Reverse Factoring – Supply financing

Reverse Factoring – Supply financing

Supply Financing is a series of solutions that enable suppliers who regularly sell goods and services to corporations and large-scale enterprises to convert the receivables arising from such sales into cash. This way, suppliers can get liquidity any time they need, while buyers optimize their cash flows, liquidity and working capital through more flexible adjustment of maturities with their suppliers.

  These solutions allow the main company involved in the system that buys goods/services and all its suppliers to benefit from collection, guarantee and financing services of the factoring product group

Parties: We design a model that fits the trade between the main company and supplier in order to optimize cash flow and productivity for both parties.

Easy Lease

Benefits for main companies/Buyers

  • Raising working capital through trade finance without having to use loans.
  • The opportunity to make purchase transactions with longer maturities.
  • Providing the supplier with the earlier collection possibility against deferred payments via factoring, and using it as a competitive edge to reduce purchasing costs.
  • Eliminating reliance on cheques and promissory notes as a payment instrument as factoring enables suppliers to get financing via assignment of invoices.
  • Increased operational efficiency as all payments are made only to the account of the Factoring Company.
  • As the main buyer offers standard and quick financing to suppliers in need, the buyer can enjoy higher competitiveness and negotiation power with suppliers.

Benefits for Suppliers

  • Quick access to financing without the need for any security thanks to creditworthiness of the main company.
  • Affordable financing costs determined by the main company’s competitive power
  • Opportunity to have long-term and lasting relations with the main company
  • Effective cash flow and balance sheet management thanks to quick financing
  • Higher sales volumes without the need for additional bank loans
  • Financing through invoice only
  • Securing regular financing, without facing the hurdles like financial structure or receivables concentration with respect to bank loans
  • The opportunity to conduct purchase transactions with longer maturities  Operational efficiency