Factoring agreement

The full contract governing the factoring relationship, including fees, reserves, and remedies.

Why it matters

The factoring agreement is the controlling document for all fees, reserves, recourse events, UCC rights, and exit terms. Every field on a profile should be verified against it.

Related terms

Related article: What is invoice factoring?

Related reading

Sources

  • International Factoring Association - International Factoring Association. Accessed 2026-05-19. Industry association source for factoring terminology and industry context.
  • Secured Finance Network - Secured Finance Network. Accessed 2026-05-19. Industry education source for secured finance and asset-based lending context.
Financial disclaimer. This page is educational only and is not financial, legal, tax, accounting, or credit advice. Factoring terms vary by provider and contract. Read the full disclaimer.