definitions Reinvoicing center

Reinvoicing center

A company-owned financial subsidiary that purchases exported goods from company affiliates and resells (reinvoices) them to other affiliates or independent customers. A subsidiary that takes title of all goods sold by one corporate unit to another affiliate or to a third-party customer. The center pays the seller and in turn is paid by the buyer. An offshore financial affiliate that is used to channel funds to and from the multinational’s foreign operations.