The global factoring services market size was US$ 3271.4 billion in 2021. The global factoring services market size is estimated to reach US$ 5574.0 billion by 2030, growing at a compound annual growth rate (CAGR) of 6.1% during the forecast period from 2022 to 2030.
Factoring service is a process of collecting receivables and maintaining sales bookkeeping, credit control, and credit protection. In addition, the services are helpful in many ways, such as the need for secure financing, which is subject to strong fluctuations due to seasonal changes in the market. In addition, businesses involved in logistics and construction services make factoring an ideal method of financing, as these firms have many accounts receivable from other businesses.

Factors Affecting Marketing Growth

The increase in open account trading opportunities and the need for alternate sources of financing for small & medium enterprises (SMEs) to meet immediate business goals are driving the growth of the global market.
Growth in awareness and understanding of supply chain financing benefits are boosting the growth of the global market.
The lack of a stringent regulatory framework for debt recovery mechanisms and foreign currency restrictions, and stamp duties are hindering the growth of the global market.
The increase in technological advancements such as automated invoices is expected to drive the growth of the global market.

Impact on COVID-19 Analysis

COVID-19 negatively impacted the growth of the global market due to the sudden lockdown in 2020. Furthermore, the sudden emergence of COVID-19 impacted the global economy by causing supply chain and market disruptions and has had a severe financial impact on businesses. and financial markets. However, investments in factoring services are becoming popular day by day, due to an increase in attention toward data to help financial institutes find out the future performance of the firm to take corrective measures at an early stage in case of any probable crisis which drives the growth of the global market.

Regional Analysis

Europe dominated the global factoring service market share in 2020 and is expected to retain its position during the forecast period, due to the considerable investments by the EU in factoring services for small & medium enterprises and companies operating in the manufacturing and engineering sectors. In addition, many service providers in this region remain focused on automating the process by utilizing advanced technologies such as blockchain, which provides advanced data security and smart contract functionality. It is one of the important factors supporting the global factoring services industry growth in the region.

Leading Competitors
The prominent players in the global factoring services market are:
The Southern Bank Company
Societe Generale
Riviera Finance of Texas, Inc
Mizuho Financial Group, Inc
KUKE Finance JSC
HSBC group
Eurobank
Hitachi Capital (UK) PLC
Deutsche Factoring Bank
China Construction Bank
Others
Segmentation Analysis
The global forensic accounting market segmentation focuses on Industry Vertical, Provider, Enterprise Size, Application, and Region.
Segmentation on the basis of Industry Vertical
Construction
Manufacturing
Healthcare
Transportation & Logistics
Energy & Utilities
IT & Telecom
Staffing
Others

Segmentation on the basis of Provider
Banks
NBFCs

Segmentation on the basis of Enterprise Size
Large Enterprises
SMEs

Segmentation on the basis of Application
Domestic
International

Segmentation on the basis of Region
North America
The U.S.
Canada
Mexico
Europe
Western Europe
The UK
Germany
France
Italy
Spain
Rest of Western Europe
Eastern Europe
Poland
Russia
Rest of Eastern Europe
Asia Pacific
China
India
Japan
Australia & New Zealand
ASEAN
Rest of Asia Pacific
Middle East & Africa (MEA)
UAE
Saudi Arabia
South Africa
Rest of MEA
South America
Brazil
Argentina
Rest of South America