Factoring

Summary: 1. Introduction .- 2. Peruvian experience .- 3. Experience Argentina .- 4. Contract law .- 5. Modern contracts .- 6. Contract business .- 7. Factoring .- DEFINITIONS 7.1. Legal DEFINITIONS .- 7.2. Our definition .- 8. Documents used in the factoring .- 9. Factoring companies are registered in public records .- 10. Authorization to operate .- 10.1. Previous Act .- 10.2. Banks .- 11. Parties to the factoring contract .- 12. Advantages of factoring .- 12.1. For the company factored .- 12.2. For the factor .- 12.3. For the state .- 13. Factoring in international trade .- 14. Regulation of factoring in the Peruvian law .-

1. INTRODUCTION

The market is a scenario in which firms can survive only efficient, in that sense it must apply the law to their contracts and guarantees, making it clear that the factoring, which is the contract studied is a very attractive funding mechanism for investors, as such we recommend its use for companies occupy a larger share of the market and therefore generate more jobs and increase state tax revenue. In this sense then develop this contract.

2. PERUVIAN EXPERIENCE

Peruvian law this agreement is governed by a special rule and also in the banking law, for which we require in this office held in practice as a means of financing for companies and traders.

3. ARGENTINA EXPERIENCE

Under Argentine law the contract is governed by the Banking Act as well as by the former Argentina banking law and in practice is celebrated as a funding mechanism of the companies, therefore it is clear that the two rights there is not much difference, but it is clear that Argentina is more developed.

4. CONTRACT LAW

Contract law is the branch of law that regulates and examines contracts, and its branches are modern contracts and business contracts to which we now turn. That is, these are not all branches of contract law but to have them mentioned account and discussed below.

5. Modern contracts

Factoring is a modern contract by which the doctrine and standards are recent, there is no precedent in conclusion very remote, since the contract did not exist before. That is, within a specialty right there are the modern contracts, which corresponds specialty factoring study. .

6. BUSINESS CONTRACT

Factoring is a business contract because it is considered by the corporate law. That is, when we study this branch of law reviewed this contract.

7. DEFINITION OF FACTORING

7.1. LEGAL DEFINITIONS

It is based on Peruvian law review to determine whether there is a definition of factoring. Peruvian positive law defines factoring. The definition is contained in a special rule of banking law, noting that Bacos Peruvian law does not define this contract.

7.2. OUR DEFINITION

Factoring is a modern contract, business, corporate and commercial or financial mechanism in the short term is to transfer credits to a specialist company or entity of the financial system for collection, so that in this way are the specialists who take care of the collection. .

8. DOCUMENTS USED IN THE FACTORING

Factoring in the mortgage can not be transferred, so its scope is a bit limited, therefore it is clear that we must develop the documents that may be transferred by the company factors in favor of the factor, which is certainly not can be any document. The documents used to collect the bills and invoices factoring are formed, among others, or primarily, noting that the bill is a security made little spread in our environment, therefore it is little used in it. That is, the company delivers to the company factored factoring these documents, which are very important in the factoring contract is concluded. These documents come from broken contracts with its customers, which will transfer the documents referred to in exchange for money. .

9. FACTORING COMPANIES JOINING IN PUBLIC RECORDS

After factoring company has registered with the Superintendency of Banking and Insurance as a pre-enroll the constitution in the register of legal persons by the registry offices of the National Superintendency of Public Registries. Then we develop what is a prior act, an issue that is well known and disseminated within the registry law in this case we have a branch of it known as commercial registry law.

10. AUTHORIZATION TO OPERATE

10.1. PRIOR ACT

The registry law in some cases set before the registration of legal persons previous registration in another record, as here, where you must register first in the banking and insurance supervision factoring company. .

10.2. BANKS

Banks can hold these contracts do not need any additional authority to require them as such therefore is one of the contracts or transactions that may be held. Therefore it is clear that legislative change is warranted for that should not be necessary that banks entering into these contracts. Ie according to the banking law, banks can act as factoring companies, in this regard should take advantage of these rules.

11. FACTORING CONTRACT PARTIES

In all contracts of whatever type or class is suitable for our purposes to study or refer to the parties involved in it so then we will study the parts of the factoring contract. The parties involved in this contract are the factoring company or bank, the company ceded factors and the client. The factoring company or bank is the company receiving bills or invoices for later billing formed or out of court. The company factor is any company or legal person that delivers the invoices or bills for collection formed. The client is given to contract with the company, ie the customer is buying the company billed, but consistently failed in its duty payment.

12. ADVANTAGES OF FACTORING

12.1. FACTORS FOR THE COMPANY

Factoring has advantages for the company factors because they do not have to install a dedicated team or department to collections on the market, which may indeed be the same judicial and extrajudicial, since they are responsible to specialists, consequently can concentrate efforts in placing the goods or services on the market.

12.2. FOR FACTORING COMPANY

The factor has advantages because it increases their workload, making it clear that their earnings increase as more people collect debts. Consequently, it is clear that if it is true that debts are paid is also true that a percentage of the factoring contract.

12.3. FOR THE STATE

The state has advantages because they increase their income due to increased number of contracts and the birth of new firms into the market, therefore it is clear that the market is that there are more contracts should be factoring in each of the states.

13. FACTORING IN INTERNATIONAL TRADE

Factoring can be used not only in domestic trade but also in international trade, making it clear that we must consider the application of this contract to the same topic that certainly is studied, regulated and implemented by international trade law . Factoring is used in international trade because it is difficult for creditors to travel to the state or country of debtors to initiate proceedings for recovery of money, therefore it is clear that recommend the use of this contract in international trade by fact is considered by it. Therefore it is best to hire a law firm, making it clear that if a person does not know this contract may be misled by people who know modern contracts within them especially when factoring.

14. REGULATION OF FACTORING Peruvian law

Factoring is a contract that is governed by Peruvian law by a special rule for national superintendent of banking and insurance and banking law, therefore if you want to apply the said contract should be considered in order to not induce failure to advise entrepreneurs or managers of a company with customers in arrears, so it is clear that this happens whenever applicable standard exists, should be reviewed and considered the same for not being misled by general rules that apply only supplementally. Thus it is clear that to establish a factoring company must apply additionally the general corporation law and when we enter into a factoring agreement and study must apply the special rule and securities law, because the latter regulates the bill made it by the way is a security rarely used in our environment, but in any case these assumptions may occur, which is why it has been regulated.