EKSPO FAKTORİNG A.Ş.
2021 ANNUAL REPORT
Products & Services

Ekspo Faktoring has managed to institutionalize above the sector average in client relations management, thanks to the trust-based relationships it has established since its foundation. The company swiftly meets the expectations and needs of its clients with its tailored solutions.

Increasing the service quality and diversity in the financial sector has been among Ekspo Faktoring’s priorities since the day it was founded. With this understanding, Ekspo Faktoring offers to-the-point solutions to the financing needs of its clients operating in different industries, and always focuses on enriching and developing its product range, further increasing the effectiveness of its marketing methods and ensuring the highest level of client satisfaction. It meets the needs of its clients accurately and on time by structuring fast and effective business processes with a wide range of products and services, curated by its experienced team.

Wide product and service portfolio

Providing financing, as well as guarantee and collection services, for both domestic and international transactions, the Company supports its clients as they carry out successful projects and business processes, thanks to its ability to foresee future needs and to offer the most accurate financing, guarantee and cash management alternatives available. It also closely monitors the market conditions in the markets, which have economic and commercial ties with Turkey, and contributes to the creation of the highest possible added value for its clients by evaluating financing opportunities. Despite any fluctuations that may occur in the financial and real economies, Ekspo Faktoring acts transparently and with integrity in favor of its clients, and sees these processes as an opportunity to better understand its clients and gain experience in risk management.

Structured Finance

Importing raw materials for export-oriented manufacturing as well as generating energy and mining natural resources play a critical role in the exports and national welfare of Turkey and other emerging economies. With commodity prices trending high in recent years and causing an unprecedented rise in demand, businesses are forced to seek additional credit lines. Structured finance, which has so far been effective in meeting these demands, functions as a way of creating funds by pledging future cash flows and current receivables as collateral. Ekspo Faktoring has been providing structured pre-export financing options since 2012. With $146 million in structured finance secured through international finance institutions to date, it has supported its clients for supplying their raw material needs.

Structured financing of over $146 million

Pre-Shipment Financing

Ekspo Faktoring has been providing pre-shipment financing services since 2008, covering the expenditures to be made in export transactions until the shipment stage. This enables its clients to receive an advance payment up to a certain percentage of the total export amount on the condition that the export contract is assigned to Ekspo Faktoring. This percentage is determined by considering several parameters, such as the continuity and reliability of the relations between the client and the buyer, the duration of shipment and the client’s credibility since the amount would be claimed from the client in the event that the export receivable cannot be collected. This type of financing allows Ekspo Faktoring clients to gain a cost advantage in procuring the goods in cash or performing debt servicing.

Import Financing

With its international reputation and correspondent network, Ekspo Faktoring is able to meet its clients’ import finance needs swiftly. The guarantee produced by Ekspo Faktoring to the foreign parties against the risk of non-payment by the importing clients is accepted by international banks. The guarantee that Ekspo Faktoring extends is recognized by some of the largest banks in the Far East, Asia, the US and Europe and, if need be, a discount is applied, and the supplier is paid in advance.

The guarantee that Ekspo Faktoring extends is recognized by some of the world’s largest banks, in the Far East, Asia, the US and Europe.

Import financing of  $7.1 million (2021)

Export Financing

Businesses need to generate cash to finance their growth and financing is an important issue, particularly for exporters selling to advanced and developing countries. Cash flow is a common problem that many exporters face. With long years of experience in this field, Ekspo Faktoring has been offering export finance since 2002. In export finance, Ekspo Faktoring extends funds at attractive prices for exporters against their current or future receivables. Furthermore, comprehensive insurance agreements with export development agencies or private insurance companies provide long-term funding for machinery exports or large-scale commodity exports to emerging countries with a certain level of risk or countries that experience domestic turbulence, thus preventing potential political or credit risks. Ekspo Faktoring, which became one of the first factoring companies to be allocated a credit line by the Turkish Eximbank in 2015, offers post-shipment export rediscount loans. Aiming to boost the competitive strength of its exporter clients in global markets, Ekspo Faktoring collaborates with Turkish Eximbank to provide export finance options in Turkey.

Export financing reaches $49.6 million (2021)

FOREIGN TRADE FINANCE (2021)

$56.7

MILLION

Supplier Finance

Supplier finance is regarded as important support by many companies for operating capital and financing. Large-scale buyers that utilize supplier financing are able to create an alternative financing option at a lower cost for suppliers of goods and services of all sizes to help them with their cash flows.

Trade Finance Solutions

With a team of experienced specialists, Ekspo Faktoring offers unique financing schemes to help its clients achieve liquidity. Trade finance solutions involve a structure in which several products that Ekspo Faktoring offers can be combined to meet client needs; these include purchasing current or future receivables, guarantees, purchasing trade receivables irrevocably, supply chain financing, discounting confirmed letters of credit, post-financing, assignment of receivables, giving payment guarantees and inventory financing. The Company has met its clients’ financing needs with several structuring deals to date as it continues to pursue new and innovative solutions.