factoring

American  

[fak-ter-ing] / ˈfæk tər ɪŋ /

noun

1. Commerce. the business of purchasing and collecting accounts receivable or of advancing cash on the basis of accounts receivable.

2. the act or process of separating an equation, formula, cryptogram, etc., into its component parts.

---

factoring British  

/ ˈfæktərɪŋ /

noun

1. the business of a factor

2. the business of purchasing debts from clients at a discount and making a profit from their collection

---

Etymology

Origin of factoring

factor + -ing ¹

Example Sentences

Markets have reacted to these events by factoring in higher inflation and borrowing costs, and those factors have led to a global rollercoaster on bond markets.

From BBC • May 5, 2026

But there may be a more complicated demographic story factoring in.

From Slate • May 4, 2026

And that is before factoring in the individual investors, who SpaceX hopes will buy one-third or more of the offering’s shares, well above the typical portion.

From The Wall Street Journal • Apr. 23, 2026

But she’s not factoring in Fed cuts, sees inflation holding north of 3% for much of the year, and expects benchmark 10-year Treasury note yields to trend toward the 4.5% level.

From Barron's • Apr. 14, 2026

I’m really not in the mood to divvy up everything into eleven equal parts, factoring in age, body weight, and physical output.

From "Mockingjay" by Suzanne Collins