Products Trade Finance

Pays for stock that is repaid from sales receivables

Trade Finance pays for stock that is repaid from sales receivables and your specific finance requirements are unique. We want to understand what you require so we can tailor the financial support you need. It all starts with a conversation. We want to listen as you explain what you do and how you do it. We want to know what you are planning and what finance you need to get you there.

Many organisations place multiple small orders with their suppliers rather than a few large ones. This is because they cannot afford to have their cash tied up in stock. Other companies try to negotiate discounts from their suppliers but because they cannot pay immediately, they don’t achieve the best trade discounts. Others could also save on transport costs if they had the funding to place orders in bulk.

Instead of using outdated, traditional lending models, Trade Finance uses an alternative purchasing model called credebt® (pronounced: credet). This provides the funding needed to negotiate bulk purchase and early payment discounts. In addition to these trade discounts, there can often be additional savings in transport costs. The Convertibill® Trade Finance system can also be used to offer any supplier, small or large, ‘payment on demand’. However you choose to use it, the savings can have a significant impact on your profitability.

Trade Finance is a credebt® facility that is unique to Convertibill®. In using Trade Finance, you must be fair to your suppliers. Money, time and credit control are all costs that your suppliers understand. In seeking trade discounts, it is important that they are fair. Your suppliers must be able to afford the discounts you are seeking. A marginal 2-3% discount is modest and fair and will improve your profitability.

Convertibill® Trade Finance helps you save costs through transport and trade discounts. If you need assistance on how to use this type of finance, contact your Convertibill® Specialist or Branch Manager by booking an appointment online now