Reverse Factoring
Reverse Factoring is a financing solution for the buyer, as it allows for extended payment terms, while also benefiting the supplier, who can receive funds prior to the actual due date. As part of the offered solution, Citi Handlowy repays receivables paid by the Buyer.
In traditional negotiations regarding commercial terms, the Buyer and the supplier have contradictory goals: the Buyer wants to pay as late as possible, whereas the Supplier wants to receive payment as soon as possible.
Service addressed to companies that
- companies that can get a discount from Suppliers
- companies that would like to improve financial liquidity and extend the payment deadline
- companies that cooperate with regular Suppliers
- companies that they want to be competitive on the market
PAYOUT AND REPAYMENT MODELS
Benefits
- early repayment of liabilities to Suppliers before the invoice payment date allows you to obtain more favorable commercial conditions (discount)
- improvement of the Buyer's financial liquidity thanks to postponing the payment date of the obligation
- no need to sign separate agreements with suppliers
- effective control of the debt level
- possibility of financing 100% of the invoice (net and VAT)
- easy and fast processing of applications on the electronic platform of the bank
- invoices presented to the bank only upon request
- no fees for transfers to suppliers
- possibility of early repayment of the invoice (no commission fee)
- ability to add a new supplier via e-application
- possibility of adapting the solution to the specific nature of the client's business
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