Choose factoring suited to your needs
Non-recourse factoring is a service for companies aiming for dynamic business growth, increasing sales, and acquiring new clients, while also valuing security.
With non-recourse factoring, you don’t have to worry about extended payment terms or even the potential non-payment of an invoice. KUKE Finance assumes the risk of your clients’ insolvency.
Non-recourse factoring combines the benefits of financing, i.e., quick access to cash tied up in unpaid invoices, with receivables insurance, ensuring safe cooperation with trading partners.
Tired of waiting for payment for delivered goods or services? When your clients delay payment, you may struggle to maintain financial liquidity. Non-recourse factoring is a quick way to convert invoices into cash. By using factoring from KUKE Finance, you receive cash immediately after issuing an invoice. These funds can be used for any purpose. Factoring also includes a package of additional services, such as managing customer accounts, monitoring, and enforcing payments.
With immediate payment for invoices, your business can maintain financial liquidity, which is crucial for ensuring continuity of operations and achieving development plans. Avoiding payment delays helps you avoid resorting to expensive loans and incurring debt to cover current expenses.
Additionally, full-service factoring offers your business greater flexibility in financial management. With the ability to obtain cash immediately after issuing an invoice, you can quickly respond to changing needs and market opportunities. Whether it’s clearing overdue payments, financing new projects, or increasing financial liquidity, full-service factoring with insurance is an effective tool supporting business growth. This way, you can manage your financial resources more efficiently, minimise risks associated with delayed payments, and gain greater operational freedom.
The essence of non-recourse factoring is that the factor, i.e., KUKE Finance, assumes the risk of insolvency of your clients covered by the factoring agreement.
This is possible through receivables insurance provided by the factor itself or by utilising an existing receivables insurance policy you have with an insurer. In both cases, you eliminate the risk of non-payment by your customers for delivered goods or services.
Additionally, it is worth noting that non-recourse factoring with insurance can be an effective risk management tool for companies operating in foreign markets. By assuming the risk of client insolvency, the factor enables your business to expand into new markets and conduct transactions with foreign business partners without fear of losing financial liquidity.
Another important aspect of non-recourse factoring is its positive impact on managing relationships with suppliers and contractors. By quickly settling payments, your company can gain a reputation as a reliable business partner, which will lead to better cooperation terms and preferential treatment in business relationships.
In the context of business development, non-recourse factoring will also support your company if you plan to invest in infrastructure development, purchase new equipment, or expand into new markets. Immediate access to cash allows you to quickly respond to changing market conditions and take advantage of favourable business opportunities.
Non-recourse factoring with a KUKE Finance policy is a solution where KUKE Finance assumes the risk of insolvency of your clients included in the factoring agreement based on a trade receivables insurance policy concluded between KUKE Finance and KUKE.
If your company uses or plans to use trade receivables insurance offered by KUKE, we can offer you non-recourse factoring based on your receivables insurance policy with KUKE. In this case, KUKE Finance assumes the rights and obligations arising from the policy under a tripartite agreement signed by you, KUKE Finance, and KUKE.
Factoring provides instant access to cash tied up in unpaid invoices. You will no longer have to wait for customer payments in order to settle your own liabilities on an ongoing basis.
Your company will become more competitive, which may result in an increase in the number and value of new orders.
You will no longer have to worry about bad debt. Factoring company takes on the risk of non-payment by your customers.
As your business grows and sales increase, so does the amount of cash available from the factoring company that purchases your invoices.
The factoring company will handle managing and collecting payments from customers. The time and effort spent on these time consuming activities can be redirected to your company’s core business.
You get quick and easy access to cash 24/7 without the need to use traditional and more complicated forms of financing such as bank loans.
