Tradewind Finance is pleased to announce it has closed a USD 700,000 export factoring facility for a frozen seafood trader in Hong Kong. The funding has been used to finance the company’s business operations and expansion plans, including their exports to buyers in the US and South America.
The Latin American frozen seafood market is estimated to continue its growth in the coming years, based on MarketDataForecast. And the main motivating factor is rising urbanization, which has stimulated the demand for convenient food products in this area.
With over 10 years of experience in the seafood business, the seafood trader generally sources products from mainland China and then exports them overseas. Though most transactions required T/T before shipment, some buyers requested open account terms with a 90-day credit period. As a result, their growth was hindered because of a lack of working capital.
In order to ease their tight cash flow, the company contacted Tradewind for the alternative finance provider’s tailor-made export finance products. The scalable non-recourse factoring solution met the exporter’s working capital demands, which had not been supported by bank financing in the past.
With the funding of USD 700,000 and credit protection, they were able to free up their cash flow, take advantage of new business opportunities, and continue to succeed in the competitive seafood market. Going forward, the trader can focus on their sales volume without worrying about having enough working capital on hand, especially when more buyers request extended payment terms.
“Though it was the first time the client used an export factoring service, they were able to get better control over their finances this way. They also plan to apply for an increase in their factoring facility after becoming more familiar with our services,” said Dickson Au, Regional CEO – Far East, at Tradewind Hong Kong, “We are committed to providing suitable and innovative financial solutions to companies looking to increase exports, accelerate cash flow and achieve their growth goals.”
About Tradewind Finance
Founded in 2000, Tradewind Finance maintains a network of offices all over the world, including Bangladesh, Brazil, Bulgaria, China, Hong Kong SAR, Hungary, India, Pakistan, Peru, Turkey, UAE, and the USA as well as the headquarters in Germany. Combining financing, credit protection, and collections into a single suite of trade finance products, Tradewind brings streamlined, flexible, and best-in-class services to the world’s exporters and importers.
