Bad debts and collection difficulties are eliminated with TFC’s non recourse Export Factoring or with the implementation of Trade Finance Facility .
Exporters’ limit problems with banks are not a drawback for TFC with non recourse facility. TFC assesses the importers’ creditworthiness introduced by the client and establishes credit limits for each importer. The risk and credibility controlling process is moved from the exporter to the importer (buyer). As a result of this, TFC covers the buyers’ risk with one of the world’s large credit insurance companies, Atradius Kreditversicherung AG .(www.atradius.com )
Exporters avoid unpaid invoices’ international legal and administrative charges and expenses with TFC’s non recourse system.
The managers of export company may concentrate on production and sales and not be concerned with non-profitable control and sales accounting procedures.
Saving of staff, who would otherwise be engaged in sales accounting.
Uneven cash flow arising from seasonal trade may be reduced by the export factoring facility to draw on invoices presented without having to wait until payment is made by foreign buyers.
Elimination of foreign exchange risks due to long period of maturity.