For those unfamiliar with edifactoring, it serves to support the two-factor business model of FCI members through a set of electronic document interchange (EDI) messages. Some of them include invoice & credit notes (MSG 9), adjustment/cancellation of invoice & credit notes (MSG 10), payment (MSG 11), invoice verification request (MSG 70), invoice verification response (MSG 74), etc. There are around 40 messages that have been developed and deployed so far on the edifactoring.com platform to facilitate factoring.
FCI’s edifactoring platform has been running for the past 20 years and has seen over 300 members use the platform. The online platform is highly trusted by its users and runs on FCI’s legal structure with a community of users that have all been approved by FCI. Edifactoring has seen a net turnover of nearly half a Trillion Euros over the past decade and continues to grow exponentially as the industry and platform expand.
One of the biggest challenges in cross-border factoring is the inability of companies to understand foreign languages and local laws when it comes to collecting the payment, so FCI’s two-factor platform helps bridge this gap by allowing local factors to communicate with each other in one safe and transparent place.