How does it work?


In every country, the contracts are built around the following three principles:

Billing management:
A company can opt to completely delegate the day to day management of the billing department. If it desires to keep control over this activity, it does so under a mandate of the Factor. Factors have precise procedures which then have to be followed.

Notification:
A company can choose to mention to their own clients on the invoices that these have been sold, and that payment must be addressed to the factor directly.

Recovery:
A contract can guarantee unpaid bills with recovery (the factor returns the bills to the client company) or without recovery (the factor covers the unpaid bills).