SDM-BANK is launching factoring project.
28.11.2007SDM-BANK has extended the range of credit products since July 2006 offering factoring. Factoring is a cession without pledge. Financing amount under factoring operation is 80% of account receivable, which is redeemed by the Bank. The Bank transfers to the customer remaining amount less interests and fees, after cash receipt from the debtor. When the client assigns the debts to the Bank SDM-BANK offers not only financing, but also the work with the debtor. The bank’s responsibilities under the factoring contract include:
- accounting and bookkeeping service;
- reporting on current state of bills receivable accounts;
- control of debtor payment under the contract at maturity and debtor’s arrears administration;
- client’s workflow management in connection with cession;
- other services connected with money claim.
Factoring product assists the companies, which are working on deferred payment terms, to solve the problem of floating assets insufficiency.