Article 1 legislative basis
These Measures are formulated in accordance with the Contract Law, the Company Law, the Property Law, the Guarantee Law and other laws and administrative regulations concerning foreign investment in order to standardize the business activities of commercial factoring enterprises, prevent industry risks and promote the healthy development of commercial factoring industry.
Article 2 Applicable subjects
These Measures shall apply to commercial factoring enterprises invested and established in China.
Article 3 Commercial factoring enterprises
The term "commercial factoring enterprises" as mentioned in these Measures refers to non-bank corporate enterprises specializing in factoring business. Factoring business refers to the business activities of commercial factoring enterprises to accept all the rights and interests of accounts receivable and provide at least two businesses such as financing, management, collection and repayment guarantee of accounts receivable to the transferor.
According to whether the commercial factoring enterprise pays the cash consideration to the assignor in advance before the accounts receivable expires, the factoring business can be divided into financing factoring and non-financing factoring. According to whether commercial factoring enterprises retain the right of recourse to the assignor when accepting accounts receivable, factoring business can be divided into recourse factoring and non-recourse factoring.
The right of recourse as mentioned in these Measures refers to the right of the assignee to ask the assignor to buy back the accounts receivable when the debtor is bankrupt, unreasonably in arrears or unable to pay the accounts receivable.
Article 4 Re-factoring enterprises
The term "re-factoring enterprises" as mentioned in these Measures refers to commercial factoring enterprises whose main business is re-factoring and whose financing factoring business has reached a certain scale. Re-factoring refers to the factoring business in which other commercial factoring enterprises re-transfer accounts receivable.
Article 5 Accounts receivable
The term "accounts receivable" as mentioned in these Measures refers to the monetary creditor's rights and the income generated by the enterprise from providing goods, services or leasing assets, but does not include the creditor's rights formed by borrowing and the claim for payment generated by bills or other securities.
Article 6 Territorial administration
The Ministry of Commerce is responsible for the management of the national commercial factoring industry. The competent commercial departments of local people's governments at or above the prefecture level shall be responsible for the supervision and administration of commercial factoring enterprises within their respective administrative areas.
Article 7 Industry self-discipline
Under the guidance of the Ministry of Commerce, national commercial factoring industry organizations should play the role of industry self-discipline and guide the development of industry norms.
Chapter II Establishment and Filing