As a business entity, one of the crucial components needed to grow is cash flow and liquidity. MDV offers a means of converting trade receivables into ready cash via our new Shariah compliant iFactoring product utilizing the concept of Bay Al-Dayn Bi Al-Sila.
The iFactoring facility offers an arrangement involving businesses and MDV, where a business is able to factor its accounts receivable for immediate cash up to 80% of the receivables face value.
MDV will take over the task of collecting the receivables as and when they fall due, and keep you informed on the status of collection through debtors ageing and payment reports, statements of account and more. Any amount collected in excess of MDV’s profit rate and charges will be paid to the business.