Trade Finance

Close your cash-flow gap with competitively-priced lending solutions

Cash flow can become an issue when there is a delay between paying a supplier and receiving payments from an end customer. Trade finance is a solution to this and can operate at different stages of the procurement process: pre-shipment finance, post-shipment finance and import finance.

Products such as Letters of Credit, whereby the lender uses stock which is being imported or exported as security to provide capital, are frequently-used trade finance instruments.

Advantages

• Negotiating better terms with your suppliers (upfront payments and no need to negotiate credit terms with suppliers)
• Reducing the risk of the price increasing due to currency volatility by paying upfront
• Purchasing goods in larger quantities to reduce the price per unit
• Removing cash-flow issues
• Having funds available for new purchases and expansion

Criteria

• Length of trading history: one year
• Minimum turnover: 1 million per annum
• Net assets: 200,000
• Lending range: 50,000 to 3 million