{"id":2840,"date":"2020-03-23T17:44:22","date_gmt":"2020-03-23T17:44:22","guid":{"rendered":"http:\/\/localhost\/2020\/swoopMW20\/?post_type=knowledge-hub&#038;p=2840"},"modified":"2023-11-29T11:33:46","modified_gmt":"2023-11-29T11:33:46","slug":"chocs-customer-handles-own-collections","status":"publish","type":"knowledge-hub","link":"https:\/\/swoopfunding.com\/ie\/knowledge-hub\/chocs-customer-handles-own-collections\/","title":{"rendered":"CHOCs (&#8216;Customer Handles Own Collections&#8217;)"},"content":{"rendered":"\n<p><em>CHOCs (&#8216;Customer Handles Own Collections&#8217;) is a hybrid of <a href=\"https:\/\/swoopfunding.com\/ie\/knowledge-hub\/invoice-factoring\/\">invoice factoring<\/a> and <a href=\"https:\/\/swoopfunding.com\/ie\/knowledge-hub\/invoice-discounting\/\">invoice discounting<\/a>. It&#8217;s a disclosed (non-confidential) facility, like <a href=\"https:\/\/swoopfunding.com\/ie\/knowledge-hub\/invoice-factoring\/\">factoring<\/a>, but with a CHOCs facility you continue to handle your own credit control, like invoice discounting.<\/em><\/p>\n\n\n\n<p>With a CHOCs facility, you chase your customers for payment and use your own credit control processes, which is why also known as &#8216;Customer Handles Own Credit Control&#8217; or CHOCC. In this way it&#8217;s similar to invoice discounting.<\/p>\n\n\n\n<p>The key difference is that your customers pay the invoice finance provider rather than you. So it&#8217;s usually disclosed. (There is however a variant known as confidential CHOCS.)<\/p>\n\n\n\n<p>CHOCs might be a good option if:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>your business doesn\u2019t qualify for invoice discounting by being too early-stage \u2013 you still have to show you have the capability to chase invoices<\/li><li>you prefer to avoid the extra admin costs involved with outsourcing credit control to a finance provider (as you would with factoring). This is especially relevant if you typically raise multiple low-value invoices \u2013 making for lots of customers who need chasing<\/li><li>you prefer to maintain relationships with customers \u2013 bear in mind that your clients will know you&#8217;re using the facility because they\u2019re paying the finance provider, not you.<\/li><\/ul>\n\n\n\n<p>Like all <a href=\"https:\/\/swoopfunding.com\/ie\/knowledge-hub\/invoice-finance\/\">invoice finance<\/a>, a lender will release up to 95% of the value of your invoices. The remaining 5% will also be made available when your customers pay.<br><\/p>\n","protected":false},"excerpt":{"rendered":"<p>CHOCs (&#8216;Customer Handles Own Collections&#8217;) is a hybrid of invoice factoring and invoice discounting. It&#8217;s a disclosed (non-confidential) facility, like factoring, but with a CHOCs facility you continue to handle your own credit control, like invoice discounting. With a CHOCs facility, you chase your customers for payment and use your own credit control processes, which [&hellip;]<\/p>\n","protected":false},"author":1,"menu_order":57,"template":"","segment":[1637],"class_list":["post-2840","knowledge-hub","type-knowledge-hub","status-publish","hentry","segment-invoice-finance"],"acf":[],"featured_image_urls_v2":{"full":"","thumbnail":"","medium":"","medium_large":"","large":"","1536x1536":"","2048x2048":"","image_blog":"","image_blog_full":"","image_podcast":"","image_banking":"","image_blog_internal":"","image_blog_medium":"","image_single_banking":""},"post_excerpt_stackable_v2":"<p>CHOCs (&#8216;Customer Handles Own Collections&#8217;) is a hybrid of invoice factoring and invoice discounting. It&#8217;s a disclosed (non-confidential) facility, like factoring, but with a CHOCs facility you continue to handle your own credit control, like invoice discounting. With a CHOCs facility, you chase your customers for payment and use your own credit control processes, which is why also known as &#8216;Customer Handles Own Credit Control&#8217; or CHOCC. In this way it&#8217;s similar to invoice discounting. The key difference is that your customers pay the invoice finance provider rather than you. So it&#8217;s usually disclosed. (There is however a variant known&hellip;<\/p>\n","category_list_v2":"","author_info_v2":{"name":"root","url":"https:\/\/swoopfunding.com\/ie\/author\/root\/"},"comments_num_v2":"0 comments","_links":{"self":[{"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/knowledge-hub\/2840","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/knowledge-hub"}],"about":[{"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/types\/knowledge-hub"}],"author":[{"embeddable":true,"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/users\/1"}],"version-history":[{"count":0,"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/knowledge-hub\/2840\/revisions"}],"wp:attachment":[{"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/media?parent=2840"}],"wp:term":[{"taxonomy":"segment","embeddable":true,"href":"https:\/\/swoopfunding.com\/ie\/wp-json\/wp\/v2\/segment?post=2840"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}