Trade loans help business’ fund the gap between when they have to pay for purchased goods from their supplier, and the time when they receive the funds from the sale of those goods.
Designed to cover short periods from 30-180 days, each loan will be used to fund your trading costs for specific import or export transactions and companies usually use them for regular or one-off purchases of goods and raw materials
Alternative Types of Trade Finance
By using one of our trusted panel lenders, import collection can enable you to negotiate more favourable payment terms with your suppliers. It protects your business against non-delivery of goods since you only make a payment when you receive evidence of the shipment.
A reliable and efficient way for exporters to collect payment for goods. The lender handles your document and payment collections and you benefit from agreed payment dates resulting in a more predictable cash flow..
Here the importers lender provides security of settlement to the exporter that it will immediately make the payment once the transaction has been completed, offering you enhanced negotiating power as an importer so you can secure discounts or better payment terms
These reduce cross-border settlement risk such as political, economic or regulatory uncertainty for exporters. The process is structured around your working capital cycle where set payment dates enhance your cash flow
Allow your business to mitigate the impact of exchange rate fluctuations through comprehensive risk management tools.
A lender acts as a guarantor in case the importer or exporter fails to fulfil the terms and conditions of the contract. As a buyer your advance payment is protected, and your supplier gets the assurance that you can meet your obligations. For sellers, bonds & guarantees can make your proposition more attractive through the certainty offered to buyers.
When your business is growing and becoming more international, your financing needs will increase and you will face new risks. Get in touch today to see how our lender partners can offer a range of trade finance services designed to help your business grow and manage new risks efficiently.
Lakeland Commercial Finance Ltd, registered at Lakeland House, 114-116 Kirkland, Kendal, LA9 5AP. Company registration number is 11971872. Lakeland Commercial Finance Ltd is an appointed representative of Lakeland Finance Ltd, registration number 09058326. Authorised and Regulated by the Financial Conduct Authority. Our FCA registration number is 843563. You can check via https://www.register.fca.org. We are registered with the ICO, ZA552531 and you can check via https://www.ico.org.uk. We are a credit broker, not a lender.
We conduct both regulated and unregulated business and therefore not all products provided through us are regulated by the Financial Conduct Authority.
We source finance from our panel of lenders.
We may receive commissions that will vary depending on the lender, product, or other permissible factors. The nature of any commission model will be confirmed to you before you proceed.
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