IMPORT FUNDING
Grow your business with a business loan – no security needed!
Open Up Global Trade Opportunities With Import Funding
Navigating the complexities of global trade, import funding emerges as a crucial tool for businesses seeking to expand their horizons. Designed to bridge the gap between the purchase of goods from overseas suppliers and the eventual sale to customers, import funding offers a lifeline for maintaining cash flow and ensuring business continuity. This financial solution is tailored to empower importers, providing the necessary capital to secure goods, manage logistics, and optimize operations in today’s competitive global marketplace. Whether you’re a small enterprise taking its first steps in international trade or an established player looking to streamline your import processes, understanding and leveraging import funding can be a game-changer for your business’s growth and sustainability.
You May Need Import Funding For:
Purchase of Goods:
Covering the cost of buying goods from international suppliers.
Shipping & Logistics
Assisting with expenses related to transport and delivery of imported goods.
Cash Flow Management
Managing finances between the time of paying suppliers and receiving customer payments.
Fulfilling Large Orders
Enabling the handling of bigger orders than otherwise possible.
Negotiating Better Terms
Offering leverage to negotiate more favorable terms with suppliers.
Supply Chain Consistency
Ensuring a steady and reliable supply chain without financial strain.
What is Import Funding?
Import funding is a financial solution designed to assist businesses with the costs associated with importing goods from overseas. It provides the capital needed to pay suppliers, covering the period between the purchase of inventory and the receipt of revenue from sales. This type of funding helps businesses manage cash flow, handle larger orders, and maintain a steady supply chain, enabling them to compete effectively in international markets.
Benefits of Import Funding
The benefits of import funding include improved cash flow management, enabling businesses to pay suppliers upfront without depleting working capital. It also allows for the handling of larger orders and better supplier negotiations. Import funding aids in maintaining a steady supply chain and can provide a competitive edge in the market by ensuring timely product availability.
Application Criteria
Our assistance is available for companies with at least two years of successful industry experience and a confirmed order from a creditworthy corporate customer. We offer accounts receivable funding, provided the supplier is accredited and the company can supply all required documentation. The transaction must be R1 million or more. Our fees include a monthly discounting fee of up to 7% (based on due diligence and risk profile) and a one-time setup fee of up to 3%, depending on the deal size.
Costs
Loan Terms & Cost Schedule
Cost Schedule
- Minimum Term – 3 months
- Maximum Term – 6 months
- Minimum APR – 13 %
- Maximum APR – 30 %
Example :
- Loan R 1 million
- Term R 1 year
- APR 13 %
- Repayment R 1 130 000
Subject to lenders Terms and Conditions at time of quote.
Frequently Asked Questions
Is import funding the same as trade finance?
Import funding is a subset of trade finance, specifically focused on financing the importation of goods.
Is import funding the same as inventory finance?
No, while similar, inventory finance typically involves financing goods already within the country or in stock, rather than goods being imported.
Can startups apply for import funding?
Import funding usually requires a business history of at least 2 years, so it may not be ideal for startups.
What documents are needed for import funding applications?
Necessary documents include business financial statements, order confirmations, supplier accreditation, and supporting transaction details.
What are the typical costs associated with import funding?
Costs may include a monthly discounting fee up to 7%, and a one-time setup fee up to 3% of the deal size.
Can import funding be used for any type of goods?
Generally, yes, but specific usage may depend on the lender’s terms.
APPLY FOR IMPORT FUNDING
This form applies to the following bridging loan categories:
Import Funding
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