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International TradeID: kb-trd-055

Factoring Agreement (International)

Agreement to sell accounts receivable to a third party for immediate cash.

Added: October 2, 2025
Applicable: Universal

Detailed Explanation

International Factoring involves an exporter selling their foreign accounts receivable to a factor (financial intermediary) at a discount. The factor assumes the credit risk of the foreign buyers and handles collections, providing the exporter with immediate working capital.

Tags

#finance#receivables#cash flow#collections

Applicable Countries