International Factoring - PowerPoint PPT Presentation

View by Category
About This Presentation

International Factoring


Here we explained the concept of international factoring. – PowerPoint PPT presentation

Number of Views:37


Write a Comment
User Comments (0)
Transcript and Presenter's Notes

Title: International Factoring

International Factoring
  • 48 Factoring Inc.

  • What is factoring 2.0
  • What is international factoring transaction
  • Steps to International Factoring
  • Conclusion

What is Factoring 2.0
  • Factoring 2.0 is one of the best financial
    alternative for small business.
  • This mainly depend on customer invoice. For this
    process, your business should be one year old and
    revenue should be more than 100,000 in last 12
  • Factoring 2.0 is different from loan. Here
    funding mainly depend on customer invoice with
    fast approval and minimal paperwork.
  • It is one of the easy financing options for small
    business owners.

What is International Factoring Transaction
  • It is one type of invoice factoring and it is
    conformity between company and factor . Here
    factor buys trade debts.
  • Factor provides different kind of services such
    as collection of debts, financing, sales ledger
    maintenance, and security against credit risk .
  • International Factoring comes in different forms,
    depending on company needs and how much they can
  • Europe and North America is most advanced in
    international factoring transaction.

  • There are different type of international
    factoring transaction i.e. Single factoring
    system, direct export factoring system, two
    factoring, direct import factoring, and back to
    back factoring are five options.

Steps to International Factoring
  • The company exports the collateral signs, an
    agreement with the factor which labels all the
    products to the factor.
  • The factor choose another company to which they
    assign the product. This will allow the importer
    to import the product into the country .
  • In meantime, the importer runs the credit of the
    person buying the product and establishes a line
    of credit.
  • After everything has been finished, the original
    factor will increase a percent of the invoice's
    value to the original company usually this goes
    up to 80.

  • Now the importer will have the full value of the
    invoice and will pay the factor his funds,
    enabling them to pay the exporter.

Thank You
  • 48factoring Inc