Affordable factoring

Переваги «Доступного факторингу»

• Менша вартість порівняно з класичним факторинговим фінансуванням
• Можливість фінансування постачань продукції (послуг, робіт) українського походження на умовах відстрочення платежу
• Збільшення кількості потенційнич Покупців
• Збільшення конкурентноздатності
• Перетворення дебіторської заборгованості в обігові кошти
• Хеджування валютних ризиків (можливість уникнення негативних наслідків, пов'язаних зі зміною курсу валюти)

Financing is a key aspect of the development of almost every business. Factoring occupies a special place among the various methods of raising working capital. This is a financial transaction in which a supplier company transfers the right to claim money from its customers to a buyer (factor). Instead of waiting for payment from customers, the company receives funding immediately, albeit for a fee. The factor acquires from the supplier the right to claim money from debtors, receives an agreed fee, and returns the balance of funds to the seller after receiving payment from the buyer.

The factoring mechanism allows businesses to quickly access working capital and improve cash flow. Thus, factoring in Ukraine is an effective tool for liquidity management, especially for companies that face long payment terms from customers or have limited resources to provide trade credit to their customers.

Factoring scheme

Factoring services are financial transactions involving three parties: the supplier, the client and the factor bank. The process usually takes place as follows:

• The factor bank analyses the supplier, the buyer and the supply agreement between them.
• A supplier provides goods or services to a customer on a deferred payment basis, and signs an act of completion or an expense invoice with the customer.
• The factor bank verifies the submitted documents.
• The factor bank provides the supplier with financing in the amount of up to 80% of the amount of the certificate of completion or invoice.
• The supplier assigns to the factor the right to claim money from the buyer.
• After the buyer makes payment for the goods or services received to the factor (usually within a specified period of time, e.g. 30 days), the factor transfers the remaining amount to the supplier. 

Factoring can be defined as financing against the assignment of receivables. It is a financial instrument that allows suppliers to receive funds for goods or services provided more quickly.
 

Advantages of the financial instrument

The main advantages of factoring are:

• Improved financial stability: Factoring gives companies quick access to funds for unpaid invoices. This allows you to pay your suppliers on time and maintain the smooth running of your business, for example, replenish your inventory in a timely manner.
• Delegation of the financial flows distribution centre: the factor usually takes over credit management functions, including assessing the solvency of customers and working with receivables. This allows the supplier to focus on the key aspects of doing business.
• Adaptability of financing: unlike bank loans with fixed repayments, factoring offers flexible financing in accordance with the company's current needs. A company can use this tool as needed without making long-term commitments.

Thus, factoring is an effective solution for many businesses, especially those that face difficulties in obtaining traditional financing.
 

Terms and conditions of the service

Affordable factoring at Cominbank is an effective tool to support domestic production and stimulate economic growth in Ukraine. 

The bank offers favourable financing terms for Ukrainian businesses. Customers pay only 13% per annum on the amount of funding provided in hryvnia. Financing is provided in tranches for up to 360 days, which allows for flexible cash flow management.

The maximum funding limit is UAH 150 million for a group of related counterparties, including participation in the ‘Affordable Loans 5-7-9%’ and ‘Affordable Financial Leasing 5-7-9%’ programmes. This opens up wide opportunities for the development of medium and large businesses.

The programme allows financing up to 95% of the amount of a cash claim, which significantly improves the liquidity of enterprises. The subject matter of the contract may be any products, services or works of Ukrainian origin intended for sale and manufactured by a Ukrainian producer.

How does factoring work?

 To receive this financial service, you need to:

• Contact the nearest branch of Cominbank in Ukraine.
• Enter into a factoring agreement with a bank.
• Sign a contract for the supply of goods with an agreed deferred payment period.
• Wait for the receivables to appear on your company's balance sheet.
• Transfer monetary claims under the contract to the bank in exchange for factoring financing.
• Forward payments from the buyer to the bank account in accordance with the terms of the agreement.

Would you like to get more information about the service or available credit limits? Call us at the phone number provided or write to the chatbot on the website.
 

Ordering a factoring service in COMINBANK
 

COMINBANK offers a factoring service, a modern financial instrument that will help your business improve cash flow and reduce risks.

 Features of factoring in COMINBANK:

• Fast funding: receive up to 90% of your invoice value within 24-48 hours.
• Flexible terms: individual approach to each client, taking into account the specifics of your business.

It is easy to order a factoring service at COMINBANK: contact our managers, provide the necessary documents, and we will develop the best solution for your business.