• Trade Finance Recourse Factoring For A Perfume Toiletries Importer

    This is a case study about how we found both trade finance and recourse factoring arrangements for an importer of perfumes and toiletries.

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    Case Study Trade Finance And Recourse Factoring For A Perfume And Toiletries Importer

    This case demonstrates how we can assist small companies that are seeking small amounts of finance to help them grow.

    In this case study, our customer was a small UK importer of perfumes and toiletries. They were selling their imports from China to UK retailers and needed a relatively small amount of finance to unlock their supply chain.

    Trade Finance And Recourse Factoring

    Case Study Trade Finance And Recourse Factoring For A Perfume And Toiletries ImporterTrade finance and recourse factoring can work well together.

    Trade Finance To Pay A Chinese Supplier

    The trade finance provides funding to pay the Chinese supplier whilst granting our client a period of credit to sell the goods to UK retailers.

    Coupling Trade Finance With Recourse Factoring

    By coupling that facility with a recourse factoring facility it extends the credit extended to our customer even further. The factoring prepayment repays the trade financing and then the factor takes over responsibility for collecting the outstanding invoices.

    Once they are paid, that repays the factoring arrangement and the chain is completed.

    Read more about Using Factoring To Repay Trade Finance.

    Finance For Small Importers

    Whilst many banks and finance houses may not be interested in providing finance for small importers regarding small shipments, we found a trade financier who was happy to help a small importer grow.

    Often, it is about helping a small company at an early stage in the hope that it will grow over time and become a larger customer.

    If you are a small importer seeking credit to pay for overseas supplies it may be a relief to know that some trade finance companies will help smaller organisations.

    If you are seeking a similar facility please get in touch with us on 03330 113622 and we will introduce you to sympathetic funding partners.


     

    Further Information

    For help from HMRC regarding imports to the UK please see: HMRC Help For Importers

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Examples of funders we work with:

muse
igf
kriya
ultimate finance group
pulse cashflow finance
time finance