CaixaBank closed 2021 with a turnover in factoring and reverse factoring (collection and payment management) of over €56 billion. This figure, the highest on record, solidifies CaixaBank’s leadership position in factoring and reverse factoring, Spanish companies’ most widely used working capital financing tool, with the Bank holding a market share of 28%. . According to data from the Bank of Spain, 89% of current financing in 2021 was managed through factoring and reverse factoring.
Reverse factoring is a financial and administrative service that consists of managing a company's payments to its domestic and foreign suppliers, who are offered the possibility of collecting invoices prior to the due date. More than 700,000 suppliers have benefited from the advantages of this service with advanced payments. Through reverse factoring, suppliers can have an advance collection facility for all customer-confirmed invoices, without this funding creating exposure to banking risk. CaixaBank exceeded €31 billion in reverse factoring in 2021, with a 30% market share.
As regards factoring, CaixaBank’s turnover exceeded €25 billion in 2021, representing a market share of 26%. Factoring is the set of collection, financing and insolvency coverage management services for domestic and international credit sales. Factoring boosts financing capacity and provides instant liquidity by financing the amount of sales. It also evades the risk of insolvency non-performance and reduces defaults and delinquency.
Commitment to digitalisation
CaixaBank is committed to innovating its services in factoring and reverse factoring through the use of digitalised products and services aiming to improve the customer experience.
In October, the bank launched CaixaBank ReadyToFinance, the first service for companies and the self-employed to promptly finance payments to suppliers, recurring taxes and trade receipts online. Furthermore, CaixaBank's new reverse factoring service enables customers and suppliers to execute assignment of credit agreements and advances anywhere in the world, 24/7 , from CaixaBankNow.
CaixaBank has also made available to its customers and suppliers a new digital service (dashboard) that provides easy access to the key aspects of their reverse factoring contracts, such as the amount of their next payment, information on their payments in the coming weeks, viewing their suppliers' use of their reverse factoring, the status of the last remittance sent, and the most active suppliers. In this case, the dashboard provides easy access to functions such as upcoming collection, 16-week collection forecast and its status, total of the outstanding portfolio that can be advanced, and use over the past twelve months, among other functionalities.
CaixaBank, experts on companies, experts on people
CaixaBank is a benchmark institution for businesses with a specialised model. It has a network of 145 CaixaBank Empresas centres distributed across all the autonomous communities in Spain, with more than 1,500 highly-qualified employees and an established reputation in business consulting. These centres are staffed by professionals specialised in financing and services; foreign trade and treasury management; structured financing; tourism; and real estate, offering customised services and products to support, promote and meet the needs of companies in these fields.
Internationally, CaixaBank supports its business customers with various operational solutions with effective regional access to 127 markets in different countries in addition to its highly-specialised advisers who work in the branches in Spain, offering the best advice for business transactions abroad. The bank provides its services to both SMEs and micro-enterprises that are starting out in exports, and to large corporations and business groups that are involved in more complex international projects.
CaixaBank also supports these businesses by managing access to Next Generation EU funds. Seeking to act as an active agent in distributing the available aid and speeding up its arrival to beneficiaries, CaixaBank is making available an aid search engine to facilitate customers’ and non-customers’ access to these funds. This search engine will allow exploring the existing options according to the beneficiary, the recipient's economic sector, type of aid, call for entry sector, and province. This digital platform, which has been developed by Minsait (Indra group), can be accessed through CaixaBankNow, the bank's digital platform, and via the CaixaBank Business web portal.
