Factoring

Factoring is a type of providing financing to the Borrower against the assignment of monetary claim to the Debtor.

legal entities and sole proprietors, subjects of SME in accordance with the Law of the Republic of Kazakhstan “On private entrepreneurship”.

Subject to the financial condition and other requirements to the Debtor and the Client, the Bank offers the following type of Factoring:

Factoring with recourse

	Factoring with recourse is a type of financing where the Bank provides the Borrower with financing against the assignment of monetary claim to the Borrower under the terms of Factoring Agreement.
Borrower requirements:	1) stable effective business of the Borrower during the last year; 2) absence of overdue loan debt within the last year, prevention of the events of delay within the last 30 calendar days on the obligations before the Bank or other banks and companies executing bank operations, and absence of tax liabilities and other debts on obligatory payments to the state budget;
Debtor requirements:	1) obligatory experience of working with the Borrower for not less than 1 year, absence of facts of delays in payments for more than 3 months. 2) large company with regional scope of business, matching the following criteria: independence from loan funds; positive business reputation.
Amount	Up to 80% of the amount of debt of the Debtor to the Borrower under the Contract.
Guarantee provision period	Up to 3 months
Currency	Tenge
Purpose	Replenishment of operating assets
Fees (collected according to the bank’s tariffs)	1) Fee for provision of factoring

	Factoring without recourse is made Bank’s purchasing the Borrower’s monetary claim to the Debtor. The Borrower is liable before the Bank only for validity of assigned claim.
Borrower requirements:	1) absence of overdue loan debt within the last year, prevention of the events of delay within the last 30 calendar days on the obligations before the Bank or other banks and companies executing bank operations, and absence of tax liabilities and other debts on obligatory payments to the state budget; 2) presence of signed account reconciliation report, in which case the term of accounts receivable as of the moment of submission of documents to the Bank shall not exceed 30 calendar days;
Debtor requirements:	Obligatory experience of working with the Borrower for not less than 1 year, absence of facts of delays in payments before the Borrower.
Amount	Up to 50% of the amount of account receivable under the Contract
Guarantee provision period	Up to three months
Currency	Tenge
Fees (collected according to the bank’s tariffs)	1) fee for provision of factoring; 2) discount.