292.E关于赊销交易引起应收账款问题探讨 外文原文.docVIP

Factoring Account Receivables towards Mitigating Cash FlowFluctuation for Construction Projects Jieh-Haur Chen1 and W. H. Chen2 Abstract :The objective of this study is to mitigate cash flow fluctuation for construction projects with the use of factoring account receivables, which is a generally accepted financial tool that has thus far not often been not used for construction project financing. The relevant literature,empirical practices, and factoring theories from outside the construction industry are all evaluated and the features of needed to derive the cost function are explored and integrated. A case study is utilized and discussed to illustrate the use of factoring for a construction project and its related costs. The results show that using factoring account receivables mitigates cash flow fluctuation around 50% for a $183 million New Taiwan Dollar project. In addition, the application of factoringhas the advantage of facilitating financial management,instantly improving cash flow, enhancement of investment efficiency, avoiding extra loan procedures, improving credit rating, and transfer of financial risk. Factoring is indeed a feasible financial tool for construction projects. Index Terms ：factoring, accounts receivable, cost, financing, construction project. 1. INTRODUCTION In the construction business the contractor needs to maintain a high volume of working capital. It is necessary to preserve a certain volume of working capital to deal with inevitable fleeting huge cash outflows. This can lead to financial burdens if payments from the owners are delayed or the set payment period is too long. The most commonly used way to resolve this type of problem is financing from banks. However this may be costly. Other financing alternatives are used to reduce cash flow fluctuation brought about discussions in the construction industry [1]. Factoring account receivables has successfully been implemented in many other industries but not for the construction indus