英国保理理论权威Mr. Freddy Salinger在《Factoring Law and Practice》(中文版《保理法律与实务》,刘园、叶志壮译)中将保理界定为“指以提供融资便利,或使卖方免去管理上的麻烦,或使卖方免除坏帐风险,或以上任何两种或全部为目的而承购应收帐款的行为(债务人因私人或家庭成员消费所产生的及长期付款或分期付款的应收帐款除外)。”这个定义基本在英国被采用。而在美国,较为流行的定义是《商业律师》一书中提到的,“保理业务是指承做保理的一方同以赊销方式出售商品或提供服务的一方达成一个带有连续性的协议,由承做保理方针对由出售商品和提供服务而产生的应收帐款提供以下服务:
(一)以即付方式买下所有应收帐款;
(二)负责有关应收帐款的会计分录及其它记帐工作;
(三)到期收回债款;
(四)承担债务人资不抵债的风险(即信用风险)。”上述两个定义很恰当地反映了英美国家对事物描述的界定特征,非常符合FCI对保理业务内容的限定,即保理主要包括四项服务:资金融通、帐务管理、应收帐款收取和坏帐担保。
指在以商业信用出口货物时[如以D/A作为付款方式 承兑后若干天付款 days after acceptance (D/A)],出口商交货后把应收账款的发票和装运单据转让给保理商,即可取得应收取的大部分贷款,日后一旦发生进口商不付或逾期付款,则由保理商承担付款责任,在保理业务中,保理商承担第一付款责任。若保理商对上述预付款没有追索权,对余款也要担保付款,即称之为无追索权保理,反之则为有追索权保理。
Question: What do these companies have in common: A Fortune 500 software manufacturer, a venture-backed telco, and a boot-strapped start-up?
Answer:
THEY HAVE ALL ACCESSED VITAL FUNDING THROUGH RECEIVABLES FINANCING. Clearly, companies that are this diverse approach funding for different reasons and in different ways. But firms of every size and description have found that receivables financing—commonly termed “factoring”--can prove vital in achieving individual business goals.
Factoring is essentially the sale or financing of invoices. Most invoices have extended terms --30, 45 or 60 days. A company can either wait for its customer to pay, offer a discount to get the customer to pay early, or finance the invoice. Each option has a cost. By waiting for the customer to pay, particularly if cash is tight, there is an opportunity cost; a company loses the use of these funds during that period. By offering a discount—perhaps two percent for payment in 10 days--you run the risk of having the customer take the discount, while still waiting 30 to 60 days to pay the invoice. By financing the invoice, there is also a cost--a factoring fee--but you are in control. You can decide what invoices to finance, and when. You are not reliant upon your customer’s payment in order to meet your own obligations, or better yet, take advantage of sudden opportunities in the marketplace. This may prove vital for a company contemplating R&D and marketing efforts in advance of a new product launch.
Mechanics of Factoring:
First, the factor (lender) determines if your business fits its profile. The factor then analyzes your receivables, checking the credit of your customers and the validity of the invoice. Once verified, the factor advances 70 percent to 80 percent of the face amount of the invoice. When your customer pays, which is usually to the factor’s lock-box, a factoring fee is deducted from the payment. The fee usually ranges from one percent to four percent of the invoice amount, depending on when the customer pays. If the invoice is disputed by your customer, the invoice must be replaced or repaid.
Cost of Venture Factoring?
Venture Capital vs. Venture Factoring
What is the real cost?
You might have heard individuals talk about how expensive traditional factoring is compared to traditional bank lines of credit.
Of course it is; you have a company with a young operating history, which hasn't turned a profit yet. You can't expect a traditional bank to be able to make a loan to a start-up that is losing money. But consider the real cost of venture capital.
In the February 15, 1999 issue of Business Week, the author, Linda Himelstein wrote an article about Benchmark Venture Capital. She points out an investment that Benchmark made in 1997 when it bought 22% of Internet- auction highflier eBay Inc. for $5 million. In February of 1999, that stake was worth about $2.5 billion. That is a whopping 49,900% return in less than two years, she reports.
Now that may be an extreme example, but it makes you think twice about the true cost of capital. Additionally, be prepared to give up some control of your company to the venture capitalist in the form of Board seats. They want to make sure you spend their money wisely. With Venture Factoring you are not required to grant Board seats.
Frankly speaking, Venture Factoring can cost anywhere from Prime plus 3 or 4 with a warrant play, all the way up to 3% per month. But even 36% annually is a lot more reasonable than 24,950% (half of the 49,900% that eBay gave up in two years).