Efficiency analysis of factoring transactions as a tool of working capital management

Abstract

In present conditions of functioning of business entities the management of financial flows is becoming increasingly important, in particular speed of capital turnover, one of the ways to improve of which is factoring. This article deals with the efficiencyanalysis of factoring transactions. The plane of analysis of factoring transactions from the position of factor and factoree is outlined. Purpose, objectives, objects and stages of analysis of factoring transactions for factoree are formed. Among the stages of efficiency analysis of factoring transactions in factoree is allocated the stages: impact analysis of factoring on the dynamics and level of accounts receivable; impact analysis of factoring on the financial results of the enterprise; effectiveness analysis of factoring compared to alternative sources of financing and accounts receivable management. Directions for improvement of methodological provisions of efficiency analysis of factoring transactions in the part of determining of analytical indicators complex to facilitate the management of working capital management by making optimal management decisions by business entities are offered.