Trade Finance
Trade finance funds the gap between paying a supplier and being paid by your customer, covering import finance, export finance, purchase order finance, letters of credit and supply chain finance. It is typically used alongside invoice finance to close the full working capital gap on a trading cycle.
How it works
- Tell us about the order — the supplier, the customer, and the value involved.
- We match the structure (import finance, purchase order finance, letter of credit or similar) to the trade cycle.
- Funding is arranged against the confirmed order, not against your balance sheet alone.
- Funds cycle as goods move and invoices are raised, typically over 30 to 180 days.
Typical terms
| Amount | £25k–£10m+ against confirmed orders |
|---|---|
| Cycle length | 30–180 days |
| Security | The confirmed order and underlying goods, often alongside invoice finance |
| Structures | Import finance, export finance, purchase order finance, letters of credit, supply chain finance |
Indicative only. Actual terms depend on the lender and your circumstances.
What it is used for
Importers needing to pay overseas suppliers before goods arrive in the UK.
Businesses that have won an order larger than they can fund from working capital alone.
Seasonal stock builds ahead of a peak trading period.
Exporters needing payment assurance from an overseas buyer via letter of credit.
Supply chain financing across multiple tiers of suppliers on a large contract.
Who this typically suits
- Businesses with a confirmed purchase order or contracted end buyer.
- Importers and exporters trading with overseas suppliers or customers.
- Businesses that have grown into orders larger than their working capital can fund alone.
When it is not the right fit
If there is no confirmed end buyer or purchase order behind the requirement, trade finance is not available — a Business Loan is a more general starting point.
Business LoansIf the gap is really about unpaid invoices already raised rather than an upcoming order, Invoice Finance may be the closer fit.
Invoice FinanceIf the requirement is to buy a business or a stake in one, Acquisition Finance covers that structure.
Acquisition Finance
What to have ready
None of this is required to start a conversation — it simply helps us understand the requirement faster once you get in touch.
- The confirmed purchase order or contract
- Details of the supplier and customer involved
- The value and expected timing of the trade cycle
- Any existing invoice finance or working capital facilities
Frequently asked questions
Tell us what you're trying to fund.
No need to select a finance product before getting in touch. Start with a short enquiry and a member of the team will be in touch.