“The collaboration with Next Capital is evolving under very professional conditions. Easy access to capital when the company urgently needed money was a real help and a stress relief. Moreover, it helps with a better cash-flow planning.”
Factoring
Factoring Solutions
A partnership with Next Capital is more than a contractual relationship. A collaboration with us creates a beneficial context and a positive feedback loop for growing businesses.
Factoring is a simple product, whose final result is represented by the invoice financing operation. This process includes the factoring company (“Factor”), a product or service supplier (“Adherent”) and the customers of the Adherent (“Account Debtors”).
The advantage of factoring services used to cash invoices from a single source offers financial benefits not only you but also gives comfort to the Adherent.
Benefits of factoring:
- Stable cash-flows
- Better financial indicators
- Reduction in invoice collection costs
- Assurance and comfort of collecting receivables from a single source
- Unlocking invoices with payment on due date
- A greater accuracy in financial planning
- A better balance sheet and a better documentation of financial activities, increasing credit worthiness
- Improving reputation/trust through timely payment towards suppliers and employees
Factoring is suitable for SMEs that:
- Activate in dynamic fields
- Are in growth phase (including start-ups)
- Wish to improve their financial indicators
- Have stable and diversified commercial relationships
- Offer extended payment terms to their customers, in order to gain competitive advantage
- Want to be “debt free” towards suppliers, the state budget and other creditors
The factoring operation consists of 6 steps:
- The Adherent delivers the goods and issues the invoice
- The Debtor accepts the invoice
- The Adherent requests invoice financing from Next Capital
- Next Capital finances up to 95% of the invoice value
- The Debtor pays the invoice on the due date
- Next Capital transfers the reserve to the Adherent
Our clients Testimonials
“Next Capital represents the mouthful of oxygen needed to continue the business. Financing is currently an indispensable business need. Next Capital staff is focused on the needs of the client, objective and prompt.”
