Article on the web - The factoring contract

The factoring contract is one of the new contracts that have spread as a result of the expansion of commercial business and the need to speed up the repayment of commercial debts. Therefore, this contract is based on the idea of buying commercial debt by institutions where financial resources are required to replace the debtor in repaying the debt owed to the creditor. After the debt seller (who is not required to be a merchant) presents its lists and financial bonds to the company which has the right to test the appropriate lists for repayment to the creditor without reference in case of non-payment by the debtor against a certain percentage of such debt.