collateralized, and factored receivables are not part of the estate of a bankrupt SME. Empirical tests find that factoring is larger …Around the world, factoring is a growing source of external financing for corporations and small and medium …-size enterprises (SMEs). What is unique about factoring is that the credit provided by a lender is explicitly linked to the value of a …

Factoring is a form of asset-based finance where the credit is extended based on the value of the borrower's accounts … receivable. In recent years factoring has experienced phenomenal growth and has become an important source of financing … billion euro in 2003. Although the importance of factoring varies considerably around the world, it occurs in most countries …