For many companies doing business internationally is the ultimate challenge. While the rewards can be substantial, success can also bring its share of problems. Different customs, currency issues, legal requirements and differing businesses and practices still create barriers to trade in a world where sophisticated computer technology allows foreign orders to be placed within seconds.
One of the greatest problems facing exporters is the increasing insistence by importers that trade is conducted on open account terms. This often means that payment is received many weeks or even months after delivery. Unsurprisingly, many organizations find that giving buyers credit in this way can cause severe cash flow problems. Further problems can arise if the importer delays payment beyond originally agreed terms. Worse, if the important makes no payment at all due to financial failure.
Import & Export Factoring provides a simple commercial finance solution regardless of whether the exporter is a small organization or a major corporation.