Factoring

Purpose  of survey/audit

 

Factor conducts survey prior to take on or periodically after take on . The objectives of the survey are:

1. Assess the factorability of debt

2. Determine the dilution

3. The number of invoice and average invoice size to determine the work load

4. Whether the client invoicing system is acceptable

5. Whether client is using acceptable accounting software under non notification factoring

6. Whether credit notes are raised promptly

7. Whether there is another factor

8. Whether the supporting documents such as DO are acceptable

9. Whether there are  pre invoicing . For example some invoices especially in security guard service are raised monthly in advance