Hi my dear Tutor,I have a question.I watched your lecture and it is really fantastic and excellent.Coming to my question about factoring below could you explain it ?I understood invoice discounting but could not catch factoring.
Factoring is paying another company to administer?What do you mean by saying it?
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Factoring
You mean I sell my receivable to another company and another company buys my receivables and receives each customer's receivables each month?
7y ago#2No - we do not sell the receivables to the factor.
We simply pay the factor to collect the money for us.
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