Trade Finance

Funding to help businesses buy, import and supply goods

Trade finance can help businesses manage the cash-flow gap between paying suppliers and receiving payment from customers.

Whether you are importing goods, purchasing stock for resale, fulfilling a large order or expanding into new markets, BAT can help explore commercial finance options designed around the transaction and the wider business

When might Trade Finance be needed?

Trade finance can potentially help businesses:

  • Purchase stock or goods from suppliers
  • Import goods from overseas
  • Fund larger customer orders
  • Manage supplier payment terms
  • Bridge the gap between paying suppliers and receiving customer payment
  • Take on new contracts or trading opportunities
  • Support international expansion
  • Manage working capital when order volumes increase

Import and Export Finance

Businesses trading internationally can face additional cash-flow pressures, particularly where suppliers require payment before goods are received or customers have extended payment terms.

Depending on the transaction and lender criteria, finance may be available to help support the purchase and movement of goods through the supply chain.

Supplier and Purchase Finance

Where a business has received a significant order but needs funding to purchase the goods or materials required to fulfil it, trade finance may provide a way to support the transaction without using all of the business’s existing working capital.

The structure will depend on the supplier, customer, transaction, goods involved and the overall financial position of the business.

What will lenders consider?

Trade finance is often highly transaction-led. Potential lenders may consider:

  • The underlying transaction
  • Supplier and customer relationships
  • Value and volume of the goods
  • Payment terms
  • Trading history
  • Profitability and cash flow
  • Experience of the management team
  • Existing borrowing
  • Security or guarantees where applicable
  • The proposed repayment or exit

At BAT, we look at the transaction first and then consider how the funding requirement could be structured.

Deal First. Lender Second.

We understand the transaction, the cash-flow requirement and how the finance will be repaid before considering potential finance providers.

With over 35 years of banking and lending experience, BAT understands that funding needs to work alongside the way a business trades.

Discuss Your Trade Finance Requirement

If you are importing goods, purchasing stock, fulfilling a large order or facing a working capital gap within your supply chain, talk to BAT about your requirements.

Discuss Your Funding Requirement