Factoring is typically oriented toward establishing a long-lasting relationship with customers rather than dealing with one specific transaction, working alongside the company in administrative, organisational and financial aspects of credit management.
The areas where Factors (Factoring companies and banks) typically intervene are part of the trade relationship, accompanied by transfer of the company's credits. Factoring may also apply to future credits, in relation to contracts not yet stipulated, credits for financial transactions or tax credits.
Factoring can also apply to Italian suppliers' (exporters') credits with buyers in other companies and foreign suppliers' (importers') credits with Italian debtors.
The need to recover unpaid credits is the last reason why Italian enterprises turn to Factoring services.