Factoring for SMEs | Immediate Liquidity

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Factoring for SMEs

Factoring para PYMEs: menos espera por las facturas abiertas

Para pequeñas y medianas empresas con facturas abiertas: explicamos cómo funciona el factoring y si encaja con su empresa, para que no tenga que esperar a que lleguen los pagos.

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What is Factoring and How Does it Work?

Factoring is a proven financing solution where companies sell their open receivables to a factoring company.

You issue an invoice to your customer for goods or services
You send the invoice to the factor (electronically or by post)
The factor transfers the agreed advance to you within 24-48 hours
Your customer pays the invoice directly to the factor
After payment receipt, you receive the remaining amount minus the factoring fees

The Most Important Advantages of Factoring for Your Company

Immediate Liquidity for Your Daily Business

You no longer have to wait for late payments. The money is available to you within 24-48 hours.

Protection Against Payment Defaults

With true factoring, the factoring company takes over the complete default risk.

Better Credit Rating and Banking Conditions

Factoring significantly improves your balance sheet structure and leads to better ratings.

Relief of Your Accounting

Depending on the factoring variant, the factor takes over the entire receivables management.

No Elaborate Credit Check

Unlike classic bank loans, not your creditworthiness is in focus, but your customers' payment ability.

What Does Factoring Cost? Transparent Fee Structure

The costs for factoring are manageable and predictable.

Sales volume: Higher annual sales lead to lower factoring fees
Industry affiliation: Trade often receives better conditions than crafts
Payment terms: Shorter payment terms (30-60 days) are more cost-effective
Factoring variant: In-house factoring is cheaper than full-service solutions

Factoring vs. Bank Loan: Which is the Better Choice?

Factoring proves to be particularly superior when you need quick liquidity for ongoing costs, bridge long payment terms of your customers, want to protect yourself against payment defaults, or want to improve your creditworthiness with banks.