Retrospective analysis of factoring development in Ukraine: theoretical and legal aspect

The paper highlights the etymology of the concept of "factoring" in the national research area. We are aware of the fact that factoring is a financial commission operation in which the client assigns their accounts receivable to a factoring company with the objective of instant receiving a larger amount of the payment; guaranteeing the full debt repayment; and cost reduction of the account management. The essence and content of factoring are investigated from the perspective of theoretical and legal aspects. An analysis of the stages of formation and development of factoring in Ukraine is conducted, and the following four stages are identified: the first stage from 1990 to 1999 which refers to the formation of the factoring market; the rise in popularity of factoring marks the second stage from 2000 to 2009; the third stage from 2010 to 2019 depicts the crisis in the factoring market; the transformation of the factoring market characterizes the fourth stage from 2020 to the present day. It is determined that the war in Ukraine significantly impacts the financial sector as a whole and the financial market in particular. Without any exaggeration, the full-scale invasion has marked a turning point for the Ukrainian financial market, as well as for the entire global financial system. Currently, there is no legislative act in the domestic legal field that is dedicated to the complex regulation of the factoring institution. The analysis of the current legislative framework has revealed a low level of legal support for the factoring market.