Maintaining high stock levels
MTF completed a Trade Finance facility for its client to provide Import Finance for its Stock of Replacement Car, Van and Bus windscreens.
These items came mainly from large, often OEM, manufacturers in China, Poland and France.
The trade was very cyclical but a high level of stock had to be maintained to satisfy the demands of the Windscreen Installers.
The client had used up its bank lines but needed the Import Loan from MTF to keep its integrity with its customers by having the right item available at the right time. The clients customers were paid by the Insurance Companies who assigned their invoices to our client
MTF’s Loan was backed by Trade Credit Insurance and by Bills of Exchange drawn on its own banker after a 60 day Credit Period.
What started as a £150,000 Loan has been extended to £400,000 and could shortly go higher.