China factoring market is divided into two markets: bank factoring and commercial factoring, which were previously supervised by CBRC and Ministry of Commerce respectively. It is generally believed in the industry that, in essence, bank factoring is not real factoring, but is equivalent to the pledge loan of accounts receivable. On the contrary, commercial factoring companies conform to international rules and mechanisms and engage in the transfer of accounts receivable, which belongs to credit financing.
Extended data
On the supervision of commercial factoring;
After commercial factoring is placed under the unified guidance and supervision of CBRC in the future, the first problem is how to unify the supervision standards.
Commercial factoring and bank factoring are essentially different, and their standard languages are not the same, so they need to be unified. In addition, the CBRC will have separate requirements on the main body, capital constraints, registered capital and senior management qualifications of factoring companies.
Factoring is regarded as the financial carrier of supply chain and a countercyclical industry. Under the new normal of supply-side structural reform, factoring has unique advantages in solving the financing difficulties and expensive financing of SMEs and reducing the leverage ratio of enterprises.
In fact, the compliance supervision of factoring companies has already begun. Previously, the "factoring +P2P online lending" model was popular, and the industry associations in South China have asked factoring companies to stop cooperating with P2P online lending institutions.
The core of commercial factoring supervision is to look at the risks of basic assets and whether factoring is based on the real trade background. At present, the practice is to manually review the relevant transaction documents and ensure that the basic accounts receivable are true and effective through the relevant materials in the transaction background.
References:
Baidu encyclopedia? Commercial factoring