How Do You Spell FACTORING?

Pronunciation: [fˈaktəɹɪŋ] (IPA)

The word "factoring" is spelled with two syllables: /ˈfæk.tər.ɪŋ/. The first syllable is pronounced with the short "a" sound like in "cat", followed by a "k" sound made by a "c". The second syllable consists of the long "i" sound followed by "ng" which is pronounced like "ing" in "sing". Factoring refers to the process of breaking down numbers into their factors, either for solving equations or simplifying expressions. This word is commonly used in the field of mathematics and finance.

FACTORING Meaning and Definition

1. Factoring is a financial process that involves the sale of accounts receivable, invoices, or outstanding debts by a business to a third party known as a factor. The factor, often a financial institution or specialized company, purchases these invoices at a discounted rate in exchange for immediate cash flow to the business. The factor then assumes responsibility for collecting the full payment from the customers, including any further administrative tasks such as credit control and bookkeeping.

   This method of financing provides several benefits to businesses. Firstly, factoring enables immediate access to funds that can be used for working capital, paying suppliers, or investing in growth opportunities. It eliminates the waiting period for customers to pay their invoices, allowing businesses to better manage cash flow. Secondly, factoring transfers the risk of non-payment or late payment by customers to the factor, reducing the financial uncertainty and potential losses for the business. Additionally, factoring offers businesses the advantage of outsourcing the time-consuming tasks of credit management and collections to experts in the field.

   Factoring is commonly employed by small and medium-sized enterprises (SMEs) or businesses operating in industries where long payment cycles exist, such as manufacturing or wholesale distribution. The discount rate offered by factors may vary based on factors such as the creditworthiness of customers and the volume of invoices being factored. Overall, factoring acts as a financial tool that improves cash flow, mitigates risks, and allows businesses to focus on their core operations.

Top Common Misspellings for FACTORING *

• facting 100%

* The statistics data for these misspellings percentages are collected from over 15,411,110 spell check sessions on www.spellchecker.net from Jan 2010 - Jun 2012.

Other Common Misspellings for FACTORING

• factorign
• fattering
• catoring
• factori
• factorie
• actring
• facturing
• factoried
• lectoring
• factoringg
• faktoring
• factering
• factoreeing
• facteringg

Etymology of FACTORING

The word "factoring" originates from the Latin term "factor", which means "doer" or "maker". In the late 16th century, this term was used in English to refer to a person or entity that performs a specific task or activity. Over time, "factor" evolved to include the concept of financial intermediaries who engaged in the buying and selling of debts. In the 20th century, the term "factoring" emerged specifically to describe the practice of selling accounts receivable or invoices to a third party at a discounted price in exchange for immediate cash.

Similar spelling words for FACTORING

• factor out,
• catering,
• vectoring,
• factor v,
• factor ix,
• Factories,
• factory,
• faltering,
• factorial,
• factor x,
• factor in,
• factor iv,
• Fracturing,
• featuring,
• factor xii,
• factor xiii,
• factor i,
• factor,
• faster,
• factor vii,
• factor iii,
• factor xi,
• factor ii,
• factorise,
• factor viii,
• factorize.

Conjugate verb Factoring

CONDITIONAL

I would factor

we would factor

you would factor

he/she/it would factor

they would factor

FUTURE

I will factor

we will factor

you will factor

he/she/it will factor

they will factor

FUTURE PERFECT

I will have factored

we will have factored

you will have factored

he/she/it will have factored

they will have factored

PAST

I factored

we factored

you factored

he/she/it factored

they factored

PAST PERFECT

I had factored

we had factored

you had factored

he/she/it had factored

they had factored

PRESENT

I factor

we factor

you factor

he/she/it factors

they factor

PRESENT PERFECT

I have factored

we have factored

you have factored

he/she/it has factored

they have factored

I am factoring

we are factoring

you are factoring

he/she/it is factoring

they are factoring

I was factoring

we were factoring

you were factoring

he/she/it was factoring

they were factoring

I will be factoring

we will be factoring

you will be factoring

he/she/it will be factoring

they will be factoring

I have been factoring

we have been factoring

you have been factoring

he/she/it has been factoring

they have been factoring

I had been factoring

we had been factoring

you had been factoring

he/she/it had been factoring

they had been factoring

I will have been factoring

we will have been factoring

you will have been factoring

he/she/it will have been factoring

they will have been factoring

I would have factored

we would have factored

you would have factored

he/she/it would have factored

they would have factored

I would be factoring

we would be factoring

you would be factoring

he/she/it would be factoring

they would be factoring

I would have been factoring

we would have been factoring

you would have been factoring

he/she/it would have been factoring

they would have been factoring