Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount. A business will sometimes factor its receivable assets to meet its present and immediate cash needs. This revolving short term financing facility enables the suppliers/ service providers to realize the maximum portion of the payment soon after the delivery is made to the buyer.

  1. Your business must sell to a credit worthy debtor/buyer on a regular basis.
  2. Subject to clean CIB report from Bangladesh Bank.
  3. A receivable/ invoice/ bill that can be verified or has an acceptance by the institutional buyer/debtor.
  4. Having multiple institutional buyers/ debtors is even better.

  1. We provide loan facility up to certain limits.
  2. Channel financing refrain you from further credit to pay off suppliers, as funds are directed to Channel partners.
  3. Suppliers or Customers will receive payments right after the delivery of goods or services. Therefore funds are no longer tied up in receivables.
  4. Steady source of working capital finance increases purchasing power of your channel partners, resulting higher sales and profitability.
  5. Simplicity of documentation and approval procedures.