We have found that many businesses when looking to expand their business have hit a roadblock with their bank and or other lenders due to the ratios that are being imposed by the lenders.
Trade Finance Helps Businesses
How Trade Finance helps you deal with Inflation, Recession and Government adjustments to monetary policy
After Covid, goverments have reacted to their loose monetary policy that generated inflation to tightening monetary policy to now tame inflation.
Tighter monetary policy pushes local banks to be more strict in their lending by demanding higher net worth and tighter Debt Service Coverage, Capital Gearing and Debt to Asset Ratios. This tightening makes it more difficult to borrow funds which can slow down your business even if you can.
legitimately cover a new loan to expand your company but if can’t fit within your bank’s loan ratios loans are thus are denied the loan you need.
This is where a Trade Finance company can often come in and save the day. We can legally and properly provide credit enhancement to boost a your company’s balance sheet and get your local lending requirements approved.
If you have any need for this service or questions please feel free to reach out to us.
Contact World Trade Finance:
We will respond within 24 hours with a specialist to assist you.