The purchase order is signed, your supplier needs paying and extended shipping lead times mean you won’t see customer payment for months. Trade finance pays your suppliers upfront and funds goods while in transit, so you can commit to ambitious deals without draining your cash flow.
Trade finance bridges the financial gap between paying suppliers and receiving payment from your end customers. A lender pays your domestic or overseas supplier directly, securing the facility primarily against the underlying goods in transit. Once your inventory arrives, sells, or is invoiced, the facility is settled, protecting your liquidity and profit margins throughout the cycle.
You place the order, and the lender pays the supplier upon dispatch, often through a letter of credit or direct payment that overseas suppliers trust. Your goods ship, you sell or deliver, your customer pays and the facility is settled. Repeat as often as your trade cycle demands. It pairs naturally with invoice finance to cover the full journey through to customer payment.
No. It supports domestic supply chains too. Any business buying stock or materials ahead of confirmed sales can use it to keep supplier payments and customer receipts in step.
Confirmed orders or a reliable sales pipeline, a sensible margin on the goods, and creditworthy end customers. A track record of completed trade cycles strengthens your position, and we help present all of it well.
They form a complete working capital solution. Trade finance pays your supplier so goods can be made and shipped. Once delivered and an invoice is raised, an invoice finance facility immediately advances up to 90% of that invoice value to settle the trade facility, keeping your cash flow liquid until the customer pays.
A good conversation costs nothing and often opens more doors than you would expect. Tell us where you want to take your business, and we will show you how the right funding can help you get there.
