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. What is the main difference between Recourse and Non Recourse factoring

Posted by Om Om 7 years, 2 months ago

CBSE > Class 11 > Business Studies

1 answers

Sia ? 4 years, 6 months ago

Recourse factoring is the most common and means that your company must buy back any invoices that the factoring company is unable to collect payment on. You are ultimately responsible for any non-payment. Non-recourse factoring means the factoring company assumes most of the risk of non-payment by your customers.

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