factoring


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factoring

a form of asset financing based on the sale of book debts. Essentially, factoring involves the purchases from suppliers of accounts payable to them by customers to whom they have provided goods or services; such accounts are referred to as ‘receivables’.
References in periodicals archive ?
Keywords: adherent, factor, debtor, unnamed contract, Romanian Factoring Association
This article will first provide a definition of factoring, then discuss the circumstances in which factoring might be appropriate, and conclude with some pointers on types of structures for factoring agreements.
A business that combines both service and lending, factoring is defined as a financial package that provides credit protection, bookkeeping, collections and finance.
According to the participants in the operation of factoring, we can distinguish:
Certainly, factoring costs more than traditional banking.
Factoring has long intrigued and perplexed number theorists.
Long since a staple of the garment industry in New York, the Carolinas, and Los Angeles, factoring is now widely available to commercial firms of just about any size in just about any industry.
The documents used in export factoring are among the very few international legal documents protecting exporters.
Factoring is the practice of purchasing and selling accounts receivable invoices at a discount from their face value.
For a long time the adage, "The more things change, the more they remain the same" seemed particularly apt for factoring. Factoring, a flexible credit and collection service based on the purchase of clients' accounts receivable, until recently employed essentially unchanging techniques and market approaches.
More industries use factoring to capitalize small businesses
Constructed 75 years ago, it also represents the first known, successful attempt to automate the factoring of whole numbers.