Domestic Factoring

Accelerate the receivables turn-around time which reduces your book keeping costs and

Domestic Factoring:

These are factoring services offered when the seller (client), the debtor and the factoring company are in the same country and in which financing, guarantee and collection functions may be used collectively or separately.
How it works
A seller who is willing to benefit from factoring services notifies the factoring company of its present/future receivables arising from the sales of goods and services together with necessary information and documents. After reviewing such documents, the factoring company presents to the seller a quote that describes the services to be performed and the commission and fees to be charged. A Factoring Agreement is executed by and between the factoring company and the seller. The seller assigns invoice or similar document evidencing the receivables to the factoring company.
An advance payment (pre-payment) may be made by the factor upon the seller's request, pursuant to the conditions of the Factoring Agreement.
  • Turns your receivables into cash.
  • Makes your credit sales easy and safe.
  • Allows the seller to have a more liquid balance sheet as a result of the reduction in receivables and payables, and creates more working capital.
  • Reduces potential costs as a result of purchase of raw materials in cash, thereby, increases production efficiency and profitability
  • Companies increase competitiveness, expand their market share, and improve quality standards, thanks to the deferred payment facility granted to buyers.
  • Saves time and money as follow-up and collection processes are carried out by the factoring company.
  • Informs you on the credit worthiness of your buyers, and help you avoid selling goods to risky buyers thanks to the inquiry and guarantee service

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