The most common and normally
cheapest form of finance in Spain. Lines can be set up to discount your sales
to customers by way of bank drafts, and the bank themselves arrange collection
from your customer's bank at due date.
Traditionally a paper
trade, this has now given way to electronic banking, with most banks offering
programs which can be linked in to your own IT systems to extract the
information in the required format. Lines are usually with recourse, i.e. if a
customer does not pay at the due date you will be charged back by your bank,
although without recourse options do exist, such as factoring and forfaiting
(see import / export finance section).