San Antonio Texas Modelo General de Contrato de Factoring - Cesión de Cuentas por Cobrar - General Form of Factoring Agreement - Assignment of Accounts Receivable

• Category: Contratos - Factoring
• State: Multi-State
• City: San Antonio
• Control #: US-0270BG
• Format: Word

Description

This form is a factoring agreement for the assignment of accounts receivable. Factoring is a financial transaction in which a firm sells its accounts receivable invoices to a third party called a factoring firm at a discount, so that it receives immediate money to continue its business. The factoring firm pays a percentage of the invoices immediately. Firms often factor receivables to improve their cash flow. San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable is a legal document that outlines the agreement between a business (referred to as the "Client") and a financial institution or factor (known as the "Factor"). This agreement allows the Client to sell or assign its accounts receivable to the Factor in exchange for immediate cash flow. The San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable consists of several key sections that cover important terms and conditions. These include: 1. Parties: Clearly identifies the Client and the Factor involved in the agreement. 2. Definitions: Provides specific definitions for terms used throughout the agreement, such as "Accounts Receivable," "Invoice," "Recourse," and "Non-Recourse." 3. Assignment of Accounts Receivable: States that the Client agrees to assign and transfer ownership rights of its accounts receivable to the Factor, enabling the Factor to collect payments directly from the Client's customers. 4. Purchase Price: Specifies the purchase price that the Factor will pay to the Client for the assigned accounts receivable. This may be a percentage of the face value, minus any fees or discounts agreed upon. 5. Reserve Account: Outlines the establishment of a reserve account, which is a portion of the purchase price held back by the Factor to cover potential disputes, returns, or uncollectible amounts. 6. Payment and Funding: Describes the procedures and frequency of payments made by the Factor to the Client, usually after deducting the reserve account and fees. 7. Recourse and Non-Recourse: Defines the extent to which the Client remains liable for any uncollected accounts receivable in case of non-payment by the Client's customers. Recourse factors hold the Client responsible, while non-recourse factors assume the risk themselves. 8. Obligations and Representations: Outlines the responsibilities and warranties of both the Client and the Factor, including the accuracy of the assigned accounts receivable and compliance with laws and regulations. 9. Termination: Specifies the conditions under which either party can terminate the agreement, such as default, breach of terms, or mutual agreement. 10. Governing Law: States that the agreement is governed by the laws of Texas and provides details regarding dispute resolution and jurisdiction. Different types of San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable may include variations in terms such as recourse and non-recourse factors, fee structures, reserve account ratios, and termination clauses. However, the general structure and purpose of the agreement remain consistent.

San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable is a legal document that outlines the agreement between a business (referred to as the "Client") and a financial institution or factor (known as the "Factor"). This agreement allows the Client to sell or assign its accounts receivable to the Factor in exchange for immediate cash flow. The San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable consists of several key sections that cover important terms and conditions. These include: 1. Parties: Clearly identifies the Client and the Factor involved in the agreement. 2. Definitions: Provides specific definitions for terms used throughout the agreement, such as "Accounts Receivable," "Invoice," "Recourse," and "Non-Recourse." 3. Assignment of Accounts Receivable: States that the Client agrees to assign and transfer ownership rights of its accounts receivable to the Factor, enabling the Factor to collect payments directly from the Client's customers. 4. Purchase Price: Specifies the purchase price that the Factor will pay to the Client for the assigned accounts receivable. This may be a percentage of the face value, minus any fees or discounts agreed upon. 5. Reserve Account: Outlines the establishment of a reserve account, which is a portion of the purchase price held back by the Factor to cover potential disputes, returns, or uncollectible amounts. 6. Payment and Funding: Describes the procedures and frequency of payments made by the Factor to the Client, usually after deducting the reserve account and fees. 7. Recourse and Non-Recourse: Defines the extent to which the Client remains liable for any uncollected accounts receivable in case of non-payment by the Client's customers. Recourse factors hold the Client responsible, while non-recourse factors assume the risk themselves. 8. Obligations and Representations: Outlines the responsibilities and warranties of both the Client and the Factor, including the accuracy of the assigned accounts receivable and compliance with laws and regulations. 9. Termination: Specifies the conditions under which either party can terminate the agreement, such as default, breach of terms, or mutual agreement. 10. Governing Law: States that the agreement is governed by the laws of Texas and provides details regarding dispute resolution and jurisdiction. Different types of San Antonio Texas General Form of Factoring Agreement — Assignment of Accounts Receivable may include variations in terms such as recourse and non-recourse factors, fee structures, reserve account ratios, and termination clauses. However, the general structure and purpose of the agreement remain consistent.

Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.