International Factoring - PowerPoint PPT Presentation

View by Category
About This Presentation
Title:

International Factoring

Description:

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

Number of Views:37

less

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

Title: International Factoring


1
International Factoring
  • 48 Factoring Inc.

2
Contents
  • What is factoring 2.0
  • What is international factoring transaction
  • Steps to International Factoring
  • Conclusion

3
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
    months.
  • 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.

4
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
    pay.
  • Europe and North America is most advanced in
    international factoring transaction.

5
Contd..
  • 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.

6
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.

7
Contd..
  • Now the importer will have the full value of the
    invoice and will pay the factor his funds,
    enabling them to pay the exporter.

8
Thank You
  • 48factoring Inc
About PowerShow.com