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Invoice Factoring Market Size to Grow USD 4618.9 Billion by 2031 at a CAGR of 9.4% | Valuates Reports

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BANGALORE, India, Oct. 8, 2024 /PRNewswire/ — Invoice Factoring Market is Segmented by Type (Recourse Factoring, Non-recourse Factoring), by Application (Domestic, International), by Enterprise Size (Large Enterprises, Small and Medium-sized Enterprises), by Provider (Banks, NBFCs), by Industry Vertical (Construction, Manufacturing, Healthcare, Transportation and Logistics, Energy and Utilities, IT and Telecom, Staffing)): Global Opportunity Analysis and Industry Forecast, 2022-2031.

The Global Invoice Factoring Market was valued at USD 1946.5 Billion in 2021, and is projected to reach USD 4618.9 Billion by 2031, growing at a CAGR of 9.4% from 2022 to 2031.

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Major Factors Driving the Growth of Invoice Factoring Market:

The global invoice factoring market is experiencing robust growth, driven by the increasing need for businesses to maintain liquidity and manage cash flow efficiently. Factoring services offer a flexible alternative to traditional financing, helping companies address payment delays, manage credit risk, and maintain operational stability. With the rise of SMEs, expanding international trade, and greater awareness of alternative financing options, the invoice factoring market is expected to grow at a steady pace in the coming years.

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TRENDS INFLUENCING THE GROWTH OF THE INVOICE FACTORING MARKET:

Recourse factoring, which allows lenders to reclaim payments from businesses if customers fail to pay, is a popular solution for businesses looking to maintain cash flow stability. This form of factoring provides lower fees and interest rates compared to non-recourse options, making it more attractive to small and medium-sized enterprises (SMEs). The appeal of lower costs and minimal risk for the factoring company has led to an increase in demand for recourse factoring. As businesses look for affordable financing options, recourse factoring is driving growth in the overall invoice factoring market by offering a flexible, cost-effective solution for managing cash flow disruptions.

Non-recourse factoring, where the factor assumes the credit risk in case of customer default, is gaining traction among businesses looking for secure, risk-free financing solutions. By transferring the burden of customer insolvency to the factor, companies can protect themselves from bad debts. This form of factoring is especially appealing to businesses dealing with high-risk clients or operating in volatile markets. Non-recourse factoring is driving growth in the invoice factoring market by providing businesses with greater peace of mind and reducing the need for internal credit management. As companies seek to minimize risk exposure, demand for non-recourse factoring services continues to rise.

Domestic factoring, which involves transactions within the same country, is a significant growth driver in the invoice factoring market, particularly in markets with established supply chains and customer bases. This type of factoring is well-suited to businesses that operate solely within their home country and need reliable cash flow solutions. The rise in domestic trade activities, especially in emerging economies, has spurred demand for domestic factoring services. This growth is further fueled by the simplicity of managing domestic transactions compared to international ones. As businesses aim to streamline operations and reduce payment delays, domestic factoring is playing a pivotal role in driving the market forward.

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Businesses of all sizes are increasingly looking for ways to manage cash flow effectively. Invoice factoring provides a reliable way to convert unpaid invoices into immediate cash, allowing businesses to maintain liquidity without waiting for customer payments. This has led to growing adoption of factoring services, particularly among SMEs that often face cash flow constraints. As more companies recognize the benefits of improved cash flow management, the demand for invoice factoring solutions is on the rise, driving the overall market’s growth.

The global rise of small and medium-sized enterprises (SMEs) in emerging markets has significantly contributed to the growth of the invoice factoring market. These businesses often lack the financial leverage and credit history to secure traditional bank loans, making factoring a more accessible option. The increasing presence of SMEs in sectors such as manufacturing, retail, and logistics has heightened the demand for factoring services. As these businesses seek financial stability and operational flexibility, factoring solutions are becoming an essential part of their financial strategies.

With the tightening of credit requirements and lengthy loan approval processes, businesses are shifting toward alternative financing options like invoice factoring. Unlike traditional loans, factoring does not require businesses to take on additional debt or provide collateral. This flexibility and ease of access have made factoring an attractive alternative, especially for companies that may not qualify for traditional lending. The growing preference for alternative financing solutions is propelling the invoice factoring market’s expansion.

In today’s volatile economic environment, businesses are placing a greater emphasis on maintaining liquidity. Invoice factoring offers an immediate solution to liquidity challenges, allowing businesses to cover operational expenses and investments without waiting for customer payments. This need for liquidity is especially pronounced in industries facing seasonal fluctuations or uncertain market conditions. As companies prioritize maintaining a steady cash flow, invoice factoring is emerging as a key financial tool, driving market growth.

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INVOICE FACTORING MARKET SHARE:

The invoice factoring market varies significantly across regions, with Europe being the largest market due to the strong presence of factoring companies and widespread adoption by businesses. North America is also a major market, driven by increasing awareness of factoring services among SMEs. In contrast, the Asia-Pacific region is witnessing rapid growth as emerging economies like China and India experience an uptick in domestic and international trade activities. Latin America and the Middle East & Africa are smaller markets but show promising potential due to the rising number of SMEs and improving regulatory frameworks.

Key Companies:

  • Lloyds
  • Adobe
  • American Express Company
  • ICBC
  • Intuit
  • Lloyds Bank
  • Porter Capital
  • Sonovate
  • Waddle
  • Velotrade
  • Barclays Bank UK PLC

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DISCOVER MORE INSIGHTS: EXPLORE SIMILAR REPORTS!

–  The global Trade Finance Market was estimated to be worth USD 8014110 Million in 2023 and is forecast to a readjusted size of USD 11631260 Million by 2030 with a CAGR of 5.4% during the forecast period 2024-2030.

–  The global Factoring Market was estimated to be worth USD 5421 Million in 2023 and is forecast to a readjusted size of USD 8389.1 Million by 2030 with a CAGR of 6.7% during the forecast period 2024-2030.

–  Electronic Invoice Market

–  Invoice Management System Market

–  Receivables Supply Chain Finance Market

–  Logistics Finance Market

–  Financial Close Software market was valued at USD 696 Million in 2023 and is anticipated to reach USD 1373.8 Million by 2030, witnessing a CAGR of 10.1% during the forecast period 2024-2030.

–  Personal Finance Software Market

–  The global Subscription and Billing Management market is projected to grow from USD 4454.8 Million in 2023 to USD 7430.1 Million by 2029, at a Compound Annual Growth Rate (CAGR) of 8.9% during the forecast period.

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–  Payment Processing Solutions market is projected to grow from USD 94720 Million in 2024 to USD 124780 Million by 2030, at a Compound Annual Growth Rate (CAGR) of 4.7% during the forecast period.

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Birla Carbon Announces the Launch of its first Asia Post Treatment Plant in India

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The state-of-the-art plant will provide specialty products for the coatings and inks markets from India

MUMBAI, India, Oct. 16, 2024 /PRNewswire/ — Birla Carbon, one of the leading manufacturers and suppliers of high-quality carbon-based solutions, announced the launch of its first Asia Post Treatment (APT) Plant in India. The brownfield initiative is located at the Patalganga unit, in the state of Maharashtra, India. This cutting-edge facility, equipped with the latest treatment technology, is set to revolutionize the carbon black industry by offering the highest levels of flexibility, efficiency, and precision. The plant will serve the fast-growing demand for high-performance carbon black grades in key industries like coatings and inks.

 

 

Sharing his thoughts on the launch, Rajeev Sonthalia, Director, Birla Carbon, said, “The launch of the Asia Post-Treatment Plant at Patalganga marks a significant milestone in Birla Carbon’s journey toward creating and deploying cutting-edge technology solutions for our customers. Asia is an emerging market for the carbon black industry and the strategic location of this plant will encourage innovation with our partners.” He further added, “This brownfield facility will enable Birla Carbon to leverage its global reactor capabilities, operating at the highest yields and efficiency. The precision in the manufacturing technology ensures that our products meet the highest standards of quality and performance, catering to the specific needs of our diverse customers, both regionally and globally. And by doing so, we enrich the lives of our consumers and inspire trust with our partners.”

The Asia Post Treatment Plant facility’s advanced technology ensures precise control over reaction times, facilitating the production of ultra-high-performance grades that are tailored to specific customer needs. With its ability to meet stringent clean product standards, the APT facility offers a distinct advantage over traditional products, positioning Birla Carbon as a market leader in delivering sustainable, high-quality solutions.

Sharing his thoughts on this new milestone, John Loudermilk, President and Chief Executive Officer, Birla Carbon, said, “The launch of our Asia Post Treatment Plant reflects our long-term commitment towards the industry and the businesses we serve. This facility enables us to support our customers more effectively while reinforcing Birla Carbon’s position as a thought leader in developing sustainable, high-performance carbon-based solutions for the future.” He further added, “This treatment facility strengthens our commitment to meeting global demand in high-growth sectors and leading the carbon black industry towards greater sustainability and efficiency. By prioritizing innovation and sustainability in every aspect of our operations, we are not just responding to current needs; we are anticipating future demand and setting new standards for quality, reliability, and environmental responsibility. Thus living our purpose to ‘Share the Strength’”. 

In addition to its broader range of applications, including packaging inks and automotive and industrial coatings, the ATP facility is strategically designed to tap into niche markets such as toys and tool coatings, where the demand for low PAH products is rapidly growing.

Located in Patalganga, India, the plant provides key advantages such as proximity to emerging Asian markets. It serves as a key backup to Birla Carbon’s North Bend facility in the USA.

About Birla Carbon

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Birla Carbon is one of the leading global suppliers of carbon-based solutions. As one of the flagship businesses of the leading Indian multinational conglomerate, the Aditya Birla Group, Birla Carbon provides innovative, sustainable carbon black solutions that enhance the performance of paints and coatings, inks and toners, plastics, adhesives, sealants, textile fibers, mechanical rubber goods, and tires, Energy Systems, Carbon Nanotubes, and Sustainable Carbonaceous Material. The company operates in 14 countries, boasting 17 manufacturing facilities and three cutting-edge technology centers in Marietta (USA), Taloja (India), and Sambreville, Belgium, showcasing forefront innovation in the industry. Birla Carbon’s Sustainability Strategy – Share the Future report focuses on employee safety, environmental stewardship, efficient use of carbon sources, and operating in a socially and ethically responsible manner.

For more information, visit https://www.birlacarbon.com or follow us on LinkedIn, Twitter, Facebook, or Instagram.

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Precisely Celebrates Customer Achievements with Precisely Data Integrity Awards

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BMW Group, Chamberlain Group, FERC, Generali Real Estate, and NZ Super Fund Honored at Trust ’24

BURLINGTON, Mass., Oct. 16, 2024 /PRNewswire/ — Precisely, the global leader in data integrity, today announced the winners of the inaugural Precisely Data Integrity Awards at Trust ’24, the company’s annual Data Integrity Summit. The award ceremony took place at Drexel University’s LeBow College of Business in Philadelphia on October 8, with recipients from around the world recognized for their outstanding achievements in AI Impact, Business Impact, and Societal Impact categories, using Precisely software, data, and services.

 

 

The Data Integrity Awards recognize Precisely customers who have achieved excellence in data integrity through innovative use cases and demonstrated results. The winners include:

  • BMW Group: World-leading premium manufacturer of cars and motorcycles uses the Precisely Data Integrity Suite to seamlessly connect its extensive mainframe environment to modern cloud technologies and platforms such as Kafka. Achieving outstanding performance and near real-time replication for automating data pipelines to support over 600 applications, BMW is modernizing its mainframe systems while maintaining operational integrity.
  • Chamberlain Group: Global leader in intelligent access uses Precisely Automate solutions to simplify and govern its SAP workflows, querying real-time information for data validation. The company experienced an 87% improvement in time savings, resulting in greater productivity and generating noteworthy benefits for its customer care team.
  • FERC (Federal Energy Regulatory Commission): This independent US agency uses the Precisely Data Integrity Suite to centralize and automate data cataloging and stewardship, replacing their legacy system with modern tools that streamline asset registration and governance processes. FERC has significantly reduced time and resources for maintaining the catalog, while enhancing data stewardship and improving data-driven decision-making across the commission.
  • Generali Real Estate – City Forward: One of the first real estate asset managers to establish a dedicated AI and machine learning innovation division uses high-integrity enrichment data from Precisely to train their models, reduce bias, and deliver more contextually relevant results for its City Forward® platform. This enables the business to make smarter decisions powered by highly accurate AI-driven insights, disrupting the traditional decision-making processes that inform investment strategies.
  • New Zealand Superannuation Fund (NZ Super Fund): New Zealand’s sovereign wealth fund is using the Precisely Data Integrity Suite to enable users to find, understand, and access their data. The organization has empowered their investment analysts and teams with trusted data to make more confident business decisions.

“We are incredibly proud to honor these exceptional organizations for the impressive achievements they have accomplished on their journey to data integrity,” said Kevin Ruane, CMO at Precisely. “As our first-ever Data Integrity Awards it was exciting to see the enthusiasm and passion from Precisely customers around the globe. Each company has a unique data story to tell, and it was truly a pleasure to recognize and celebrate with our customers at Trust ’24.”

About Precisely

As a global leader in data integrity, Precisely ensures that your data is accurate, consistent, and contextual. Our portfolio, including the Precisely Data Integrity Suite, helps integrate your data, improve data quality, govern data usage, geocode and analyze location data, and enrich with complementary datasets for confident business decisions. Over 12,000 organizations in more than 100 countries, including 93 of the Fortune 100, trust Precisely software, data, and strategy services to power AI, automation, and analytics initiatives. Learn more at www.precisely.com.

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Precisely is the global leader in data integrity, providing accuracy, consistency, and context in data for 12,000 customers in more than 100 countries, including 93 of the Fortune 100.

 

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du partners with Cognizant to elevate digital Telecommunications excellence

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The collaboration will integrate Cognizant’s advanced solutions to enhance du’s service quality and customer satisfaction, ushering in a new era of digital innovation in the telco industry.

TEANECK, N.J., Oct. 16, 2024 /PRNewswire/ — Cognizant (NASDAQ: CTSH) and du, the leading telecom and digital services provider, today announced a five-year strategic relationship aimed at accelerating du’s digital transformation. The collaboration is focused on enhancing du’s internal capabilities to ensure the company remains at the forefront of the rapidly evolving telecommunications landscape.

du is committed to delivering more agile and efficient services, aligning with the UAE’s ambitious innovation and growth objectives. Cognizant will provide du with comprehensive quality engineering and assurance, release management, automation services, and governance for Business Support Systems, Operational Support Systems, and Enterprise Support Systems, digital, data, and integration areas.  Additionally, Cognizant will support du’s strategic initiatives with enterprise architecture and high-level solution design, aiming to ensure enhanced quality, and reduced time to market. This collaboration with Cognizant will empower du to elevate its service quality and provide tailored digital experiences that meet the diverse needs of its clients.

“By strengthening our internal capabilities through our relationship with Cognizant, we are ensuring that du is well-positioned to meet future demands, drive innovation, and provide world-class services to our clients,” said Fahad Al Hassawi, CEO at du. “This collaboration reflects our commitment to delivering impactful, forward-thinking solutions that improve the lives of the communities we serve.”

“We are proud to collaborate with du as they embark on their digital transformation journey,” added Maged Wassim, Head of Cognizant Middle East. “By leveraging our expertise in quality engineering, we aim to elevate du’s innovative spirit and optimize their operations, empowering them to deliver exceptional client experiences that set new benchmarks in the telecommunications sector across the Middle East.”

About du

du adds life to life with a comprehensive portfolio of mobile, fixed, broadband, entertainment services, and fintech solutions. Through a digital-first approach powered by ultra-reliable fiber and 5G technology, du delivers bespoke solutions leveraging cloud computing, AI-driven analytics, advanced cybersecurity, and IoT integration. As a trusted digital telco enabler spearheading the UAE’s digital transformation, we collaborate with a dynamic partner ecosystem to propel industries and society toward operational excellence, shaping a more connected and digitally advanced future across the region. 

About Cognizant 

Cognizant (Nasdaq: CTSH) engineers modern businesses. We help our clients modernize technology, reimagine processes and transform experiences so they can stay ahead in our fast-changing world. Together, we’re improving everyday life. See how at www.cognizant.com or @Cognizant.

For more information, contact: 

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