Purchase of Receivables
Convert accounts receivable into immediate liquidity with SEK’s Purchase of Receivables solutions. By selling your invoices, you improve cash flow, strengthen your customer offering, and create the financial flexibility needed to grow, in Sweden and internationally.
What is Purchase of Receivables?
Purchase of receivables is a structured financing solution where a company sells its receivables to SEK and receives payment immediately.
SEK can provide coverage for up to 100% of the buyer’s credit risk. This means you can turn accounts receivable into liquidity while transferring the credit exposure to a strong financial partner.
The solution is designed for companies that want to:
- Strengthen the customer offering
- Optimise working capital
- Improve key financial ratios
Flexible solutions tailored to your business
SEK offers several different purchase of receivables structures that can be tailored to your business needs, market conditions and risk profile.
These include non-recourse solutions, where SEK assumes the full credit risk, as well as solutions backed by guarantees from EKN or credit insurance provided by private insurers.
Depending on the transaction structure, additional risk mitigation can be included, and solutions can also be structured with recourse. SEK can finance receivables with both short and longer tenors and offer flexible solutions to meet different cash flow and transaction structuring needs.
Why choose Purchase of Receivables?
For sellers
- Immediate payment and improved cash flow
- Release of working capital
- Stronger balance sheet and key financial ratios
- Reduced credit risk
- Strengthened customer offering
For buyers
- Opportunity to negotiate longer payment terms
- Optimised working capital
- Stronger financial position
For banks and partners
- Increased financing capacity
- Access to financing from SEK
We can also partner with commercial banks in risk-sharing arrangements to enable larger or more complex transactions.
This flexibility enables SEK to tailor financing solutions for both standard transactions and more complex structures involving multiple parties.
Pricing and structure
Pricing is market-based and tailored to each individual transaction. Factors that influence pricing include:
- The buyer’s creditworthiness
- Transaction volume
- Tenor and structure
- The customer’s size and prevailing market conditions
- Degree of risk sharing
We ensure transparency and competitive terms across all transactions.
Do you want to know more?
Contact Working Capital Solutions, at SEK
Frequently asked questions
How does Purchase of Receivables work?
The company delivers goods or services and issues invoices, which are then sold to SEK. SEK pays the invoice value, less an agreed margin, and collects payment directly from the buyer on the due date. This creates predictable cash flow and strengthens the balance sheet.
What are the benefits of Purchase of Receivables?
The key benefits are improved liquidity, stronger key financial ratios and increased capacity for growth. The solution can also strengthen the customer offering by enabling more competitive and flexible payment terms while maintaining financial stability.
Does SEK always assume the credit risk?
Not always. SEK offers both non-recourse solutions, where we assume the credit risk, and recourse-based structures where some risk remains with the seller. Solutions can also include guarantees from EKN, credit insurance provided by private insurers or risk-sharing with banks.
Who is Purchase of Receivables suitable for?
The solution is suitable for medium-sized and large companies connected to Swedish exports, with either recurring business flows or larger one-off transactions.
Can SEK collaborate with other banks?
Yes. SEK frequently partners with commercial banks in risk-sharing structures, enabling larger programmes and increasing financing capacity for clients.
How does Purchase of Receivables differ from Supply Chain Finance?
Purchase of Receivables is typically initiated by the seller to improve liquidity and reduce risk. Supply Chain Finance is usually buyer-led and enables suppliers to receive early payment while allowing buyers to extend payment terms.