7) A unique characteristic of factoring (supply chain financing) related to other sources of financing...
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7) A unique characteristic of factoring (supply chain financing) related to other sources of financing is that... i) Managers have zero recourse for factoring engagements (meaning that they are not personally on the hook for potential losses). ii) Factors pay special attention to the companys customers credit strength. iii) Factors pay special attention to the companys vendors credit strength. iv) Factors pay special attention to the companys credit strength (the company with which they engage in business).
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