Factoring

Get paid before your invoices are due.

Factoring is a working capital financing solution for companies that sell goods or services on deferred payment terms. By assigning a trade receivable to the bank, your company receives an agreed portion of the invoice value before the payment due date.

How it works

• Deliver goods or services to your buyer and submit the corresponding invoice to the bank.
• Once the bank reviews and approves the receivable, it advances an agreed portion of the invoice value.
• The buyer pays the invoice according to the agreed terms. After settlement, the bank releases any remaining balance in accordance with the factoring agreement.

How factoring helps your business

Factoring lets you keep the payment terms you’ve agreed with your buyers while accessing cash sooner to pay suppliers, replenish inventory, or cover operating expenses.

The financing amount, tenor, and pricing depend on the assessment of your company, the buyer, and the receivables submitted.