Forfaiting

Forfaiting comes from the French 'à forfait', meaning surrendering rights. The exporter sells capital goods or large shipments on deferred payment terms, often over one to several years, and receives promissory notes or bills of exchange from the importer, which are guaranteed or avalised by the importer's bank, or receivables under a deferred payment LC.

The forfaiter buys these instruments at a discount and pays the exporter cash immediately. Because the purchase is without recourse, the forfaiter takes on the credit risk of the importer and the guaranteeing bank, the country risk and the interest rate risk. The exporter turns a credit sale into a cash sale and removes the receivables from its balance sheet.

Forfaiting differs from factoring:

• Forfaiting usually covers individual, larger, medium-term transactions, typically capital goods, and is always without recourse.
• Factoring covers a continuous flow of short-term receivables, may be with or without recourse, and often includes collection and ledger management services.

The cost of forfaiting includes the discount rate, a commitment fee and possibly a margin reflecting country risk.

फरफेटिङ फ्रेन्च शब्द 'à forfait' बाट आएको हो, जसको अर्थ अधिकार त्याग्नु हो। निर्यातकर्ताले पुँजीगत सामान वा ठूलो ढुवानी एकदेखि केही वर्षको स्थगित भुक्तानीमा बेच्छन् र आयातकर्ताको बैंकले ग्यारेन्टी/एभल गरेको प्रतिज्ञापत्र वा विनिमय पत्र प्राप्त गर्छन्।

फरफेटरले यी उपकरण डिस्काउन्टमा किनेर निर्यातकर्तालाई तुरुन्त नगद दिन्छ। recourse बिना खरिद हुने भएकाले आयातकर्ता, ग्यारेन्टी बैंक, देश र ब्याजदर जोखिम फरफेटरले लिन्छ।

फ्याक्टरिङसँगको फरक: फरफेटिङ ठूला, मध्यमकालीन, एकल कारोबारका लागि र सधैं recourse बिना हुन्छ; फ्याक्टरिङ अल्पकालीन प्राप्य रकमको निरन्तर प्रवाहका लागि, recourse सहित वा बिना र सङ्कलन सेवासहित हुन्छ।