Option 3: Factoring

FA

Here our anchor-client acts in the capacity of Seller. We agree on an receivables finance programme for a number of pre-approved off-takers.

Sales invoices are uploaded onto our SCF platform and form the “Borrowing Base” – against which we finance 80% by means of advances. FACTS does not (!) get involved in the collection process – the Seller remains fully responsible for off-taker relationships.

  1. Seller delivers to multiple off-takers
    • .. and issues sales invoice
    • .. terms are 30-60-90 days
  2. Seller uploads the invoices onto the FACTS Supply Chain Finance platform
    • .. and submits an Advance Request;
  3. Within the agreed credit limit, FACTS pays the Seller advances against eligible invoices;
  4. On invoice due date, the off-taker pays the nominal value of the invoice directly to a FACTS collection account

Option 4: Invoice Discounting

Stand-alone invoice discounting is a product that is appropriate for more complex project-management situations, where a series of milestones or deliverables need to be met over time.

Usually, an agreed Factoring programme will meet the working capital requirements of our clients in a more flexible and efficient manner.

  1. Seller uploads the invoice onto the FACTS Supply Chain Finance platform and requests FACTS for an invoice discount transaction;
  2. Within the agreed credit limit, FACTS will discount the invoice on behalf of the Seller;
  3. On invoice due date, the project owner pays the nominal value of the invoice directly to a FACTS collection account.
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