Factoring In Accounting Link

: The business must buy back the invoice if the customer fails to pay. This is common and usually cheaper.

: The factoring fee is recorded as an expense or "loss on sale of receivables". As a Loan (Secured Borrowing) :

: You give up control over the collection process.

: Once paid, the factor sends the remaining balance to the business, minus a factoring fee (usually 1.5% to 3%). Key Types of Factoring

: Accounts receivable are removed; cash increases.

The accounting for factoring depends on whether it is treated as a or a loan : As a Sale (Derecognition) :

: The business must buy back the invoice if the customer fails to pay. This is common and usually cheaper.

: The factoring fee is recorded as an expense or "loss on sale of receivables". As a Loan (Secured Borrowing) :

: You give up control over the collection process.

: Once paid, the factor sends the remaining balance to the business, minus a factoring fee (usually 1.5% to 3%). Key Types of Factoring

: Accounts receivable are removed; cash increases.

The accounting for factoring depends on whether it is treated as a or a loan : As a Sale (Derecognition) :

✖

Our main goal is to produce top quality software - powerful yet easy to use for everyone and most importantly, to stand behind all of our software products by providing first class technical support.

Today our most successful product, Sim Aquarium, is the most popular and technologicaly advanced virtual aquarium in the world. It has been continuously developed for more than ten years and it is still under development.

Please feel free to download and evaluate our software. If you like it and are interested to buy it, we guarantee that you will not be disappointed.

If you have any question or need any assistance regarding our software, please don't hesitate to contact us.