Complex banking product for companies offering deferred payment terms

Advantages

Flexible and useful way for financing of the cash-flow
Professional administration of your commercial receivables
Current control of the creditworthiness of your customers in the country and abroad
Credit risk insurance
Collection of receivables from domestic and foreign buyers

Who is the factoring for?

Companies, ative in manufacturing, service and trade, with terms of deferred payment for their invoices
Companies, seeking security for their receivables and coverage of credit risk
Companies, aiming to plan and optimize their cash flows
Companies with demand to be competitive and offer more attractive deferred payment terms to their customers
Companies with desire to conquer new markets without putting their business at risk

Parameters

Factoring is a contract between a client and a financial institution, according to which the Supplier will assign to the Factor receivables arising as a result of the sale of goods or services by the Supplier to its counterparties/buyers with whom deferred payment has been agreed. Against the assigned receivables, the Factor performs at least two of the following services:

Financing
Administration
Collection
Trade insurance

Types of factoring

Recourse Factoring

No credit coverage is applicable in case of non-payment by the Buyer and the Factor has the right to recourse an overdue receivable back to the Client if the payment on it is not performed within 60 days after the due date of the invoice

Non- Recourse Factoring

Avalable credit coverage by approved insurer, upon wchich in case of non-payment the invoice on maturity by the Buyer, the Factor will pay the Client 90 days after its original maturity.

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