How we Factor

How we Factor?

Once a transaction is complete, the Supplier sends an (enforceable) invoice to the Buyer.
This invoice will be assigned to the Factor, who purchases this within the parameters established with regard to the Buyer. 80-90% of the face value of these invoices is immediately refunded to the Supplier.
The Factor undertakes the appropriate collection measures to ensure that the invoices are settled on time.

Once a transaction is complete, the Supplier sends an (enforceable) invoice to the Importer.
This invoice will be assigned to the Export Factor, who purchases this and similar invoices within the parameters established with regard to the importer. 80-90% of the face value of these invoices is immediately refunded to the Supplier.
The Export Factor often involves an Import Factor who backs the former with regard to suitable collection measures, and an appropriate credit evaluation of the Importer. The Import Factor also often backs the Export Factor in taking the credit risk on such importers.
The Importer pays the Export Factor via the Import Factor.
Factors Chain International (FCI) or International Factors Group (IFG) is a must in order to be able to communicate with all correspondent factor worldwide

The Buyer receives goods as ordered from the Seller, together with the corresponding invoice.
Once confirmed, payables will be transferred to the Factor who offers an early payment against a discount and fees to the Seller, within the parameters established with regard to the Buyer.
The Factor settles payables promptly if this is desired by the Seller (as per terms set by Factor).
The Factor is paid back by the Buyer at the established due date.
The Buyer may purchase from local or foreign suppliers.

This service can be performed under Domestic or Export factoring as the factor here is undertakes the appropriate collection measures to ensure that the invoices are settled on time for collection fee.