Why Faktoring?
Liquid Balance
Firms that turn their post-dated receivables into cash via factoring can make their balance more liquid. Since the follow-up, collection and management of receivables will be performed by the factoring company, they save on the operational costs, workforce, time and resources.
By this means, they have the opportunity to make more time and to create more resources to the main fields of activity.
Funding with internal resources
Particularly the small and medium-sized enterprises (SMEs) can provide funds by turning their own resources (post-dated receivables) into cash without resorting to external resources. Firms that increase their competitive power increase also their market share while making their cash flows regular and efficient.
Discount opportunity with cash purchase
Medium sized enterprises can easily turn their sales, which they usually make as an open account to large companies, into cash. Therefore, they have the opportunity to provide discount by making cash purchases from supplier firms.
Competitive power in foreign markets
Exporters can increase their share in foreign markets without any risk by benefiting from the guarantee service.
Guarantee of receivables
Firms that are obliged to export against goods as a result of the competition conditions and the increasing demand of the foreign companies can guarantee their receivables by means of factoring and they also have the opportunity to turn such receivables into cash by benefiting from the financing service. Since factoring does not create costs for importers, it is a highly preferred product abroad.
Easy solution for export and import
Disputes to arise between the exporter and the importer are more easily settled with the help of the correspondent factor.
Tax advantage for export and import transactions
For the export factoring transactions, sellers are exempt from any kind of tax. In addition, importers benefit from all the advantages of cash import through factoring transactions.
Why Factoring?
