FREQUENTLY ASKED QUESTIONS

FAQ's

Here is a list of FAQ’s that you may find helpful. We are available to answer any further questions.

Why Is Trade Finance Important?

International Trade Accounts for Around 3% Of GDP, Employing Millions of People Around the World. Some 90% Of Global Trade Is Reliant on Supply Chain and Trade Finance, Totaling USD $10 Tn A Year. Trade Finance Is A Form of Cash Flow Lending Which Helps Finance Trade Flows, Global Supply Chains and Procurement of Goods Both Domestically and Internationally.

What Does Trade Finance Include?

Trade Finance Includes the Following:

  • Bonds and Guarantees
  • Export Factoring (Companies Receive Funds Against Invoices or Accounts Receivable)
  • Forfaiting (Purchasing the Receivables or Traded Goods from An Exporter)
  • Receivables Financing, Invoice Factoring and Invoice Discounting
  • Export Credits (To Reduce Risks to Funders When Providing Trade or Supply Chain Finance)
  • Insurance (During Delivery and Shipping, Also Covers Currency Risk and Exposure)
  • Supply Chain Finance
  • Foreign Exchange and Currency Products
What are the benefits of using Trade Finance

Using trade finance can give you:
– More Competitive Terms
– Reduced shipping delay
– Is A Form of Short to Medium Term Working Capital using shipped goods as security.
– Can allow you to Request Higher Volumes of Stock or Bigger Orders from Suppliers.
– Can strengthen the Relationship Between you and your supplier.
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What Are the Methods of Payment for Trade Finance?

Cash Advances

As the Least Risky Product for The Seller, A Cash Advance Requires Payment to The Exporter or Seller Before the Goods or Services Have Been Shipped. Cash Advances Are Very Common with Lower Value Orders, And Helps Provide Exporters / Sellers with Up Front Cash to Ship the Goods, And No Risk of Late or No Payment.

Letters of Credit (LCs)

Also Known as Documentary Credits Are Financial, Legally Binding Instruments, Issued by Banks Or Specialist Trade Finance Institutions, Which Pay The Exporter On Behalf Of The Buyer, If The Terms Specified In The LC Are Fulfilled.

An LC Requires an Importer and An Exporter, With an Issuing Bank and A Confirming (Or Advising) Bank Respectively. The Financiers and Their Creditworthiness Are Crucial for This Type of Trade Finance: It Is Called Credit Enhancement – The Issuing and Confirming Bank Replace the Guarantee of Payment from The Importer and Exporter. In This Section, And in Most Cases, We May Consider the Importer as The Buyer and The Exporter as The Seller.

Shipping

Freight Forwarding – At the Forefront of Global Trade

Freight forwarding helps you find the best way of getting your shipments from Alpha to Omega. However simple or complex your supply chain is, we’ll help you get there. Logistics and geography is no longer a challenge.

Export Finance

Export Finance – Your Guide for Exporters

When companies export products or services, long payment terms can often create working capital challenges. The up-front cost of producing, shipping and delivering the goods can be tricky for businesses to manage. Export finance helps businesses release working capital from cross border or domestic trade transactions, that would otherwise be tied-up in invoices or purchase orders (for up to 180 days). Export finance is specialist finance that can help a company to grow and increase trade.

How Can We Help You with Trade Finance

Our financial alliance team of finance specialists are solutions orientated for your business needs and have access to many agnostic of finance product types. Their trained to look at numerous options to help  find the  best solutions to help  you grow  your  trade flows. From  vanilla trade finance facilities  or export finance products right through to complex cross-border commodity trade, our  24/7  team are  here to help  you grow.

Our partner’s specialists are often regarded as a CFO or FD, as opposed to an originator or broker of trade finance for the solutions provided. We know  you’re busy running the  business and time is money, and thus our  dedicated account managers often work around the  clock to help  place you with financing structures as quickly as possible. We’re your  partners in trade and work with the  majority of funders in most jurisdictions around the  world.

Why Deal with Us?

Our Team players works with over 270+ Banks, FIs, Funds and Alternative Financiers Across  Multiple Geographies and Jurisdictions to Help Companies Access Finance Fast. We Have Product Specialists, From  Cashew Nut Experts to Scrap  Metal  Gurus, Who Work Collaboratively to Help our clients and their Companies Grow Their Trade Lines Both Internationally and Domestically.