Factoring Agreement General With Recourse In Fairfax
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We follow the Golden Rule: we treat others as we would want to be treated.
The code of ethics is supported by six core principles that form the ethical foundation of the organization: Honesty, Public Service, Respect, Responsibility, Stewardship and Trust. I. Honesty: Be truthful in all endeavors; be honest and forthright with each other and the general public.
The most familiar version of the Golden Rule says, “Do unto others as you would have them do unto you.” Moral philosophy has barely taken notice of the golden rule in its own terms despite the rule's prominence in commonsense ethics.
The Fairfax Group believes in its core values of integrity and accountability — values that we believe all businesses, governments and civil organizations should apply alongside boldness, innovation, and trust.
The Golden Rule is the principle of treating others as one would want to be treated by them.
Fairfax Financial Holdings Limited is the controlling shareholder of Fairfax India. Fairfax Financial Holdings Limited is a Toronto based financial services holding company with a global presence in insurance and reinsurance and a portfolio of assets invested worldwide.
Explanation: When a company factors receivables it means that they sell them to another party. If the transaction is without recourse that means the buyer takes on all the risk of credit losses.
Recourse factoring is the most common and means that your company must buy back any invoices that the factoring company is unable to collect payment on. You are ultimately responsible for any non-payment. Non-recourse factoring means the factoring company assumes most of the risk of non-payment by your customers.
Factoring without recourse means that the risk of accounts receivable being uncollectible transfers from the buyer to the seller. Basically, if an accounts receivable cannot be collected, the seller does not have to reimburse the buyer like they would if the factoring was “with recourse”.
There are two types of debts: recourse and nonrecourse. A recourse debt holds the borrower personally liable. All other debt is considered nonrecourse. In general, recourse debt (loans) allows lenders to collect what is owed for the debt even after they've taken collateral (home, credit cards).
