Assifact (Italian Association for Factoring), an apolitical and non-profit organization, has advanced some proposals to the new one Meloni government concerning the Factoring times mainly against the liquidity emergency of companies, affected by the increase in energy and raw material costs.
The factoring sector, which closed the year in 2021 with a turnover of 250 billion euros, would like facilitate the disposal of trade receivables finally reducing bureaucracy, establishing clear and certain rules and speeding up response times.
Assifact's proposals
Le main proposals developed from the association are:
- Update the legislation on credit assignment, with particular reference to that relating to the transfer of receivables from the Public Administration
- Overcome the privilege of the Public Administration of refusing the assignment of creditslimiting it to specific and objective cases. For the debtor whose credits are assigned, it should be indifferent to whom to pay his obligation
- Allow the creditor to access information relating to payment orders linked to individual paid invoices; rationalize the portals used by the various administrations on the national territory; reduce the formalities required of the institutions before proceeding with the payment, strengthen and simplify the credit certification
- Limit or abolish, making it ineffective, the use of the non-assignability clauses of commercial credits, which prevent companies from disinvesting in their receivables in the event of temporary or lasting liquidity needs
- Eliminate the risk of clawback for assignments against cash consideration, taking into account the neutrality of the assignment of credit from an economic point of view and the absence of real prejudices for creditors. (this solution has in fact already been envisaged for securitizations and for the transfer of certified receivables via the MEF platform)
If factoring rode the technological wave envisaged by the PNRR, it would favor huge resources in favor of companies that represent the vital fabric of the country.
Il Factoring as a Financial Tool for Managing Seasonal Fluctuations in Trucking can perform the co-financer role of the Public Administration modernization plan and infrastructure and system investments, but also that of supporting the companies and suppliers that will provide services and products to the Public Administration.
“Thanks to this evolution the sector can make an important contribution for the achievement of objectives of the PNRR, with particular reference to the digitization of the Public Administration. Specifically, factoring is proposed as partner of the transformation of the system and of the Public Administration as well as promoter of the revitalization of businesses, in particular of SMEs, acting as an accelerator of transformation with products and services dedicated to the missions of the PNRR” he said Alexander Carretta, Secretary General of Assifact and professor of Economics of financial intermediaries at the University of Rome Tor Vergata.
Factoring growing in 2022
2022 was a year of great growth for factoring.
At the end of October 2022 the turnover was almost 229 billion euros (+17% compared to the same period of 2021). Turnover from Supply Chain Finance operations has exceeded the threshold of 22 billion euros. According to the latest association estimates, the sector is expected to close 2022 with a growth around 15%. A positive development of the turnover (+4,08%) is expected also for 2023.
The most operative sector continues to be that manufacturing where SMEs represent 64% of transferor companies. The quality of the portfolio, according to the latest data available, remains high with a bad debt level of 1,96%.
