Supplier Financing
Whether you are the supplier or the being supplied... Whether you are the seller or the buyer...
If you are the supplier, we provide the funds that correspond to your receivables without waiting for the maturity date. If you are the buyer company, we extend standard payment term for you.
In this way, the suppliers may be able to raise funds, and the buyers have the chance to purchase goods with longer terms. Moreover, there is no need for bank loans.
How does it work?
- A factoring agreement is signed with the supplier.
- The supplier company assigns the receivables arising from his sales to Garanti Factoring.
- The buyer company approves the receivables.
- A prepayment is made to the supplier at favourable conditions.
- On the date of payment, the buyer company pays the invoice amount to Garanti Factoring instead of paying them to the supplier.
Benefits for the buyer
- Ability to make purchasing transactions with longer terms,
- Related increase in the purchasing capacity,
- Ability to get discounts in cash purchases by way of providing favourable financing cost to the suppliers.
- Improving relationships with the suppliers.
Benefits for the supplier
- Easily accessible funds at favourable financing rates,
- Increase in sales volume without any bank loans,
- Ability to offer longer payment terms to the customers.
