BBVA Factoring, the factoring arm of Spanish bank BBVA (and the Spanish industry’s largest player with a market share of 35%), is currently developing new products to expand its activity within the administration of credit sales and payment by instalment. According to Luis Mendoza, managing director of the company, BBVA Factoring is focusing in particular on small- and medium-sized businesses and public bodies.
BBVA Factoring's most innovative project, however, benefits businesses such as telecoms, electricity, gas and cable companies, which are not paid for the services they provide until 30 or 60 days after these products have been consumed. To alleviate the financial situation of these companies, BBVA Factoring will pay in advance the income they will receive from their clients' monthly bills. It has already begun implementing this product in the telecoms group Telefonica.
Source: Expansion
