But what if we told you that there is a solution to overcome this challenge and improve your liquidity? In this blog, we would like to introduce you to the concept of factoring and our partner, EKF Finanz Frankfurt GmbH, which is specifically designed to take the worry of outstanding receivables off your hands.
What exactly is Factoring?
Factoring is a financing option for companies in which receivables from customers/debtors are sold to a factoring partner (so-called factor). The factor assumes 100% of the risk of non-payment and pays the 100% and pays the company a large part of the invoice amount (90%) immediately (90 %) immediately in advance. The factoring user receives the remaining 10 % when his customer/debtor has paid. Thus, factoring offers improved liquidity and complete assumption of the default risk. There are many factoring providers who “impose” standardised solutions on their customers.
Our partner EKF adapts individually to your situation and tries to take your wishes into account – in other words, not an off-the-peg solution: an individual service to enable a financing solution that is adapted to your needs.
The factoring partner: Who is EKF?
If you are considering factoring, you may be wondering: Who is EKF anyway? EKF Finanz Frankfurt GmbH is a modern finance and service company based in Hofheim-Wallau in the Rhein-Main region.
For almost 30 years, EKF has been offering its customers individual and tailor-made solutions to improve their liquidity – especially for personnel services. In order to be closer to the pulse of the industry, EKF has been a supporting member of the Interessenverband Deutscher Zeitarbeitsunternehmen e.V. (iGZ for short) since 2011. In addition to a high level of flexibility and service quality, our partner also attaches great importance to transparent communication and personal support for its customers in order to effectively exploit growth opportunities.
In doing so, the company works with a broad network of partners to ensure fast and uncomplicated processing.
What advantages do factoring and this partnership bring me?
Factoring with EKF allows you to benefit from numerous advantages; here are just a few:
- You receive immediate liquidity, as 90% of outstanding receivables are in your account within 48 hours.
- With EKF’s support, you create financial leeway for investments. This increases financial planning security.
- You protect yourself against customer payment defaults. This so-called “del credere risk” is transferred to EKF and you receive the invoice amount despite the insolvency of your customer.
- You no longer need to worry about receivables management, i.e. accounts receivable accounting, dunning and collection, as this is handled entirely by EKF.
The advantage for you as an AGIL Zeit user: You can transfer all the necessary data required directly from the AGIL Zeit software to EKF via an interface – it couldn’t be easier!
Does it all sound fantastic?
You want to know more about that?
or contact us via email: info@agil-software.de
