The Essential Factoring Overview
E-Learning Module
- Historical development of factoring
- Types of factoring - Traditional, Non-recourse/recourse, Maturity/Advance and where they fit client and market circumstances
- Managing risk, credit insurance and refactoring
- Working capital cycle funding needs
- Working capital cycle in context of overall supply chain
- Managing the risk in supply-chain funding, LOC, PO finance and their relationship to factoring
- Overview of risk management strategies in factoring operations, notifications, verifications, concentrations etc.
- Alternative ways to fund the working capital cycle - reverse factoring, etc.
- Overview of the role of the account executive in the client cycle
90 Minute Virtual Workshop
- Review of core material
- Case studies to identify accounts
- Case studies to illustrate value of factoring vs cost
- Discussion of the factors that lead to fraud
- Case studies demonstration how fraud was prevented
- Discussion and Q&A
Operations Essentials for Factors
E-Learning Module
- Managing risk through: ineligibles, verifications, UCC registrations, notifications, dilution, concentrations, credit limits
- Making advances
- Retaining and releasing reserves
- Chargebacks and fee
90 Minute Virtual Workshop
- Discussion exploring the nature of risk in operations
- Managing risk at the beginning and at collect outs
- Review of core material through practical example and discussions
- Ineligibles exercise
- Determining and managing dilution reserve
Underwriting Essentials for Factors
E-Learning Module
- The 6Cs of Credit and applying the Swiss Cheese theory of risk mitigation
- Information sources
- The structure of a full credit report and discussion of each section
- Financial Statement Analysis and key ratios to monitor
- Key due diligence items
90 Minute Virtual Workshop
- Discussion of case studies of credit reports on clients, to identify the key risks and how judgments are made in practice
Debtor Risk Management Essentials
E-Learning Module
- General principles of debtor risk management
- Information sources
- Due diligence
- Using 3rd party credit reports
- Credit insurance and the 2-factor system
- Setting and changing the limit
- Monitoring
90 Minute Virtual Workshop
- Discussion of how to reduce the risk of being unable to collect from account debtors
Relationship Essentials
E-Learning Module
- Where relationships are important
- What can go wrong in relationships
- A little neuroscience that affects relationships
- Key techniques for effective relationships
- The three levels of difficult conversations
90 Minute Virtual Workshop
- Discuss how to apply these techniques to practical situations through case studies
Collecting out Essentials
E-Learning Module
- Key features of workouts and bankruptcy
- How to prepare the ground through good documentation and UCC filings
- When it is time to negotiate a forbearance agreement and the key elements of that agreement
- Risk management steps to follow when a client moves out of formula
- Navigating through chapter 7 and chapter 11 bankruptcies
90 Minute Virtual Workshop
- Discussion between a leading attorney and a senior factoring executive as they explore the practical side of working with clients when they move out of formula or into bankruptcy. They will review the key situations which can lead to loss, and how to plan ahead to minimize their impact, as well as learn not just what the law says, but also how it can often be misunderstood by clients and their legal team