Reverse Factoring In India and Its Advantages!
In the business world struggling with cash flow management is a normal thing, and not only small or new start-up but also many established businesses also struggle with it. And in the business world, it is a sign of business failure and puts the bad impact of the relationship between business & suppliers. Consequently, many businesses owners often turn to loans or liquidating assets or inventory to get funds. But on the other hand, every problem have a solution, so we have a better solution for this cash crunch – Reverse Factoring. What is Reverse Factoring? Before talking about the advantages of Reverse Factoring, it is very necessary to know about Reverse Factoring. In this concept, there is a big role in finance or lending institution - also known as “factor” works as a third party mediator between a company and their supplier. At here these factoring companies provide you instant cash on the behalf of your outstanding invoices by purchase bill discounting ...