Factoring Companies Guidebook

Certifies that the goods conform to the requirements of the importing country. Such certificates may also apply to domestic debt.

Origin

Certifies the country of origin of the goods

Concerns

Does the Client comply with all purchase order requirements, e.g. Certificates of conformity, certificate of origin?

Some countries impose bans on certain types of goods; e.g. Middle East countries will typically ban goods containing pork, alcohol or goods of Israeli origin.

Certificates of origin are frequently required, although not generally for goods originating from EU countries for sale to other EU countries. They may be required for goods originating in the Far East and sold by a UK supplier to another EU country.

Some goods will not be capable of being sold in certain countries if the labeling is not in the language of those countries.

With electrical components there are different voltages and connection types in different countries and some products will not be adaptable to those voltages.

Identification

Identify Client's involved in the import and export of goods generally involving countries outside of the EU.

Determine from the Client whether they are aware of the need to produce certificates of conformity/Origin and confirm their existence if required.

Treatment

Where goods or countries are identified requiring a Certificate of Conformity/Origin, those invoices should not be funded until it has been confirmed that the goods and labeling conform to the importing country's or debtors specifications.

Industries where Certificate of Conformity may apply

Engineering

Chemicals

Hazardous Materials.