Dublin, Jan. 06, 2025 (GLOBE NEWSWIRE) — The “Reverse Factoring Market Report 2024” report has been added to ResearchAndMarkets.com’s offering.
This Reverse Factoring market report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market’s historic and forecast market growth.
The reverse factoring market size has grown strongly in recent years. It will grow from $492.72 billion in 2023 to $539.51 billion in 2024 at a compound annual growth rate (CAGR) of 9.5%. The growth during the historic period can be attributed to the growing recognition of the benefits of supply chain finance, the increasing adoption of digital technologies, a greater focus on optimizing working capital, and the need for improved cash flow management.
The reverse factoring market size is expected to see strong growth in the next few years. It will grow to $777.88 billion in 2028 at a compound annual growth rate (CAGR) of 9.6%. The growth during the forecast period can be attributed to the demand for optimizing working capital, rising costs of traditional financing, increased demand from the manufacturing industry, advancements in reverse factoring technology, the growing importance of supply chain finance, and the rising popularity of online reverse factoring platforms.
Key trends during this period include the introduction of innovative financing solutions, integration with supply chain finance, advancements in emerging technologies, the development of sophisticated financial infrastructure, and the creation of value-added services.
The growth of the reverse factoring market is anticipated to be driven by the increasing adoption of reverse factoring by manufacturers. Manufacturers, who produce goods using labor, machinery, and raw materials, are adopting reverse factoring to improve supplier cash flow and maintain stable supply chain operations amid financial difficulties. This financial solution enhances liquidity for suppliers, minimizes payment disputes, and stabilizes production schedules.
Key players in the reverse factoring market are focusing on developing advanced solutions such as digital reverse factoring to gain a competitive advantage. Digital reverse factoring allows suppliers to receive early payment for invoices, often at a lower cost of capital compared to what they could secure independently. For instance, in April 2022, Eurobank Factors, a Greece-based factoring services provider, introduced a digital reverse factoring solution designed to assist small and medium-sized enterprises (SMEs) in accessing financing based on the creditworthiness of their larger buyers.
This approach allows suppliers to convert invoices into cash without additional collateral, while buyers can improve their working capital and strengthen supplier relationships. The digital platform simplifies the reverse factoring process by enabling suppliers to submit invoices for early payment, which are then validated by the buyer. Eurobank Factors provides financing to the supplier for a small fee and collects payment from the buyer on the invoice’s due date. This system enables suppliers to secure lower-cost funding based on the buyer’s credit rating rather than their own.
In December 2022, Endesa S.A., a Spain-based electric utility company, collaborated with Banco Bilbao Vizcaya Argentaria (BBVA), CaixaBank, and Santander to introduce the circular reverse factoring solution. This partnership aims to boost supplier competitiveness by enhancing financing conditions by 35% to over 50%, depending on their commitment to the circular economy and sustainability. Banco Bilbao Vizcaya Argentaria, S.A. is a Spain-based financial services group, CaixaBank, S.A. is a Spain-based financial institution, and Santander is a Spain-based financial service provider.
Europe was the largest region in the reverse factoring market in 2023. The regions covered in the reverse factoring market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the reverse factoring market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.
Reverse Factoring Market Competitive Landscape and Company Profiles
- ICBC China Limited
- JPMorgan Chase & Co.
- Bank of America Corporation
- Banco Santander S.A.
- HSBC Holdings plc
- Citigroup Inc.
- Wells Fargo & Company
- Banco do Brasil S.A.
- ING Groep N.V.
- Barclays plc
- Societe Generale SA
- Banco Bilbao Vizcaya Argentaria S.A.
- Deutsche Bank AG
- Sumitomo Mitsui Banking Corporation
- UniCredit S.p.A.
- Mizuho Financial Group Inc.
- Standard Chartered PLC
- KBC Group NV
- CaixaBank S.A.
- Accion International
- PrimeRevenue Inc.
- Drip Capital Inc.
- Viva Capital Funding LLC
- eFactor Network S.A.P.I. de C.V.
- Tradewind GmbH
Key Attributes:
Report Attribute | Details |
No. of Pages | 175 |
Forecast Period | 2024 – 2028 |
Estimated Market Value (USD) in 2024 | $539.51 Billion |
Forecasted Market Value (USD) by 2028 | $777.88 Billion |
Compound Annual Growth Rate | 9.6% |
Regions Covered | Global |
Key Topics Covered:
1. Executive Summary
2. Reverse Factoring Market Characteristics
3. Reverse Factoring Market Trends and Strategies
4. Reverse Factoring Market – Macro Economic Scenario
4.1. Impact of High Inflation on the Market
4.2. Ukraine-Russia War Impact on the Market
4.3. COVID-19 Impact on the Market
5. Global Reverse Factoring Market Size and Growth
5.1. Global Reverse Factoring Market Drivers and Restraints
5.1.1. Drivers of the Market
5.1.2. Restraints of the Market
5.2. Global Reverse Factoring Historic Market Size and Growth, 2018 – 2023, Value ($ Billion)
5.3. Global Reverse Factoring Forecast Market Size and Growth, 2023 – 2028, 2033F, Value ($ Billion)
6. Reverse Factoring Market Segmentation
6.1. Global Reverse Factoring Market, Segmentation by Category, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
6.2. Global Reverse Factoring Market, Segmentation by Financial Institution, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
- Banks
- Non-Banking Financial Institutions
6.3. Global Reverse Factoring Market, Segmentation by End-Users, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
- Manufacturing
- Transport and Logistics
- Information Technology
- Healthcare
- Construction
- Other End-Users
7. Reverse Factoring Market Regional and Country Analysis
7.1. Global Reverse Factoring Market, Split by Region, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
7.2. Global Reverse Factoring Market, Split by Country, Historic and Forecast, 2018-2023, 2023-2028F, 2033F, $ Billion
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- Reverse Factoring Market Report 2024