What is factoring? Factoring is the recurring purchase of receivables from deliveries of goods or services in return for immediate payment of the pro rata purchase price. With factoring, you give your company more liquidity and thus also increase your credit rating with banks. Factoring is gaining reputation with businesses and has established itself as a solid pillar in the financial world. More and more companies rely on for business finance factoring service. What are the benefits a company by factoring? * 100% increase in liquidity default protection on defaults * * Improved credit rating greater bargaining power in acquiring new customers * cost savings through utilization Discount What fees incurred when factoring? Which depends on the factoring services. There are differences in the calculation of factoring clients. Some providers charge the factoring fees in annual sales, while others are actually purchased on the invoices. But one thing is the same for all: youget paid once your customer invoices. Which alternatives are there with factoring? * Open full-service factoring: All the benefits here in full evidence, such as 100% loss protection, improving the balance sheet figures, as well as increasing the liquidity of the company * real factoring: In true factoring the factor assumes the risk of default to 100%, ie, a customer pays not, it is the same factor in the management of receivables. * Phony Factoring: The quasi-factoring the factor assumes the risk of default NOT. * In-house Factoring: Factoring in the local area, the company itself takes over the accounts receivable, as it were in trust for the factoring company. Thus, the default risk and liquidity is maintained. * Maturity factoring: The maturity factoring, the failure protection (risk hedging) and receivables management is used, however, waived the liquidity. * And many other forms of factoring more contact with factoring services, visit the German factoring portal and find out more aboutFactoring.