The deteriorating economic situation in Poland resulted from the COVID-19, did not weaken the factoring sector. In 2020, members of the Polish Factors Association recorded an increase in turnover and acquired receivables resulting from invoices issued by domestic entrepreneurs with a total value of over PLN 290 billion (approx. over EUR 65 billion). The turnover of the factoring sector increased by 3% compared to 2019. Its services are currently used by 18.4 thousand entrepreneurs that provided PLN 18.4 million invoices for financing.
Since the Polish economy started operating in a free market the year 2020 was the most difficult time for Polish entrepreneurs. COVID-19 pandemic has a huge impact on what is happening in the economy, not only in Poland but also in the world. All markets have been severely affected by the pandemic. Financial service providers were also hit by the crisis. However, despite disadvantageous economic conditions, the interest in factoring services has been maintained. More entrepreneurs decided to finance their activities based on invoices” – says Jarosław Jaworski, chairman of the Polish Factors Association executive committee.
The factoring service is most often used by entrepreneurs from the production and distribution sectors. Maintaining financial liquidity determines their survival or development. Factoring allows them to sustain a good economic condition, a stable market position, and competitive advantage.
The Polish Factors Association (PZF) associates the majority of entities providing factoring services. It currently has 34 members: 5 commercial banks, 20 specialized financing companies, 6 entities with the status of partners, and 3 honorary members.
Source: Polish Factors Association Press release from 04.02.2021