Factoring in practice and the impact on liquidity of companies
Factoring in practice and the impact on liquidity of companies
Author(s): Ivana VasićSubject(s): Economy, Business Economy / Management, Accounting - Business Administration
Published by: Finrar d.o.o Banja Luka
Keywords: factoring; factor; assignor; debtor; reverse factoring; supplier factoring; discount financing; liquidity;
Summary/Abstract: The management of working capital and accounts payable is essential for maintaining the liquidity of the company. Factoring is a source of short-term funds, but also the instrument for liquidity management. Factoring is a financial service that companies use to transform account receivables into cash. The aim of this work is to approach the functioning of factoring operations in practice and point out the specific characteristics of some types of factoring, and, to emphasize its direct impact on the cash conversation cycle and business cycle of the company.
Journal: Financing - naučni časopis za ekonomiju
- Issue Year: 8/2017
- Issue No: 1
- Page Range: 29-43
- Page Count: 15
- Language: English, Serbian