What is Factoring Services?
Factoring is a financial service in which the business entity sells its bill receivables to a third party at a discount to raise funds. With the use of factoring services the working capital cycle works smoothly as the factor immediately provides funds on the invoice, sales ledger maintenance by the factor leads to a reduction of cost, and it reduces the need for the introduction of new capital in the business. The United States Factoring Services in the Medical Billing market was valued at USD 223.27 Million in 2020 and is expected to reach USD 413.43 Million by 2026, growing at a CAGR of 9.20 percent during 2021-to 2026. Factoring, also known as debt factoring, invoice finance, asset-based lending, or accounts receivable finance, is a growing trend in which firms sell their invoices at a discount to a third party to fund their cash flow (factoring company).
Attributes | Details |
---|
Study Period | 2017-2027 |
Base Year | 2021 |
Unit | Value (USD Million) |
Key Companies Profiled | BlueVine (United States), altLINE (United States), Triumph Business Capital (United States), RTS Financial (United States), eCapital Corp. (United States), OTR Capital (Georgia), Porter Freight Funding (United States), Apex Capital Corp (United States), Thunder Funding (United States) and TAFS (India) |
CAGR | 10.1% |
The study covers a detailed analysis segmented by key business segments i.e. by type (Full Factoring, Recourse Factoring, Maturity Factoring, Advance Factoring and Others) and major geographies.
The competition is expected to become even more intense in the years to come due to entry of several new players in the market. To help clients improve their revenue shares in the market, this research study provides an in-depth analysis of the markets competitive landscape and offers information on the products offered by various leading companies. Additionally, this Factoring Services market analysis report suggests strategies Players can follow and recommends key areas they should focus on, in order to take maximum benefits of growth opportunities.
The report offers several leading Players, some of them are BlueVine (United States), altLINE (United States), Triumph Business Capital (United States), RTS Financial (United States), eCapital Corp. (United States), OTR Capital (Georgia), Porter Freight Funding (United States), Apex Capital Corp (United States), Thunder Funding (United States) and TAFS (India).
Market Overview:
In 2020, Triumph Business Capital has acquired Transport Financial Solutions, the transportation factoring assets by Triumph Business Capital. The acquisition of the Transport Financial Solutions portfolio further highlights Triumph’s commitment to the transportation industry.
Global Factoring Services is a fragmented market due to the presence of various players. The players are focusing on investing more in Launching Services. These will enhance their market presence. The companies are also planning strategic activities like partnerships, mergers, and acquisitions which will help them to sustain in the market and maintain their competitive edge.
Market Trend
Need to Reduce the Credit Risk of the Seller, High Demand due to Consistence Cash flow and Growing Healthcare Industry in the United States
Restraints
- High cost associated with the Factoring Services
Opportunities
Growing Customer's Demand to See the Details about the Company can create Opportunities for the Market Growth and Advent Of Blockchain In Factoring Services
Key highlights of the Global Factoring Services market Study:
CAGR of the market during the forecast period 2021-2027
In-depth information on growth factors that will accelerate the Factoring Services market in next few years.
Detailed Insights on futuristic trends and changing consumer behaviour
Forecast of the Global Factoring Services market size and its contribution to the parent market by type, application and by country.
A broad view of customer demand
Uncover markets competitive landscape and in-depth information on various Players
Comprehensive information about factors that will challenge the growth of Factoring Services Players
Transformation and Important Triggers:
Business transformation has taken hold across the broad corporate landscape due to the confluence of several important triggers, including:
A tipping point in globalization
A major slowdown in Western economies
Significant shifts in technology and cost structure
The challenges of regulatory compliance
New forms of competition developing
Research Methodology:
The top-down and bottom-up approaches are used to estimate and validate the size of the Global Factoring Services market.
In order to reach an exhaustive list of functional and relevant players various industry classification standards are closely followed such as NAICS, ICB, SIC to penetrate deep in important geographies by players and a thorough validation test is conducted to reach most relevant players for survey in Factoring Services market.
In order to make priority list sorting is done based on revenue generated based on latest reporting with the help of paid databases such as Factiva, Bloomberg etc.
Finally the questionnaire is set and specifically designed to address all the necessities for primary data collection after getting prior appointment> by targeting key target audience that includes Factoring Services Providers, Regulatory Bodies, Potential Investors, Research and Development Institutes and Others.
This helps us to gather the data for the players revenue, operating cycle and expense, profit along with product or service growth etc.
Almost 70-80% of data is collected through primary medium and further validation is done through various secondary sources that includes Regulators, World Bank, Association, Company Website, SEC filings, OTC BB, Annual reports, press releases etc.