Reverse Factoring

This query is : Open

KapBadola (Querist)
Follow

02 December 2025 Hi, Let's say there is intercompany A which sells raw material to company B.Company B make payment to A on receipt of Invoice. Can company B bring company A under the reverse factoring program wherein bank will fund the invoice at certain interest cost and on due date company B makes payment to bank. it's standard practice for regular vendor but want to understand the possibility or regulation around this for Intercompany.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now