Structured Trade Finance solutions
We develop financing solutions that are structured to meet specific needs of customers. These solutions help to mitigate risks and get access to enhanced financing facilities. Please contact us for more info.
Export and Import finance
Through our pre-shipment export financing product, Maersk Trade Finance will advance funds to you (or directly to your vendor) to purchase finished goods or raw materials, and fulfill verified orders from overseas importers.
*Pre-shipment Export Finance is available only with our In-transit export finance or via our Importer Credit facility. It is subject to regulatory permissibility in country of exporter.
- Financing upto 80% of your purchases
- Improves cash flow forecasting
- Boosts your liquidity to source and pay for goods
- Potential to increase your export sales growth
- Third country sourcing against your overseas purchase orders can be eligible
- No cash deposits or LCs required from your importer
- Option to extend further credit to your importer after goods are delivered; subject to creditworthiness
In-transit Export Finance funds the export of your goods on the water. We provide you early funding during the ocean transit period where in-transit inventory is often treated by lenders as ineligible collateral.
- Additional working capital
- Boosts your competitiveness by allowing your importer to pay on/after arrival, rather than at shipment
- Gives you a better scope for negotiation with the importer
- Accelerates funding against receipt of cargo by Maersk at Custom depots
- Improves cash flow forecasting
Export Finance is a working capital solution that provides you with funding up to 80% of invoice value as well as with the protection against the overseas importer’s financial inability to pay (e.g. insolvency and protracted non-payment for undisputed invoices).
- Protects against your importer’s financial inability to pay
- Saves your time and resources to collect invoices
- Improves your financial metrics, such as days sales outstanding
- Accelerates your cash flow
- Additional source of working capital
- Streamlines your physical and financial supply chains
- Off balance-sheet finance as it may fulfill 'true sale'* criterion
*Clients are requested to be advised by their auditors
Maersk Trade Finance provides loans to importers like you to pay your overseas exporters. Funds can be advanced up-front against a specific timeline for the production and shipment of finished goods agreed by you and your exporter.
- Provides loan to fund the exporter’s purchase of materials to fulfill your order
- Strengthens the exporter’s finances to promote a healthy supply chain
- Flexible loan repayment options – in exchange for goods on arrival at destination, or on extended credit post arrival (subject to credit evaluation)
- Removes any need by your exporter for LC or credit insurance as Maersk Trade Finance guarantees your credit
Our In-transit Import Finance funds your imports from the time your exporter delivers the goods to Maersk. When cargo arrives (or later, if agreed), you pay Maersk Trade Finance. Unlike most conventional lenders, Maersk Trade Finance accepts in-transit inventory as collateral.
- You can now borrow against your inventory “on the water” unlike with most lenders
- Improves your working capital efficiency
- Boosts your liquidity
- Facilitates a price discount from your exporter for early payment
- Potential to extend your credit beyond arrival of goods (subject to credit evaluation)
- Improves your relationship with your exporter through early payment of your invoices when due
- Timely digital release of your goods rather than paper-based lender methods
Our Importer Credit solution allows you to extend longer payment terms to your overseas suppliers. When due, Maersk Trade Finance will collect the full invoice amount from you.
- Provides you extended trade credit at no cost to you
- Avoids Letter of Credit hassles and cost
- Optimises your working capital by extending your payables
- Requires no collateral from you
- Frees up your existing credit lines for other use
- Qualifies as “off balance sheet” funding (clients are requested to be advised by their auditors)
- Facilitates your negotiation of early payment price discounts
- Streamlines and simplifies your physical and financial supply chains
- Improves your financial metrics by reducing your Days Payable Outstanding