|Price||Check with seller|
|Date Published||September 23, 2022|
|Number of Visits||9|
Tradewind Finance specializes in cross-border solutions for companies looking to make their mark in the global trade market. From finding the right suppliers to merchandising product, different kinds of financing can free up the working capital companies need to continue growing and expanding to meet the demands of a competitive world. As one of today’s top supply chain finance companies, Tradewind provides custom financial solutions for businesses operating in many different industries around the world.
Supply Chain Financing
Supply chain financing is one method of creating liquidity and generating working capital for a company. This method provides receivables financing and funding to suppliers based on the creditworthiness and overall financial strength of the buying party. It helps minimize financial risk among suppliers, manufacturers, and others.
Global supply chain finance programs can work with non-traditional financing options to support payables, receivables, and inventory. Additionally, using purchase order funding, inventory lending, letters of credit, and structured guarantees allows a lending company to meet the financial needs of all members of the business agreement.
The Benefits of Supply Chain Financing
Benefits of supply chain financing include:
Simplification of paperwork, even when dealing with multiple suppliers
Providing funding to foreign suppliers based on the buyer’s creditworthiness
Suppliers receive early payments at lower costs
Suppliers receive additional cash flow, which increases their volume of production and ensures a consistent supply of goods
Extended payment terms can be negotiated with suppliers
Trade debt is taken off suppliers’ balance sheets, which strengthens their financial position
Suppliers benefit from quick funding and high advance payment rates
Smaller supply companies are viable partners, increasing a buyer's available supply range
Access to cost-effective markets globally
This kind of financing works to keep the money flowing between suppliers and buyers, so there is a consistent stream of product that can be used to create more revenue, more business, and increased cooperation between a company and its suppliers.
Companies that may be working with suppliers who are in a different country can face unique challenges regarding currency conversions and customs processes. Working with a trade finance firm allows a company to simplify things and focus on running their business by having the finance company as their point of contact to deal with these issues.
To know more: https://www.tradewindfinance.com/news-resources/how-technology-further-advances-supply-chain-finance