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					MANAGEMENT OF FINANCIAL SERVICES




         FINANCIAL SERVICES



         FACTORING SERVICES
                  FACTORING SERVICES


•   CONCEPT AND MEANING OF FACTORING

•   ROLES PERFORMED BY A FACTOR

•   FACTS OF FACTORING

•   FACTORING VERSUS BANKS

• FACTORING OPTIONS

• FACTORING PROCESS

• FACTORING DISPUTES AND FRAUDS

• BARRIERS TO FACTORING BUSINESS
CONCEPT AND MEANING OF FACTORING




   SIMPLY SPEAKING, FACTORING IS

“THE PURCHASE OF INVOICES FOR CASH”
                OR
   “THE PURCHASING OF ACCOUNTS
          RECEIVABLES TO
      PROVIDE WORKING CAPITAL”
           CONCEPT AND MEANING OF FACTORING

AN ARRANGEMENT BETWEEN A FACTOR (FINANCIAL INSTITUTION) AND ITS
CLIENTS (BUSINESS CONCERN SELLING GOODS AND/OR PROVIDING
SERVICES TO A TRADE CUSTOMER (BUYER) USUALLY ON AN OPEN
ACCOUNT BASIS*)WHEREIN THE SUPPLIER ASSIGNS BOOK DEBTS TO THE
FINANCIAL INSTITUTION WITH SPECIFIC REGARD TO THE EMBEDDED
CREDIT MANAGEMENT SERVICES OFFERED BY THE FACTOR           FOR
COLLECTING THESE DEBTS


*OPEN ACCOUNT BASIS IS A ARRANGEMENT BETWEEN THE SELLER
 (CLIENT) AND THE BUYER (CUSTOMER) WHEREBY THE GOODS ARE
 MANUFACTURED AND DELIVERED BEFORE PAYMENT IS REQUIRED.
 SELLER USES NO BANK , SO ANY FOLLOW UP FOR PAYMENT HAS TO BE
 DIRECT
          CONCEPT AND MEANING OF FACTORING

                    FACTORING DEFINED

THE UNIDROIT CONVENTION ON INTERNATIONAL FACTORING HELD IN
OTTAWA, CANADA IN 1988 DEFINES A “FACTORING CONTRACT” TO
MEAN “A CONTRACT CONCLUDED BETWEEN ONE PARTY (THE
SUPPLIER) AND ANOTHER PARTY (THE FACTOR) PURSUANT TO
WHICH”:


a) THE SUPPLIER MAY OR WILL ASSIGN TO THE FACTOR RECEIVABLES
   ARISING FROM CONTRACTS AND SALE OF GOODS MADE BETWEEN
   THE SUPPLIER AND ITS CUSTOMERS (DEBTORS) OTHER THAN
   THOSE FOR THE SALE OF GOODS BOUGHT PRIMARILY FOR THEIR
   PERSONAL, FAMILY OR HOUSEHOLD USE;
                       FACTORING DEFINED

b) THE FACTOR IS TO PERFORM AT LEAST TWO OF THE FOLLOWING
   FUNCTIONS:

   •FINANCE FOR THE SUPPLIER, INCLUDING LOANS AND ADVANCE
    PAYMENTS;

   •MAINTAINENANCE OF ACCOUNTS (LEDGERING) RELATING TO THE
    RECEIVABLES;

   •COLLECTION OF RECEIVABLES;

   • PROTECTION AGAINST DEFAULT IN PAYMENT BY DEBTORS

c) NOTICE OF THIS ASSIGNMENT OF THE RECEIVABLES IS TO BE GIVEN
   TO DEBTORS
               FACTS OF FACTORING


F   FACTORING IS A COMPOSITE FINANCIAL
    FACILITY THAT MIGHT TYPICALLY INCLUDE

A   ASSUMPTION     OF CREDIT RISK

C   COLLECTION AND MONITORING OF
     RECEIVABLES

T   TRADE FINANCE

S   SALES LEDGER ADMINISTRATION
                FACTORING VERSUS BANKS

FACTORING FIRMS OPERATE ON “BUY-SIDE” OF FINANCIAL SERVICES
INDUSTRY AS OPPOSED TO “SELL-SIDE” FIRMS LIKE BANKS THAT GIVE
LOAN USING RECEIABLES AS COLLATERAL



BANKS USUALLY CONCENTRATE ON CASH FLOW, PROFITABILITY,
CAPITAL, YEARS IN BUSINESS AND PREFER LENDING BACKED BY
COLLATERAL. FACTORING COMPANIES DECISION TO PURCHASE INVOICES
IS PRIMARILY INFLUENCED BY QUALITY AND PERFORMANCE OF
CUSTOMERS


UNLIKE BANKS FACTORS OPERATE IN HIGH RISK ZONE AND PROVIDE
FUNDING TO FIRMS WHICH ARE SHORT ON HARD ASSETS AND LONG ON
SALES ORDERS
             ROLES PERFORMED BY A FACTOR



•   THE WORD “FACTOR” STANDS FOR „FINANCIAL-ACTOR‟



•   FACTOR WEARS MANY HATS UNDER DIFFERENT ROLES
    PERFORMED BY HIM

•   THE DIVERSE ROLES A FACTOR PLAY TODAY ARE:
FACTOR AS CREDIT INVESTIGATOR
              ROLES PERFORMED BY A FACTOR


SITUATION I   ASCERTAINING THE BONAFIDES OF POTENTIAL
              CUSTOMER

ROLE          CREDIT INVESTIGATOR
PERFORMED

RATIONALE     PREVENTIVE ASSESSMENT OF BUYER‟S CREDIT
              WORTHINESS
ACTION        FACTOR USES HIS SOURCES / CONTRACTS/
              COUNTERPARTS
OUTCOME       CREDIT INFORMATION ON BUYER
FACTOR AS CREDIT INSURER
               ROLES PERFORMED BY A FACTOR

SITUATION II     PAYMENT DEFAULT

ROLE             CREDIT INSURER
PERFORMED
RATIONALE        CREDIT RISK MANAGEMENT

ACTION           FACTOR USES HIS SOURCES / CONTRACT/
                 COUNTERPARTS

OUTCOME          GUARANTEE PAYMENT IN THE EVENT OF
                 BUYER‟S DEFAULT
 FACTOR AS FINANCIER




FINANCER
                ROLES PERFORMED BY A FACTOR


SITUATION III      ADVANCE PAYMENT

ROLES               FINANCIER
PERFORMED

RATIONALE           FINANCING

ACTION              MOBILIZATION OF FUNDS

OUTCOME             POST SALE PROVISION OF CASH
                    (LIQUIDITY)
FACTOR AS CREDIT ADMINISTRATOR


ABC FACTOR




 CREDIT ADMINISTRATOR
               ROLES PERFORMED BY A FACTOR


SITUATION IV     MONITORING AND REMEDIAL MANAGEMENT

ROLE CREDIT      CREDIT ADMINISTRATOR
PERFORMED

RATIONALE        OUTSOURCING OF CREDIT MANAGEMENT

ACTION           FACTOR USES HIS SOURCES /CONTACTS
                 /COUNTERPARTS

OUTCOME          SALES LEDGER ACCOUNTING, DUNNING &
                 COLLECTING
           FACTORING VERSUS BILL DISCOUNTING
         FACTORING               BILL DISCOUNTING
• FOCUS – PACKAGE OF        • MAIN FOCUS FINANCE
  FACILITIES
• FINANCE AGAINST TRADE     • FINANCE AGAINST BILLS
  DEBTS
• PURCHASE OF DEBT FOR      • SECURITY IS PROVIDED
  CONSIDERATION
• IN UNDISCLOSED            • DRAWEE USUALLY KNOW
  FACTORING CUSTOMERS         ABOUT BILL FINANCE
  NOT NOTIFIED
• WHOLE TURNOVER – BULK     • INDIVIDUAL TRANSACTION
  BASIS                       ORIENTED
• OFF - BALANCE SHEET       • IN – BALANCE SHEET
  FINANCING                   FINANCING
• OWNER OF DEBT             • CHARGE REGISTERED WITH
                              REGISTRAR OF COMPANIES
                     FACTORING OPTIONS

• RECOURSE FACTORING (FACTORING WITHOUT CREDIT PROTECTION)

• NON-RECOURSE FACTORING (FACTORING WITH CREDIT PROTECTION)
• CONFIDENTIAL FACTORING (UNDISCLOSED OR NON-NOTIFIED
  FACTORING)

• SINGLE DEBTOR FACTORING

• EXPORT FACTORING
      PARTIES INVOLVED IN DOMESTIC FACTORING


•   THE FACT0R
    FINANCIAL INSTITUTION PURCHASING THE DEBT FROM THE
    CLIENT

•   THE CLIENT
    BUSINESS CONCERN SELLING     GOODS   AND/OR   PROVIDING
    SERVICES TO THE CUSTOMER


•   THE CUSTOMER
    BUYER OF GOODS AND SERVICES FROM THE CLIENT
         PARTIES INVOLVED IN EXPORT FACTORING
• THE EXPORTER:
 BUSINESS CONCERN EXPORTING GOODS AND/OR PROVIDING SERVICES

• THE EXPORT FACTOR:
 FACTORING ENTITY USUALLY DOMICILED IN   THE COUNTRY OF THE
 EXPORTER

• THE IMPORTER
 BUYER OF GOODS AND SERVICES FROM THE EXPORTER

• THE IMPORT FACTOR:
 FACTORING ENTITY USUALLY DOMICILED IN THE COUNTRY OF THE
 IMPORTER BUT MAY BE DOMICILED IN THE THIRD COUNTRY AS WELL
     STEPS OF PROCEEDURES: DOMESTIC FACTORING


• COMMERCIAL CONTRACT

• ESTABLISHING FINANCING LIMITING, CREDIT APPROVAL
  ON BUYERS AND ASSUMPTION OF RISK

• DELIVERY

• PRE-PAYMENT

• COLLECTION AND MONITORING

• GUARANTEE PAYMENT
     STEPS OF PROCEEDURES: DOMESTIC FACTORING



                         Factoring
                        Institution

Pre-payment (80%
    of Invoice)
                                                  Collection


                           Finance
                          Charge and
                             Fee
                                                  Payment of Debt

                       Sale of Debt

                         Delivery


          Client                       Customer
        (Supplier)                      (Buyer)

                     Sales Contract
       STEPS OF PROCEDURE: EXPORT FACTORING


• EXPORT SALES CONTRACT

• ESTABLISHING FINANCING LIMIT, CREDIT APPROVAL ON
  BUYERS AND ASSUMPTION OF RISK

• DELIVERY

• PRE-PAYMENT

• COLLECTION MONITORING AND GUARANTEE PAYMENT

• CONCLUSION
STEPS OF PROCEDURE: EXPORT FACTORING
                      Export Sales Contract



Exporter                                                Importer
                               Delivery

                          Payment (10%)

                                                                        Collection
                         Pre - payment (90%)

                        Credit Cover

                                                                         Payment
                       Purchase of Invoice (100%)


                         Payment (100%)




Export Factor                                           Import Factor


                                          Invoice Transfer
                Credit Cover
DISCLOSED FACTORING (WITHOUT ADVANCE PAYMENT),
WITH THE ASSUMPTION OF DELCREDERE RISK (CREDIT
PROTECTION)


GENERAL

•   INDUSTRY, COMPANY, PRODUCT, CREDIT-WORTHINESS,
    TURNOVER ETC.

•   NUMBER OF BUYERS/NUMBER OF INVOICES PER YEAR,
    AVERAGE VALUE OF INVOICE
DISCLOSED FACTORING (WITHOUT ADVANCE PAYMENT), WITH
THE   ASSUMPTION    OF   DELCREDERE   RISK  (CREDIT
PROTECTION)
REASONS FOR FACTORING:
• ASSESSMENT OF CREDIT-WORTHINESS
• ASSUMPTION OF DELCREDERE RISK
• COLLECTION OF DEBTS
STEPS OF PROCEDURE
• ASSUMPTION OF RISK
• DELIVERY
• DUNNING AND COLLECTING
• PAYMENT
• GUARANTEE PAYMENT
DISCLOSED FACTORING WITH FINANCING (WITH ADVANCE
PAYMENT) WITH ASSUMPTION OF DELCREDERE RISK (CREDIT
PROTECTION)

GENERAL

•   INDUSTRY, COMPANY, PRODUCT, CREDIT-WORTHINESS, TURNOVER
    ETC.

•   NUMBER OF BUYERS/NUMBER OF INVOICES PER YEAR, AVERAGE
    VALUE OF INVOICE

COST

•   INTEREST @

•   FACTORING COMMISSION (%AGE OF TURNOVER) + HANDLING
    CHARGES PER INVOICE AND CUSTOMER INQUIRY ABOUT LIMITS
DISCLOSED FACTORING WITH FINANCING (WITH ADVANCE
PAYMENT) WITH ASSUMPTION OF DELCREDERE RISK (CREDIT
PROTECTION)
REASONS FOR FACTORING
•   HIGHER LIQUIDITY
•   ASSESSMENT OF CREDIT-WORTHINESS

•   ASSUMPTION OF DELCREDERE RISK

•   COLLECTION OF DEBTS

STEPS OF PROCEDURE
•   ASSUMPTION OF RISK
•   DELIVERY
•   ADVANCE PAYMENT
•   DUNNING AND COLLECTING
•   PAYMENT
        EVALUATION PROCESS:WHAT A FACTOR ASSESS?

ABOUT THE CLIENT

• HIS FINANCIAL, OPERATIONAL, MANAGERIAL CAPACITIES

• QUALITY OF DEBTS. WHETHER COLLECTIBLE?

• VIABILITY OF CLIENTS OPERATIONS

ABOUT THE CUSTOMER
•   NATURE OF ACTIVITY
•   VULNERABILITY: HISTORY OF HIS OPERATIONS
•   TERMS OF SALE
•   PAYMENT TRACK RECORD
•   AVAILABILITY OF STATUS REPORT FROM BANKS, MARKET
    INTELLIGENCE REPORTS ETC.
                      EVALUATION PROCESS

 SANCTION - IF SATISFIED FACTOR


• ISSUE SANCTION INTIMATION LETTER TO THE CLIENT

• OTHER FORMALITIES LIKE: BOARD RESOLUTION, FACTORING
  CONTRACT, PREPAYMENT AGREEMENT, PERSONAL GUARANTEE OF
  OWNERS (CLIENTS) AND / OR OTHERS COMPLETED BY CLIENT

• USUALLY FACTOR INSIST FOR “LETTER OF WAIVER” FROM
  CLIENTS BANK IN INDIA.
                            IMPACT OF FACTORING
            PRESENT METHOD OF WORKING CAPITAL ASSESSMENT
(2ND METHOD OF LENDING)
                                  RAINBOW & COMPANY
          CURRENT LIABILITIES                            CURRENT ASSETS

          BANK BORRWOINGS

 INVENTORY        RECEIVABLE                 INVENTORY Rs. 200
                                                                            Rs. 360
(30% MARGIN) (50% MARGIN)                    RECEIVABLES Rs.160
Rs. 140 + 80 =                 Rs. 220
Other Current Liabilities Rs. 80             Other Current Assets            Rs. 40
                                ----------                                  ----------
Total Current Liabilities Rs. 300            Total Current Assets            Rs. 400
           TCA -400             ----------                                   ---------
                                                      400
NWC 100     OCL          PBF                 CR = ---------------- = 1.33
(25% OF     80           220                       300
  TCA)
            POSITION AFTER FACTORING


FACTOR PREPAYS 80% (VIZ. Rs. 128/-) TO RAINBOW & COMPANY. THAT
MEANS RAINBOW GETS Rs. 128 AGAINST FACTORING OF DEBTS
AMOUNTING TO Rs. 160. SO OUT OF 128 RAINBOW HAS


a) TO PAY OFF Rs. 80 DUE (AGAINST RECEIVABLES) TO THE BANK


b) TO PAY OFF Rs. 48 AS OTHER CURRENT LIABILITIES AND RETAINS 32
   AS RECEIVABLES OUTSTANDING UNDER CURRENT ASSETS
                            POSITION AFTER FACTORING
         THEREFORE AFTER FACTORING, THE POSITION WILL BE AS UNDER
                          RAINBOW & COMPANY
               CURRENT LIABILITIES                            CURRENT ASSETS
BANK BORROWINGS                          -        INVENTORY              Rs. 200

 INVENTORY                    Rs. 140             DUE FROM FACTORS       Rs. 32
 RECEIVABLES                            Rs. 140                                    Rs. 232

OTHER CURRENT LIABILITIES               Rs. 32    OTHER CURRENT ASSETS             Rs. 40


TOTAL CURRENT LIABILITIES               Rs. 172   TOTAL CURRENT ASSETS             Rs. 272



CR = CA / CL = 272 / 172 = 1.58

THUS CR IMPROVES FROM THE PRE-FACTORING LEVEL OF 1.33 TO THE POST-FACTORING
LEVEL OF 1.58

THEREFORE, THROUGH FACTORING
b)   FINANCIAL DISCIPLINE IS NOT DILUTED.
c)   CURRENT RATIO IMPROVES
d)   TO RAISE CA OF 272. NWC REQUIREMENTS WILL BE 68 ONLY (AS AGAINST 100 EARLIER).
     THIS SURPLUS CAN BE UTILIZED FOR FINANCING EXPENSES / DIVERSIFICATION.
               RISK MANAGEMENT IN FACTORING
GENERAL
“LIKE BANKING, FACTORING WITHOUT RISK IS YET TO BE
INVENTED”
RISK MANAGEMENT
a) COMPREHENSIVE MEASURES
   -   COMPLIANCE WITH BASIC LEGAL CONDITIONS
   -   SPREAD RISK
   -   CREATION OF RISK RESERVES
   -   RISK INSURANCE

b) INDIVIDUAL COMMITMENTS

   -   CREDIT INVESTIGATION
   -   CREDIT CONTROL

   -   CREDIT COLLATERAL
               RISK MANAGEMENT IN FACTORING



MAIN AREAS OF RISK IN FACTORING

- FACTORING CLIENT (SUPPLIER)

- DEBTORS           (BUYERS)

- DEBTS



ORGANISATION OF RISK MANAGEMENT
       EARLY RECOGNITION OF RISKS WITH THE AID OF A
       COMPUTER-ASSSISTED RISK MANAGEMENT SYSTEM


-   LIST OF CLIENTS / DEBTORS TO BE MONITORED

-   POSITIONS (CONDENSED SURVEY OF ALL DEBTS & FINANCING)

-   “N (INTERNALLY ALLOCATED)-LIST”, 90 DAYS – OVERDUE LIST, OPEN ITEMS
    LIST, COLLECTION LIST

-   LIST OF DIRECT PAYMENT CLIENTS

-   CONSTANT RISK LIST - BLACKLIST / CAUTION LIST

-   FINANCING LIMIT LIST


-   DELCREDERE RISK LIMIT LIST

-   LIST OF SPREAD OF CLIENTS (SPREAD OF COMMITMENTS)
     STANDARDISED ACTIVITIES FOR RISK MANAGEMENT IN
                       FACTORING

•   INQUIRIES INTO ASSIGNMENT AT CLIENTS HEAD OFFICE

•   PRESENTATION TO THE MANAGEMENT / LOAN DEPARTMENT / ACCOUNTS
    DEPARTMENT – INTENDED FOR HIGH VALUE INVOICES, CREDIT NOTES,
    CANCELLATION OF INVOICE, EXTENSION OF DEBT TERMS, LONG DEBT TERMS,
    COUNTER TRADING SET-OFFS


•   DUNNING LETTERS
    AS A MATTER OF PRINCIPLE, THREE REMINDERS ARE SENT . THE THIRD ONE IS
    POSTED AS REGISTERED LETTER

•   FORWARDING ORIGINAL INVOICE BY FACTORING COMPANY AND EXAMINATION
    OF ASSIGNMENT CLAUSE

•   PRESENTATION OF DEBIT NOTES & PROOF OF DELIVERY TO FACTORING
    COMPANY
           UNDERSTANDING PRICING IN FACTORING
FACTOR A
ADVANCE: 80%
FEE: 3% FIRST 30 DAYS + 1% PER 10 DAYS THEREAFTER
NUMBER OF DAYS             FEE
0 – 30                     3%
31 – 40                    4%
41 – 50                    5%
51 – 60                    6%
61 – 70                    7%
71 – 80                    8%
81 – 90                    9%
           UNDERSTANDING PRICING IN FACTORING

FACTOR B
ADVANCE: 85%
FEE: 2% FIRST 15 DAYS + 1.5% EACH 15 DAYS THEREAFTER
NUMBER OF DAYS             FEE
0 – 15                     2.0%
16 – 30                    3.5%
31 – 45                    5.0%
46 – 60                    6.5%
61 – 75                    8.0%
76 – 90                    9.5%
             UNDERSTANDING PRICING IN FACTORING

                          APR CALCULATIONS
ADVANCE            = INVOICE AMOUNT x ADVANCE %
FEE                = INVOICE AMOUNT x FEE %
RETURN             = FEE / ADVANCE %
APR                = RETURN % x 365 / NO. OF DAYS TO EARN FEE


EXAMPLES:

FACTOR A:
1.    ADVANCE:          Rs. 100,000 X 80%             = Rs. 80,000
2.    FEE FOR 30 DAYS   3%                             = Rs. 3,000
3.    30 DAY RETURN %   Rs. 3,000 / Rs. 80,000         = 3.75%
4.    APR:              3.75% x 365/30                 = 45.625% APR
                UNDERSTANDING PRICING IN FACTORING

FACTOR B:
5.   ADVANCE:          Rs. 100,000 X 85%        = Rs. 85,000
6.   FEE FOR 30 DAYS   3.5%                     = Rs. 3,500
7.   30 DAY RETURN %   Rs. 3,500 / Rs. 85,000   = 4.1177%
8.   APR:              4.1177% x 365/30         = 50.00987% APRAPR
                UNDERSTANDING PRICING IN FACTORING

WHAT IF THEIR INVOICES TOOK 60 DAYS TO PAY INSTEAD OF 30?


FACTOR A:
1.   ADVANCE:          Rs. 100,000 x 80%        = Rs. 80,000
2.   FEE FOR 30 DAYS   Rs. 100,000 x 6%         = Rs. 6,000
3.   60 DAY RETURN %   Rs. 6,000 / Rs. 80,000   = 7.5%
4.   APR:              7.5% x 365/60            = 45.625%% APR



THUS FACTOR A IS MAKING THE SAME RETURN BECAUSE HIS FEE IS
INCREMENTING THE SAME AMOUNT EVERY 30 DAYS (3%)
                UNDERSTANDING PRICING IN FACTORING

FACTOR B:
1.   ADVANCE:          Rs. 100,000 X 85%        = Rs. 85,000 ADVANCE
2.   FEE FOR 30 DAYS   Rs. 1000,000 x 6%        = Rs. 6,500
3.   60 DAY RETURN %   Rs. 6,500 / Rs. 85,000   = Rs. 7.6471%
4.   APR:              7.6471% x 365 / 60       = 46.52% APR


FACTOR B‟s RETURN DIMINISHES OVER TIME (50.01% AT 30 DAYS TO 46.52% AT
60 DAYS) BECAUSE FACTORING FEES ARE MORE FPOR THE FIRST 30 DAYS THAN
THEY ARE FOR THE SECOND 30 DAYS.
     STANDARDISED ACTIVITIES FOR RISK MANAGEMENT IN
                       FACTORING

•   CONTACT BY TELEPHONE WITH DEBTORS ACCOUNT DEPARTMENT BEFORE
    DEBT ARE DUE


•   DIRECT PAYMENT LETTERS
    DEBTORS PAYING DIRECTLY ARE INFORMED IN WRITING THAT THESE
    PAYMENTS ARE NOT DEBT – DISCHARGING


•   INFORMATION – FROM BANKS, CREDIT PROTECTION ASSOCIATION, DATA AND
    LISTS OF PROTESTED BILLS


•   CO-ORDINATION MEETING OF MANAGEMENT TOGETHER WITH HEADS OF
    DEPARTMENT FOR CREDITS AND ACCOUNTING AND LEGAL DIVISION


•   RISK SCORING / RISK RATING
                   BARRIERS TO FACTORING


• ABSENCE OF REGULATORY FRAMEWORK

• NEGATIVE IMAGE

• LACK OF AWARENESS ABOUT PRODUCT

• LACK OF CREDIT INFORMATION

• LACK OF ACCESS TO COMPETITIVE FUNDING

• LOW TECHNOLOGY INVESTMENT

• NO CLEAR FOCUS OR MARKET SEGMENTATION
             FACTORING DISPUTES AND FRAUDS

SOURCES OF DISPUTES
BREACHES; INFRINGEMENT OF CONTRACT TERMS LIKE POOR
QUALITY OF GOODS DELIVERED, PRICING, QUANTITY, LATE DELIVERY
ETC.



SOURCES OF FRAUDS

DOUBLE INVOICING, ASSIGNING BOOK DEBTS TO MORE THAN ONE
FACTOR, SUBMISSION OF INVOICES FOR GOODS YET TO BE DELIVERED
OR UNWARRANTED INVOICES, SUBMISSION OF FAKE SHIPPING
DOCUMENTS AND/OR ACKNOWLEDGEMENTS OF ACCEPTANCE AND/OR
PROOF OF DELIVERY OF GOODS

				
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