The Development Of Factoring In Our Commercial Banks And The Analysis Of Its Risks

Now,under the condition of Macroscopic economy wich constitute by the Economic globalization,The trade barrier reduction and global buyer market formation ,traditional trade settlement method begins to descend significantly, on the contrary, credit sale method is more and more widely accepted.Factorying is just one of finance based on the credit sale,because it adjusts the current of the trade globalization, it is being the most important financial innovative product to be lead by local commercial bank in recent years. However, compared with the developed contry, factorying in our bank falls behind. To face the huge stress of the globalization of financial market and the impact of foreign factors, in order to take up an advantageous status in this drastic competition, commercial banks in China have to study the advanced experience actively, make great efforts to creat varieties of new business ,by which to upgrade their international competition.Thus,there is important realistic significance to China's banking currently in discussing how to develop factorying ,how to identify the risk and how to fight against the risk.With the global angle of view,this paper analyzes the origins and the changing of factorying,discuss the basis and content of factorying. Based on the foundation of Theories and laws,this paper analyzes the development of global factorying and the specific Circumstance in china ,by using a lot of charts and data .Through gathering analysis , points out the existing problems in factoying in china and the advanced experience in developed nation which we could study from, The core of this paper is that it gives the suggestions of the mode and the principals of how to operate the domestic and international factoring and the applicability of this business. Generally analyze the risks that may meet in the process of business and how to control them .Give an typical example to explain the operationg of factoring.The last part put forward some strategies in how to accelerate the steps of factorying.