Factoring services for the SME

HSBC offers Factoring Services in the UAE with the experience, resources and technical capabilities to support the needs of any business - from local to global.

What is Factoring?

Factoring combines sales-linked finance, bad debt protection, payment collection and transmission services that helps businesses to compete with 'local suppliers' on equal trading terms.

Quite simply, if a business is trading with another business on open account credit terms, HSBC Factoring Services has the potential to help grow business sales, speed up cash flow, collect payment on invoices and, in selected cases, even protect business from the risk of bad debt.

Benefits of Factoring

- Flexible finance enables you to accept new orders with confidence.

- Available funds can help to give you greater buying power with your suppliers.

- It helps you avoid the dangers of over-trading
Your funding keeps pace with your sales - setting up new limits and reviewing those in place is now quicker and easier.

- Based on sales invoices, additional fixed asset security is not normally required.

- Protects your profits and cash flow against the ever-present trade credit dangers of bad debt (with pre-approved individual debtor limits).

- It helps to release additional time and resources (from chasing and processing payments) enabling you to concentrate on your core business activities.

- Our international factoring correspondents across the globe have country specific knowledge and can correspond with your buyers in their own language.

HSBC's Factoring Services

HSBC provides finance against invoices - benefit from the HSBC 'pay for funds in use' service with sales ledger administration related to account receivables.

The bank also helps with collection of receivables, taking great care to support hard won customer relationships - and collecting tactfully, efficiently and effectively.