Garanti Factoring

The company, which trades on Borsa Istanbul under the ticker GARFA, is a factoring firm built around the financing of trade receivables. It carries the BBVA name in its brand identity and operates from its headquarters in Pendik, Istanbul; in this respect it is one of the financial services links in the BBVA group structure in Turkey. Its stated purpose is to provide factoring services for all kinds of domestic and international commercial transactions.

Factoring is a financing method in which a provider takes over the receivables arising from a firm's credit sales, supplying early cash and handling collection. The company offers domestic factoring to firms selling goods and services, supplier finance for the suppliers of large buyers, and export factoring that includes receivables protection for exporters selling on open account. Export transactions cover buyers in many countries through an international factoring network.

For factoring companies, investors follow the interest rate environment that sets funding costs, the size and quality of the receivables portfolio, non-performing receivables and the provisions set aside for them, changes in export volumes and funding support from the main shareholder. The free float ratio and trading depth are also tracked as liquidity indicators.