How can I get Cashflow Plan to handle factoring or invoice discounting?
To handle factoring or invoice discounting, the approach is to (a) set the debtor (receivables) credit period in the second table in worksheet RecPay for the relevant sales group(s) to “under one month” and (b) enter assumption values (or simple formulae) to calculate the interest or service costs for the facility within an existing assumptions’ row in worksheets DirCost or Ohead. If unlocked, this row description may be retitled as “Discounting charges” or the assumption values may be added to other related assumptions within an assumptions row.
