1. Is Factoring an alternative to bank loans ?

Factoring is an administrative aid and a financial technique which meets companies' needs in the area of supply credit management

Factoring includes a number of different services:
credit administration, management and collection
legal aid recovering credits
assessment of customers' dependability
advance payment of credits before they fall due
guarantee of successful conclusion of operations

Factoring is therefore not an alternative to bank loans, but it definitely offers a financial component which may be used as a complement to other sources of financing available to the company.

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