factor

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Related to extrinsic factor: Extrinsic pathway

Factor

A financial institution that buys a firm's accounts receivable and collects the accounts.

Factor

A third party that buys a firm's accounts receivable. If a firm is not confident in its ability to collect on its credit sales, it may sell the right to receive payment to the factor at a discount. The factor then assumes the credit risk associated with the accounts receivable. This provides the firm immediate access to working capital, which is important, especially if the firm has a cash flow problem. The price of factoring is determined by the creditworthiness of the firm's customer, not of the firm itself. It is also known as accounts receivable financing.

factor

A firm that purchases accounts receivable from another firm at a discount. The purchasing firm then attempts to collect the receivables.

factor

To sell accounts receivable to another party at a discount from face value. Thus, a firm in need of cash to pay down short-term debt may decide to factor its accounts receivable to another firm.

factor

  1. a firm that purchases TRADE DEBTS from client firms. See FACTORING.
  2. a firm that buys in bulk and performs a WHOLESALING function.
  3. an input (for example raw material, labour, capital) which is used to produce a good or provide a service.

factor

  1. 1a FACTOR INPUT that is used in production (see NATURAL RESOURCES, LABOUR, CAPITAL).
  2. a business that buys in bulk and performs a WHOLESALING function.
  3. a business that buys trade debts from client firms (at some agreed price below the nominal value of the debts) and then arranges to recover them for itself. See FACTOR MARKET, FACTORING.
References in periodicals archive ?
Many methods of quantitative analysis, ranging from univariate to multivariate statistical techniques, have been proposed for examining the variation of diets in relation to extrinsic factors (Hyslop, 1980; Cortes, 1997).
Both intrinsic factors (characteristics of infants) and extrinsic factors (parent behaviors, family environment, etc.
Using techniques in molecular biology, biochemistry, genetics, imaging, and tissue culture, we are probing a variety of intrinsic and extrinsic factors for their ability to render melanocytes susceptible to malignant transformation.
Other extrinsic factors that can be influenced positively include optimizing the work environment and requiring pertinent clinical and physician contact information for each requested study.
8226; To appreciate intrinsic and extrinsic factors which can affect the performance of tissue culture media
A positive relationship appeared between the Intrinsic and Extrinsic Social Orientations and between the two Extrinsic factors.
Intrinsic and extrinsic factors affecting anti-drug antibody (ADA) development
Extrinsic factors, in turn, are of two categories: self-determined extrinsic motivations and externally determined extrinsic motivations.
The results of these two studies showed that extrinsic factors were more effective in creating academic motivation in comparison with intrinsic factors.
Achieving and maintaining an erection require the proper functioning of both vascular and neurogenic components, which are in turn modulated by hormonal status and extrinsic factors.
Employees suffering from Burnout may not be able to appreciate extrinsic factors such as pay, quality of supervision and administration of fringe benefits.
We have to battle a lot of extrinsic factors for regeneration, including gravity," said study leader White, a professor of aerospace engineering.