Trade Finance
Bridging the funding gap between purchasing goods and final sale.
Trade finance is the engine that powers domestic and international commerce. It bridges the fundamental timing mismatch in trade: suppliers want to be paid before or on shipment, while buyers want to delay payment until they have received and sold the goods. Without trade finance, this gap constrains growth, limits purchasing power, and increases risk for all parties in the supply chain.
Aberdeen Corporate Finance works with specialist trade finance banks, alternative providers, and invoice finance companies to structure facilities that cover the entire trade cycle — from purchase order to final customer payment. As an independent broker, we source solutions from across the market to find the most competitive and appropriate facility for your business.
Why Use a Broker for Trade Finance?
Trade finance is a specialist area with a relatively small number of providers, each with different appetites for geography, commodity type, deal size, and risk profile. The right facility for an importer of consumer electronics differs fundamentally from the right facility for an agricultural commodity trader.
Aberdeen Corporate Finance understands these nuances and maintains relationships with specialist trade finance providers across the market. We match your specific trade flows, counterparties, and commercial requirements to the most appropriate provider — saving you time, reducing costs, and ensuring the facility genuinely supports your trading operations.
Our Trade Finance Services
Letters of Credit
A letter of credit provides a bank-backed guarantee of payment to your overseas supplier, giving them the confidence to ship goods before receiving funds. We arrange documentary letters of credit (LCs), standby LCs, and confirmed LCs through our panel of trade finance banks and specialist providers.
Purchase Order Finance
Funding to pay your suppliers when you receive a confirmed order from a creditworthy customer but lack the working capital to fulfil it. The finance provider pays your supplier directly, you deliver the goods, and the facility is repaid when your customer pays. Ideal for importers, wholesalers, and distributors.
Import & Export Finance
Comprehensive funding solutions for businesses trading internationally — from pre-shipment finance to fund manufacturing and procurement, through to post-shipment finance against documents or invoices. We structure facilities to cover the entire trade cycle from order to final payment.
Supply Chain Finance
Programmes that optimise working capital across your entire supply chain. Suppliers receive early payment at competitive rates, while buyers extend their payment terms — improving cash flow for both parties and strengthening supply chain relationships.
Stock Finance & Inventory Funding
Funding to purchase and hold stock, whether imported or domestic. Stock finance allows you to buy in bulk at better prices, maintain adequate inventory levels, and bridge the gap between purchasing goods and selling them to your end customers.
Trade Credit Insurance
Protect your business against the risk of non-payment by domestic and international customers. Trade credit insurance covers insolvency and protracted default, and can be a requirement for accessing certain trade finance facilities at competitive rates.
Key Benefits
When You Need Trade Finance
Importing Goods
Need to pay overseas suppliers before your customers pay you? Trade finance bridges this gap with letters of credit, import loans, and stock finance — ensuring you can maintain supply without depleting your cash reserves.
Fulfilling Large Orders
Received a substantial order but lack the working capital to fulfil it? Purchase order finance pays your supplier directly, allowing you to deliver the goods and repay the facility from the proceeds.
International Trade Expansion
Expanding into new international markets brings opportunities — and cash flow challenges. We structure trade finance facilities to support your entry into new territories, manage currency risk, and mitigate buyer default.
Supply Chain Optimisation
Improve working capital efficiency across your supply chain with programmes that enable early supplier payments while extending your own payment terms — a win-win for both buyers and suppliers.
Seasonal Stock Purchases
If your business needs to buy stock ahead of a seasonal peak, stock finance provides the capital to purchase inventory in advance, with repayment aligned to your expected sales cycle.
Mitigating Buyer Risk
Trading on open account terms with customers you don't fully know? Trade credit insurance protects against non-payment due to insolvency or protracted default, giving you the confidence to extend credit terms.
How It Works
Understanding Your Trade Flows
We review your supply chain, trading terms, supplier and customer profiles, and cash flow cycle. This allows us to identify the most appropriate trade finance product and structure for your specific needs.
Provider Selection
We approach specialist trade finance providers from our panel, presenting your requirements and obtaining detailed proposals. We compare costs, facility structures, and service capabilities to shortlist the best options.
Facility Structuring & Setup
We work with you and the selected provider to structure the facility around your trade cycle — setting up letters of credit, purchase order finance limits, or stock finance facilities as required.
Transaction Execution
As transactions arise, the facility is drawn upon according to the agreed structure. Letters of credit are issued, suppliers are paid, and stock is financed — with the provider managing the documentary and payment processes.
Ongoing Management
We remain in contact to ensure the facility continues to meet your needs as trade volumes, supplier relationships, and market conditions evolve. We renegotiate terms and restructure facilities as required.
Trade Finance at a Glance
Supplier Payment Covered
Countries Supported
Typical LC Issuance
Important Notice: Aberdeen Corporate Finance Limited acts as a commercial finance broker and introducer. We are not a bank, lender, or trade finance provider. All trade finance facilities are subject to status, counterparty assessment, and provider criteria. Facility sizes, costs, and terms quoted are indicative and may vary depending on the trade structure, geography, and commodity involved. Trade credit insurance terms and exclusions vary by provider and policy. Aberdeen Corporate Finance Limited is not regulated by the FCA.
Need Trade Finance?
Whether you're importing goods, fulfilling large orders, or looking to optimise your supply chain, contact us for a no-obligation discussion.
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