Working capital and liquidity

ING Commercial Finance

Finance your invoices while awaiting payment

Do you need working capital, while having many invoices outstanding? With factoring you can obtain financing on the basis of your outstanding invoices and can even contract the entire management of those invoices out to ING. Factoring provides 3 formulas, which you can choose individually or combined.

  • More working capital

    You are paid immediately for the goods and services provided.

  • Shorter payment periods

    Due to our expertise in debtor management, the average payment period for you customers becomes much shorter.

  • Time saving

    You will save time, as you do not have to follow up invoices yourself.

  • Protection against non-payment

    ING bears the risk if a client does not pay.

Factoring with ING is made up of 3 options, with which you simplify the management of your invoices: financing outstanding invoices, debtor management and the assumption of the risk of non-payment.

  • Financing outstanding invoices: You "sell" the outstanding invoice to ING Commercial Finance and immediately receive an advance of 70 to 90 percent of the amount that the customer must pay to you.
  • Debtor management: ING Commercial Finance provides the administration, follow-up and collection of all of your accounts receivable.
  • Take-over of the risk of non-payment: ING Commercial Finance can take over the risk of non-payment by your customers either in part or in full.

For any business with an annual turnover of at least 4 million euros that has to deal with:​

  • rapid growth
  • strong seasonal fluctuations in sales and purchasing
  • the need to outsource invoice management
  • long customer payment periods
  • international customers
  • foreign subsidiaries
  • a high risk period
  • restructuring, reorganisation or management buy-out

Factoring provides 3 options, which you can choose individually or combined.

  1. Financing outstanding invoices:
    You "sell" the outstanding invoice to ING Commercial Finance and immediately receive an advance of 70 to 90 percent of the amount that the customer must pay to you. As soon as ING has collected the complete amount from the client, you receive the balance of the funds. You pay some interest on the advance payments and a possible factoring compensation.
    • You are paid immediately for the goods and services provided.
    • The invoices no longer sit on your balance sheet and you can pay your suppliers more quickly. In this way, you improve the ratios and risk profile of your business.
    • You choose yourself the amount to which the outstanding invoices are financed.
  2. Debtor management
    ING Commercial Finance provides the administration, follow-up and collection of all of your accounts receivable. With the "Creditview" tool you can follow up all incoming, outgoing and outstanding invoices. In this way, you know exactly at each moment how much working capital you have.

    • You will have more working capital, as the average payment period for your customers becomes much shorter.
    • You will save on administration and personnel costs, as you do not have to follow up invoices yourself.
    • You will have fewer unpaid invoices.

  3. Take-over of the risk of non-payment
    ING Commercial Finance can take over the risk of non-payment by your customers either in part or in full. We first assess how great the risk is that a particular customer will not pay. Based on that information we will choose the amount of default risk that ING will assume.

    • You are protected against unpaid invoices.
    • You choose for yourself the customers for which ING assumes the default risk.

The charges depend on the options that you choose. Contact your ING Relationship Manager for more information.