JRF International Factoring

Q: How does it work?
A:Complete version:
  1. Negotiate with your vendors to O/A, D/A as the payment term
  2. Suggest your vendor to submit factoring application to us
  3. Once we approve the credit and send a factoring proposal to your vendor and factoring agreement will be signed.
  4. Goods are shipped to you without prepayment from you
  5. Your vendor obtains financing immediately once the invoice is assigned to us
  6. You pay us for the goods purchased when the invoice is due
  7. Nest transaction starts

Q: why choose factoring for a buyer?
A:1. reduce operating cost due to delay the payment
  2. no cost to your end for this financing arrangement
  3. no additional collateral or guarantee from your end but credit review on your company
  4. no need to open letter of credit to support business growth
  5. enhance purchasing power without using existing lines of credit
  6. improve business profitability

Q: Please tell me who is your partner in my country?
A: As International Factors Group (IFG) and Commercial Finance Association (CFA)  member, our company have access to overseas members, we can cooperate with IFG members in your country.

Q: Do you mean we pay after we receive goods? Who pay for us then?  
A: Yes, it means when you import goods from china, you don’t need to prepay or issue L/C, you only have to pay the bill certain days of you acceptance of goods, e g net 30, 60 or 90 days.  
                                                                
Q: How long it will take for credit review?
A: Usually, it will spend 2 to 4 weeks .but it really relies on your support and cooperation.

Q: Please confirm when my Chinese vendors would get paid?
A: As soon as they present all evidence of shipment and assign the invoice to us.

Q: Can you explain to me how you can involve in our business?
A: JRF as dedicated international factoring company will help you grow the business by providing finance to your vendor based on your company’s credit, so you can purchase goods on open term from Chinese vendor(s) while your vendor has sufficent working capital to ship the goods you need. There is no collateral from you end. What you need to do is providing us your company’s financials for us to review. We understand this is confidential information, we will treat it high confidential. If needed, we can sign the NDA with you

Q: I have sent the application form. Shall we move quickly, as merchandise is already finished?
A: Thanks for your information. Since the factoring agreement is based on your company’s credit, we will also need you to provide financials for us to review.Please let us know when we can get those information, so we can move it quickly. It normally takes 2 weeks to complete the credit process.It is revolving line, so even if we cannot meet your financing need for this particular transaction, we can help you next transaction and future business once the credit line is set up for you.

Q: What documents will you require from us if we apply for credit limit as the buyer?
A: We need to review your company’s financials if the information can not be obtained from the public channel.

Q: Is there a chance that we can apply for credit limit if our company business has just started?
A: Yes. If you are a newly started company, we can offer the service based on your end buyers’ credit.

Q: Could you cover O/A120 days?
A:Yes, in general, O/A 120 days is under our cover for case by case. But the favored payment term is O/A 60 or 90days.

Q: JRF’s banking background as well as your personal experience in this field?
A: JRF is China government approved factoring company, an IFG (International Factors Group) and USA CFA (Commercial Finance Association ) member, providing trade finance to Chinese exporters and overseas importers who source products from China. As an independent trade finance company, we have bank line and facility in China and HK,  enable us to provide finance to clients directly. Our senior exectuive has in depth of knowledage of factoring and ABL, with more than 10 years working experience in international factoring, PO finance and other cross border trade finance services.