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Fees and terms

Exchange rates

Exchange rates

as of 21/09/2020 17:29:10

Cash Payment
Non-cash Payment
Selling Rate
1.96000
1.95900
Buying Rate
1.94850
1.95000
BNB Fixing
1.95583
Cash Payment
Non-cash Payment
Selling Rate
1.70690
1.70390
Buying Rate
1.62490
1.62790
BNB Fixing
1.65931
Cash Payment
Non-cash Payment
Selling Rate
2.19466
2.18966
Buying Rate
2.06966
2.07366
BNB Fixing
2.13500
Cash Payment
Non-cash Payment
Selling Rate
1.86125
1.85625
Buying Rate
1.77525
1.78025
BNB Fixing
1.81752

Factoring

Factoring explained

Factoring – instrument for thorough management of trade receivables, involving financing, collection of receivables and a credit coverage option for the risk of trade counterparties’ non-payment.

Financing against assigned receivables, with no need for additional collateral

If you are a manufacturing or a trade company, effecting regular deliveries to its clients under deferred payment terms, ranging from 15 up to 150 days, by means of factoring you could:

  • Obtain in advance up to 90% of the value of the issued invoiced in your current account on the day of invoice issuance
  • Improve your company’s liquidity
  • Negotiate longer deferred payment periods with your clients, as compared to your competitors 
  • Increase the sales volumes with your existing clients, as well as win over new ones
  • Purchase at better prices from your suppliers, while receiving early payment discounts

Trade counterparties’ risk assessment

Your partnership with UBB Factoring could give you:

  • Additional tool for assessing the creditworthiness of your current and/or potential clients.
  • Constant monitoring of their payment behaviour.
  • Active management of early past due payables in view of initiating action for containing losses, originating from uncollectable receivables.

Receivables’ management and collection

If you sell under deferred payment terms, you probably invest substantial administrative resource in the collection of trade receivables. By using the trade receivables’ management and collection service of UBB Factoring you could:

  • Focus on your main activity and the sales of your company and assign the collection and management of your receivables to us
  • Reduce your administration expensive and efforts
  • Improve your receivables’ collection rate

Coverage of trade counterparties’ non-payment risk

The Factoring product enables you to not only manage effectively your receivables, but also to obtain protection against trade counterparties’ non-payment, within a pre-approved credit limit and up to a pre-approved maximum coverage percentage for the respective payer.

This protection could facilitate your penetration into new markets, increase your trade volumes with existing clients, initiate trade relations with new clients, without taking additional risks.

1 3 6 5 4 2 7 Buyer Supplier Factor

Mechanism:

1

The seller concludes a factoring agreement with UBB Factoring and informs its buyer in writing of the assignment of all its present and future receivables in favour of UBB Factoring

2

The buyer confirms to UBB Factoring its consent to the assignment of the receivables and that it is going to transfer the payments under all assigned invoices to an account of UBB Factoring

3

The seller delivers goods and/or services to buyer, for which it issues deferred payment invoices

4

Supplier provides copies of the issued invoices to UBB Factoring, along with the delivery documents

5

UBB Factoring will transfer in advance to the supplier a pre-agreed percentage of the value of the assigned invoices to its current account with UBB

6

UBB Factoring will administer and collect the receivables, originating from the assigned invoices

7

The buyer will make a payment, equaling 100% of the value of the invoice to the indicated account of UBB Factoring, the advance payment will repay and will transfer the residual amount to an account of the client

8

Upon non-recourse factoring, in case of the payer’s non-payment, the Factor company will cover the loss up to the amount of a pre-defined percentage of the receivable’s value and up to a pre-approved credit limit for the respective payer

Advantages and benefits:

  • Fast and flexible funding against assigned receivables, without additional collateral 
  • Liquidity and cashflows’ optimization
  • Option to provide longer deferred payment periods to your buyers, a compared to your competitors, thus increasing your sales volumes
  • Option to negotiate early payment discounts with your suppliers;
  • Receivables’ management and control
  • Option to transfer the activities for administering and collecting your receivables to UBB Factoring and spare your time and efforts
  • Protection against trade counterparties’ non-payment risk

Intended for:

  • Manufacturing and trading companies
  • Companies, effecting regular deliveries under deferred payment terms, ranging from 30 up to 150 days, for which they issue invoices.
  • Companies with a diversified client portfolio.
  • Companies, having no economic relatedness to their payers.

Eligible payer types:

  • companies of good financial standing;
  • companies, having regular purchases form of supplier
  • companies, willing to become involved in a factoring deal