On March 25th and 27th, Alvantia once again participated in the Factoring Road Show, an event organized by Learning Editions Conference, which was held in Lima and Bogota, respectively. The central theme of the event was the Spanish Factoring and Confirming model and the main presentation was given by Yolanda San Segundo, Vice Secretary General of the Spanish Factoring Association. San Segundo began her presentation by recalling the origins of Factoring in Spain, which was introduced in the country in 1975, supported by the government to promote exports.
Regarding the peculiarities of the product in Spain, she spoke of the great influence of the 3rd Additional Provision of Law 1/1999, which regulates the Assignment of Receivables with Globality, providing legal certainty to the factor. As for the market, as the expert commented, there is a high bank concentration (85% in 5 banks) and factoring without recourse and debtor notification prevails. Mandatory electronic invoicing and centralized digital assignment have not yet been implemented.
Regarding the key figures for the market in 2024, San Segundo highlighted the following:
-Total disposals: €266 .652 MM
-Factoring: €130,366 MM (49%)
-Confirming: €136.286 MM (51%)
-60% growth in 6 years (8.2% per year).
Non-recourse factoring grows 14%.
-International factoring: 72% growth in 6 years
-Payment orders: €262.910 MM, 88% domestic
-Total loans managed: €393 .276 billion (equivalent to 25% of Spanish GDP).
-Spainis the 5th country in volume of factoring assignments in Europe and the 2nd fastest growing in the EU (+6.1% vs. average 3.2%).
Finally, San Segundo spoke about the INBLOCK Project, a digital initiative of the AEF consisting of a platform that verifies the existence and prior assignment of invoices, connected to the Spanish tax system (SII of the AEAT), with encrypted data processing. Its main objectives are: to reduce fraud, improve efficiency and facilitate financing for SMEs.
After the presentations by Yolanda and other industry experts, a discussion was held with the participation of José Antonio Garrote, Business Manager of Alvantia, in which professionals were able to exchange opinions and share the different ways of managing these trade finance products in their respective countries.
