Receivables Financing

GSCF services programs based on Accounts Receivable (AR) of companies. AR Financing programs involve an originating company (Vendor) and its customers (Buyers). These programs can be financed by a third-party Funder and might include Credit Insurance coverage.

  • GSCF is at the centre of programs, ensuring that data and processes flow seamlessly
  • GSCF can act as program servicer towards the Funder or the Vendor
  • Credit Insurance could be established by the Funder or the Vendor
Distribution Financing

Distribution Financing

How does it work?

  • Distribution Financing is a comprehensive solution that establishes a win-win scenario for the Vendor (sponsor) and it’s chosen Buyers
  • The Vendor sells the receivables to the Funder on a true sale basis and collects them earlier. The Buyers obtain extended payment terms, paying the Funder upon an extended maturity date
  • These programs are typically credit insured and require some level of recourse from the Vendor
  • The Vendor and Funder execute a Receivables Purchase Agreement (RPA) and the Buyers sign a Payment Agreement
  • Distribution Financing is also known as “Channel Financing” or “Sales Financing”


  • Increase competitiveness by offering Buyers an extension in payment terms
  • Boost sales and enhance customer relationships
  • Improve liquidity, and that of Buyers, by accelerating receivables collections and extending Buyer payment terms off-Balance Sheet
  • Working capital enhancement for Vendor (via reduced Days Sales Outstanding or DSO) and for Buyers (via increased Days Payable Outstanding or DPO)
  • Reduce credit risk on Buyers

Who can use it?

Companies with high-volume recurrent sales to a portfolio of Buyers, looking to grow sales through enhanced competitiveness whilst maximizing liquidity.

Receivables Servicing