forfaiter


Also found in: Financial.
Related to forfaiter: forfeiting

forfaiter

(ˈfɔːˌfeɪtə)
n
(Banking & Finance) a person or company engaging in forfaiting
References in periodicals archive ?
companies, is forfaiting: a promise from a forfaiter to buy a company's receivable at some point in the future.
In one example, Bernardi noted that if a company was selling to another company in a less than-sturdy market, they could increase their sale price to the buyer, but extend the financing period, then a forfaiter would promise to buy that receivable from the seller, to the seller's profit.
The forfaiter takes on all the risks associated with the receivables but earns a margin.
The forfaiter takes on all the risks associated with the receivables but earns a margin, said a report in the Gulf Daily News, our sister publication.
In that case, the forfaiter, the purchaser of the receivables, becomes the entity to whom the importer is obliged to pay its debt.
When the exporter is known to the forfaiter, a transaction can even close in a day.
Is it because forfaiters like the democratic stance of President Kim Dae Jung more than the continuous battles around Prime Minister Bulent Ecevit, or do they look more at economic fundamentals?
Will a forfaiter buy invoices with or without recourse?
The forfaiter may commit to buy the draft immediately upon acknowledgment of acceptance (and avalization).
As the exporter begins to evaluate a sales lead, he would contact a forfaiter and request an indication of interest.
Because balance sheet strength is so important, the support of a strong commercial bank is particularly vital to the staying power of a primary market forfaiter.
One forfaiter commented that he would "do Chile at five years" but he couldn't get his hands on any notes and when he did it was too finely priced.