Domestic factoring

Domestic factoring is suitable for trading and manufacturing companies involved in production or sales of goods and services to customers in the Czech and Slovak Republic. Domestic factoring is an effective financing based on purchase of domestic short-term trade receivables. The service includes financing of receivables prior to their due date as well as management and collection of receivables. We offer domestic factoring in both recourse and non-recourse forms. Non-recourse form of domestic factoring includes insurance of receivables against customers’ unwillingness or inability to pay (insolvency) up to 85% of the receivables' nominal value.

 

Recourse factoring 

How does it work? 

The client (supplier) assigns a receivable issued to his customer to our company  and we immediately provide him with pre-financing, usually in the amount of 80% of the receivable's nominal value. After the customer pays the receivable in favour of our account, we transfer the remaining amount (up to 100% of the receivable's nominal value) to the client. If the customer does not settle the invoice by the end of the recourse period (usually 30 days after due date), the client returns the provided pre-financing to our company.

 

Scheme of recourse factoring 

If you are interested in our offer, please contact our sales representative. In case you are not sure whether factoring is an appropriate solution for your financing, please complete the factoring test to find out. 

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