Debt

Factoring

Receivables factoring to convert invoices into immediate liquidity.

Factoring
Overview

Factoring is the sale of accounts receivable to a financier at a discount for immediate cash, improving cash flow without conventional balance-sheet debt. Matchpoint arranges recourse and non-recourse factoring.

As part of our Debt practice, Matchpoint Partners has originated and led $2+ billion of transactions across four continents, and every debt mandate is led by a partner, from first call to close.

Factoring is the sale of a company's accounts receivable to a financier at a discount, in exchange for immediate cash. It improves cash flow without adding conventional debt to the balance sheet, and suits growing, receivables-heavy businesses. Matchpoint Partners arranges recourse and non-recourse factoring facilities with regional and international providers.

How factoring works: the business sells invoices to the factor for most of their value upfront; the factor collects from customers and remits the balance, less fees.
How factoring works: the business sells invoices to the factor for most of their value upfront; the factor collects from customers and remits the balance, less fees.
How Matchpoint helps

Our role on factoring mandates

  • Immediate cash against invoices
  • Recourse and non-recourse options
  • Improves cash flow off-balance-sheet
  • Suited to receivables-heavy businesses
Track record

Select transactions

Representative debt mandates led by Matchpoint partners.

Industrials · UAE
$15m

Working capital via invoice discounting & supplier finance.

Debt Adviser · UAE
Questions, answered

Factoring — frequently asked questions

You sell invoices to a factor for most of their value upfront; the factor collects and remits the balance, less fees.

Factoring can include collections and disclosure; invoice discounting is typically confidential.

Under recourse factoring, you must buy back or replace invoices your customer fails to pay, so the credit risk stays with you. Non-recourse factoring transfers that risk to the factor, usually for a higher fee and subject to credit limits on each debtor. The right choice depends on debtor quality and your risk appetite.

Factors assess the quality and spread of your customers, since they are effectively lending against those debtors. They look for creditworthy buyers, low concentration on any single customer, clean invoicing with few disputes or credit notes, and clear evidence of delivery. The strength of your own balance sheet matters less.

Yes. Cross-border factoring funds invoices owed by overseas buyers, often with credit protection on the foreign debtor through the factor’s international network or credit insurance. It suits exporters offering open-account terms who want to remove both the waiting time and the collection risk on distant customers.

Matchpoint originates senior, mezzanine, hybrid and structured debt from regional banks, international lenders and private credit funds, structured around your transaction. Tickets range from USD 5m to USD 500m+.

Private credit is non-bank lending from specialist funds, typically senior or unitranche, offering speed and flexibility. We maintain relationships with private credit funds active in the GCC and India.

Yes. We structure Sukuk and Shariah-compliant private credit, including blended structures pairing a Sukuk tranche with conventional debt.

Engagements ordinarily combine a retainer with a success fee. Terms are agreed in writing before work begins and calibrated to the mandate’s size, scope and complexity.

Most mandates reach a first term sheet within 30 days, depending on diligence readiness and structure; closing follows once terms are agreed.

A short, confidential scoping call and NDA; we structure the requirement and prepare materials, then run a competitive process across our 5,000+ investor and lender relationships, and negotiate to close — with a partner leading at every step.

Matchpoint Partners is based in the UAE and runs cross-border mandates across the UAE, KSA, India and the UK, with active deal activity in wider Europe, Singapore and the United States.

Matchpoint undertakes corporate finance, financing, M&A and fund-placement mandates from USD 5m upwards, subject to mandate fit, diligence, applicable regulation, capacity and a written engagement. The partner team has originated and led $2+ billion of transactions.

Use the enquiry form, email contact@matchpoint-partners.com, or call/WhatsApp +971 52 345 1119. Every mandate is led by a partner from the very first conversation.

Yes. Confidential information is handled under the engagement terms and any applicable non-disclosure agreement.

Interested in factoring?

Tell us your requirement and a partner will respond personally.

Capital markets ecosystem

Investment roles, structures and decision criteria

Explore the participants and transaction options relevant to this practice. Each entry sets out a discussion scope, decision checks, a paid engagement starting point and the specialist responsibilities to confirm.

Asset and Trade Finance

Factoring CompaniesCME-064 · Asset and Trade Finance · Debt Lender
Ecosystem role
Debt Lender
Related asset class
Private credit
Instrument context
Asset-based lending

Mandate context: inventory, receivables, trade and equipment funding. The structure and rights are established by the specific transaction documents.

Decision focus: Financeable assets and traceable cash conversion.

  • Asset ownership, eligibility and supporting records
  • Receivable, inventory or equipment quality
  • Concentration, collections, controls and recourse

Scope to discuss: Lender advisory, independent credit underwriting and financing execution.

Paid engagement entry point: independent credit-screening memorandum; followed by underwriting, structuring or portfolio monitoring.

Illustrative GCC scenario: An illustrative Saudi supplier financing can be reviewed using purchase orders, receivables evidence, obligor concentration and collection controls. This is a hypothetical decision example.

What should be agreed before a mandate involving Factoring Companies?

Define the investment or transaction objective, the authorised decision-maker, the evidence available, the requested deliverables and the next approval. Use the decision checks above to identify gaps; agree the workplan, delivery responsibilities and fee terms in writing.

Delivery and specialist boundary: Confirm decision authority, evidence access, conflicts, scope and applicable jurisdiction-specific permissions before execution. Legal, tax, fund-marketing, securities and Shariah questions require the relevant appointed specialist. Capital availability, investment returns and execution dates remain subject to assessment.

Discuss a paid scope

Debt and Asset Finance

FactoringCME-233 · Debt and Asset Finance · Funding Instrument
Ecosystem role
Funding Instrument
Related asset class
Private credit
Instrument context
Debt or asset finance

Mandate context: corporate, project, asset and acquisition financing. The structure and rights are established by the specific transaction documents.

Decision focus: Cash obligations and risk allocation.

  • Pricing, tenor and repayment obligations
  • Collateral, covenants and priority
  • Sensitivity to delays, cash shortfalls and refinancing

Scope to discuss: Capital-structure design, financing options analysis and execution support.

Paid engagement entry point: financing-options and term-sheet assessment; followed by lender or investor process execution.

Illustrative GCC scenario: An illustrative Saudi funding proposal can compare repayment, security, covenant and refinancing terms on common cash-flow assumptions before specialist documentation review. This is a hypothetical decision example.

What should be agreed before a mandate involving Factoring?

Define the investment or transaction objective, the authorised decision-maker, the evidence available, the requested deliverables and the next approval. Use the decision checks above to identify gaps; agree the workplan, delivery responsibilities and fee terms in writing.

Delivery and specialist boundary: Confirm decision authority, evidence access, conflicts, scope and applicable jurisdiction-specific permissions before execution. Legal, tax, fund-marketing, securities and Shariah questions require the relevant appointed specialist. Capital availability, investment returns and execution dates remain subject to assessment.

Discuss a paid scope

Further reading on diligence, market frameworks and applicable requirements. These resources do not verify an individual mandate or Matchpoint permission.

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