Factoring in Brief

QNB Finansbank

Factoring is a financial model that combines financing, guarantee and collection services whereby accounts receivable, whether present or future, arising from sales of goods and services by companies are assigned to a factoring company.

Financing

Means payment of a certain proportion of the accounts receivable assigned to the factoring company to the seller before maturity as prepayment

Guarantee

Means guaranteeing the assigned accounts receivable against the risk of the buyer’s insolvency or bankruptcy in the framework of the factoring agreement

Collection

Monitoring, managing and collecting the accounts receivable at maturity and providing the necessary reporting to the client.