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factoring

   Also found in: Dictionary/thesaurus, Medical, Legal, Financial, Wikipedia, Hutchinson 0.03 sec.

factoring

In finance, the selling of accounts receivable on a contract basis to an agency known as a factor in order to obtain cash payment before the accounts come due. The factor assumes full responsibility for credit analysis of new accounts, payments collection, and credit losses. Factoring is most often used in seasonal industries such as textiles and shoes to shift the functions of credit and collection to a specialized agency.



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An alternative option that is already succeeding is the factoring of invoices and receivables.
But its lawyers are seeking class action status and those involved in the factoring industry are paying close attention.
Factoring a large number to determine its prime-number components typically takes a long time -- so much time on even the fastest available computers that an important method of encrypting digital information can count on the difficulty of factoring for maintaining security However, factoring techniques have improved sufficiently in recent years to bring numbers of more than 100 digits easily within range.
 
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