International Export Factoring

The parties involved in an international factoring transaction are:

• Customer (exporter or seller): Portuguese company that invoices the supply of goods;
  Debtor (importer or buyer): foreign customer of the exporter, responsible for paying the invoices related to the supply of goods;
  Millennium bcp – Export Factor (EF): the entity to which the Portuguese exporting company assigns its receivables (invoices) under the terms of the factoring agreement;
• Import Factor (IF): an entity based in the debtor’s country, responsible for collecting assigned receivables (invoices) and which may provide coverage against non-payment. The relationship with this entity is handled by Millennium bcp.

Includes the main services of International Export Factoring:

• Debtor analysis: debtors (foreign buyers) are assessed by the Import Factor chosen by Millennium bcp, which sets risk coverage limits for each one. This assessment is requested by Millennium bcp and takes place before the decision on the operation.
  Risk coverage: when contracted, it ensures coverage against non-payment by foreign debtors/buyers. In the event of a dispute, such payment may not occur.
  Management and collection: Millennium bcp manages and collects the receivables assigned to it, using the services of the Import Factor located in the debtor 's/buyer 's country.
• Financing through advance of funds: other Customer/exporter may receive an advance on a percentage of the assigned receivables, subject to Millennium bcp credit approval.