If you trade overseas, it's important to remember that even small changes in an exchange rate can have a big impact on your profitability. That's because the difference in the total value of your deal comes out of your margin. We have a range of tools available to help you manage this risk more effectively, watch our FX videos.
Lower interest rates and simpler security
Trade finance loans offer lower rates of interest than overdrafts or term loans, as they’re short-term loans tied to specific transactions. It makes them a very efficient source of working capital.
They also may not require security against property or other assets, which makes them simpler and cleaner to operate.