FINANCING U.S. COMPANIES THAT PURCHASE FOREIGN PRODUCTS
These products assist U.S. companies acquire foreign goods for resale or supply chain without having to pay upfront for the goods. This helps improve cash flow without using existing working capital lines.
The benefit for the U.S. importer is two fold:
1. The best pricing.
2. Open Account Delayed Payment Terms
what is the big deal?
Foreign suppliers get paid straight away, while U.S. companies enjoy the deferred payment terms that helps them match their cash flow in to cash flow out.
HOW IT WORKS
1. Lender establishes a credit limit and discount rate based on credit analysis.
2. Buyer confirms the purchase order and payment instructions from supplier.
3. Lender pays the supplier immediately upon shipment by purchasing the invoice at a discount.
4. On the due date, buyer pays Lender the face value of invoice.
WHAT IS SHORT TERM TRADE FINANCE
Payment Is Fast
The Lender can pay for the shipment within 3-5 days. If you and your counterparty are already clients of the Lender, the payment can be performed even within 24 hours.
Protection for Lender
Lender's risk management matrix allow the Buyer to take risks of non-payment and delays – This is a perfect instrument to start new contracts with unknown clients and make first shipments with the lender's protection.
No Limits on Financing
U.S. importers can boost their working capital significantly (up to x5), freeing their business from any financial limits. This promotes fast growth.
Ideal U.S. Importer
The typical great client for this product is United States companies that have at least $20,000,000 dollars in annual sales and are profitable. There are exceptions.
Who is an Ideal Foreign Supplier?
A good foreign supplier is known to be able to produce and ship the volume capacity of the invoice. Financial statements and/or trade references to can be helpful.
Buyers get extended payment terms of up to 120 days
Non-invasive and unsecured trade credit that does not tie up availability under bank lines
Risk mitigation for the supplier through our non-recourse structure