Journal of Applied Finance & Banking

Factoring as a financial alternative to firms (Case of study of firms providing services to the Federal Electricity Commission)

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• Abstract

  The purpose of this study is to ascertain why the companies providing services from the Southeast Regional Management Production (SRMP) of the Federal Electricity Commission (FEC) do not take advantage of the program for Productive Chains that National Financier (NF) offers to operate financial factoring. A questionnaire was administered to 260 companies in order to identify the knowledge they have on the program, the complexity degree to cover the requirements and the convenience in the discount rates. The results show that these companies do not make use of factoring due to a lack of knowledge on the tool as well as by the amount of requirements to cover.