invoice financing process once the relationship with the client has been established. It looks at the methods used to monitor a facility and to protect the invoice financier's investment. It also considers some of the problems that can arise.
On completion of this module students should understand and be prepared to discuss; how the invoice financier views a sales ledger and determines how much they are prepared to repay to the client, the significance of debt verification, how the invoice financier monitors their investment, the different reasons that cause an invoice to be unapproved and the impact this has on a client's facility, and the differentiation between types of retentions.

Asset Based Lending

With the recent developments and trends leading the industry towards more Asset Based Lending, this NEW module is designed to ensure that the Foundation Course remains current and informs students of all elements of the industry. The module looks at the growth of asset based lending in the UK and the security required for asset based lending. It also looks at Stock Financing and Term Lending.

Course Structure

The course is comprised of five on-line modules which students complete with the guidance of a coach, usually their line manager or higher. The activities are designed to encourage the student to learn more about their own organisation as well as the industry in general. The on-line version of the course allows students to work through the modules step by step, and includes plenty of interaction to help the students measure their understanding as they go. It also enables the Coach to closely monitor the progress of the students as the Coach grants access to each new on-line module, when the
student is ready.

IT Requirements

The minimum specification requirements to complete the e-Learning Foundation Course are detailed below. Please speak to your IT department if you have any concerns about having the relevant operating system/software to complete the course.