Purchase factoring or reverse factoring allows using the widely-known invoice financing also in transactions with suppliers. It is like a short-term loan for your operating activities, but without any credit commitments. At the moment, ERST Finance is the only company in the Latvian market which undertakes to pay your suppliers’ invoices, allowing you to make your payment 30-90 days later. In this way, it is possible to arrange better purchase conditions, as well as to purchase more goods and maintain a stable cash flow.
Required criteria for obtaining a loan:
- The company has been trading for at least a year;
- The previous year ended with a profit;
- Positive net worth;
- No major tax delays.