Financing of trade operations

Factoring

Factoring is a service that allows legal entities and private entrepreneurs in order to finance their working capital sells their accounts receivable from Buyers to a Factor (Bank).

  1. The seller delivers the goods/services to the Buyer on the conditions of a delay payment.
  2. The seller assigns its money claim to the Bank and provides the documents for delivery of the goods/services.
  3. The Bank sends a nottification to the Buyer and covers up to 90% of the costs fo goods/services.
  4. After completion of the deferral period the Buyer makes a payment to the Bank.

Benefits

For Seller (Supplier)

  • An opportunity to withdraw the necessary funds for business, without waiting for payment from the buyer
  • An opportunity to immediately receive up to 90% of accounts receivable
  • An opportunity to reduce currency, liquidity and inflation risks of accounts receivable
  • Acceleration of turnover
  • Cash flow planning opportunity
  • Increase of profitability

For Buyer

  • Possibility to make payment later
  • An ability to increase purchases without additional risks and costs

Terms of factoring

Indicators Terms
Amount of funding Up to 90% of invoice
Interest rate Starting 13%
Limit 12 months
Period Up to 90 days
Guarantee Not required
Comission 0.5%

Financing of sales

Financing of sales is a service provides an opportunity for the Bank to Finance a monetary claims of Supplier to Buyer.

  1. The seller delivers the goods/services to the Buyer on the conditions of a delay payment
  2. The seller assigns its money claim to the Bank and provides the documents for delivery of the goods/services
  3. The Bank covers up to 90% of the costs fo goods/services
  4. After completion of the deferral period the Buyer makes a payment to the Seller

Benefits

  • An opportunity to withdraw the necessary funds for business, without waiting for payment from the buyer
  • An opportunity to immediately receive up to 90% of accounts receivable
  • An opportunity to reduce currency, liquidity and inflation risks of accounts receivable
  • Acceleration of turnover
  • Cash flow planning opportunity
  • Increase of profitability

Terms of Financing of sales

Indicators Terms
Amount of funding Up to 90% of invoice
Interest rate Starting 14%
Limit 12 months
Period Up to 90 days
Guarantee Not required
Comission 1%

Pre-procurement financing

Pre-procurement financing is a service that provides an opportunity for the Bank to finance goods and services on the basis of a contract or purchase order, taking into account the monetary claims of the Seller to the Buyer in the future.

  1. The buyer orders goods or services on the terms agreed with the Supplier
  2. The Supplier applies to the Bank with the documents confirming the contract and the order
  3. The Bank transfers 80% of the purchase order to the Supplier's account
  4. The Buyer makes a payment
  5. The Buyer transfers 100% of the value of the sent goods to the Supplier's account

Benefits

  • No need to request advance payment from Buyer
  • An opportunity to direct working capital to current contingencies
  • An ability to offer more competitive products, conduct business or provide services with pre-purchased funds
  • An opportunity to reduce currency, liquidity and inflation risks of accounts receivable
  • Cash flow planning opportunity
  • Increase of profitability

Terms of Pre-procurement financing

Indicators Terms
Amount of funding Up to 80% of the purchase order or contract
Interest rate Starting 14% in AZN and 8% in USD
Limit 12 months
Guarantee Not required
Comission 1%

Applying

You can apply to any branch or department of Kapital Bank or order online for the financing of the trade operations.

Online application for financing of the trade operations.

Faktorinq kalkulyatoru

Hörmətli istifadəçi

Azərbaycan Respublikasında fiziki şəxslərin problemli kreditlərinin həlli ilə bağlı əlavə tədbirlər haqqında Azərbaycan Respublikası Prezidentinin Fərmanına uyğun olaraq, fiziki şəxslərin xarici valyutada əsas kredit borclarının devalvasiya ilə bağlı manatla artmış hissəsi ilə əlaqədar Maliyyə Bazarlarına Nəzarət Palatası tərəfindən hazırlanmış güzəşt kalkulyatoru