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Factoring.

Factoring for Immediate Liquidity

Sell receivables, outsource risks, and gain planning certainty

Learn about debt factoring
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Certified to
DIN EN ISO 9001
Licensed under the German Act on the Regulation of Legal Services (
) Legal Services Act (RDG)
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Member of the BDIU (Federal Association of German Debt Collection Agencies)
German Debt Collection Agencies

Debt factoring as a strategic tool

Factoring

Purchase of outstanding receivables in exchange for immediate cash on a clearly defined basis

Risk transfer

Assumption of default risks—in full or in part and in a predictable manner

Balance sheet relief

Improving liquidity and key financial ratios through the sale of outstanding items

Planning certainty

Predictable revenue instead of outstanding receivables through predictable models

No two cases are alike—that’s why, after a free, no-obligation initial consultation at

, we’ll provide you with a personalized quote.

Your benefits at a glance

Structure, Experience, and Responsibility in Accounts Receivable Management
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Over 40 years of experience

Experience across various industries leads to well-informed decisions, robust processes, and reliable solutions—even in complex situations.
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In-house attorneys

Legal review and enforcement are handled internally—ensuring quick decision-making processes and consistent, legally sound procedures.
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Operating internationally

Cross-border management and collection of outstanding receivables—in over 100 countries.
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Digital Processes & Portals

Automated processes and portals provide transparency, reduce administrative burden, and make it possible to track the status at any time.
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Clear communication

Clear language and documented steps promote transparency and reduce the need for follow-up questions.
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Member of the BDIU

BID operates in accordance with the binding quality and conduct standards of the Federal Association of German Collection Agencies (Bundesverband Deutscher Inkasso-Unternehmen e. V.).
Receivables management with a clear impact on cash flow

Receivables management with a clear impact on cash flow

Factoring is more than just a short-term financing solution. As part of a structured accounts receivable management strategy, it allows companies to transfer outstanding receivables, manage risk, and stabilize cash flow. Especially as business volume grows, factoring provides transparency and predictability.

BID purchases receivables in a structured manner and reviews them carefully. Companies receive immediate liquidity, while we handle the rest of the process.

Clear processes, defined risk allocation

Clear processes, defined risk allocation

With BID’s structured receivables factoring, processes, risks, and responsibilities are clearly defined. Factoring services are provided on a defined contractual basis, the review process is structured, and payments are predictable. Communication and enforcement are reliable and transparent.

Request a non-binding quote for the purchase of receivables

Check solvency in advance

Credit reports help identify risks early on and make informed decisions regarding accounts receivable management.
More about credit reports

We would be happy to advise you in person

Thank you for your trust and your
interest in working with us.
Contact Information
Preferred method of contact:
Request
Preferred method of contact:
We will contact you by phone or email within 24 hours on weekdays and work with you to determine the best way to assist you.
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Basics & Classification

What does the sale of outstanding receivables mean?

Outstanding receivables are transferred to a specialized service provider. This provides companies with timely liquidity and reduces their outstanding receivables.
How does debt purchasing differ from traditional factoring?
Factoring encompasses various models for the purchase of accounts receivable. Depending on the specific arrangement, default risks are assumed in full or in part.
Why do companies use such models?
Companies use factoring to secure liquidity, optimize their balance sheets, and free up internal resources.
Is it possible to sell individual receivables?
Yes. Structured receivables purchasing is not limited to existing receivables portfolios.
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Prerequisites & Exam Logic

What types of claims are appropriate?
Suitable are receivables whose valuation depends on the debtor structure, the amount of the receivable, its age, and its legal enforceability.
How does the exam work?
BID conducts a structured review of receivables prior to contract execution in order to realistically assess risks and lay the groundwork for further processing.
What role does the debtor's creditworthiness play?
The borrower's creditworthiness is a key factor in determining the terms and risk classification.
How quickly will the payment be processed?
Once the application has been reviewed and the contract signed, payment is typically made shortly thereafter.
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Risk, Liability & Communication

Is the default risk excessive?
Depending on the model, the default risk is assumed in whole or in part. The exact allocation of risk is specified in the contract.
How does the sale affect the customer relationship?
Communication is objective, professional, and clear, ensuring that existing customer relationships are maintained.
How transparent is factoring for debtors?
Assignments are clearly communicated and implemented in a legally compliant manner, ensuring that all parties involved are informed.
What happens in the event of a dispute?
The facts of the matter will first be reviewed and clarified before any further steps are taken.
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Integration & Strategic Deployment

How can the purchase of receivables be integrated into existing processes?
Factoring can be integrated into existing receivables management processes on an ad hoc or ongoing basis.
Can the purchase of receivables be combined with debt collection?
Yes. Uncollected receivables can be seamlessly transferred to the collections process and processed further.
For companies of what size is this method suitable?
Factoring is suitable for small and medium-sized enterprises (SMEs) as well as for larger companies with substantial receivables.
Is factoring a long-term solution?
Factoring can be used both as a long-term strategic tool and on an ad hoc basis—depending on the company’s structure and needs.