Back-to-Back Commodity Financing Solutions
Back-to-Back Commodity Financing Solutions
We arrange back-to-back financing for commodity transactions, enabling traders to purchase goods from a supplier and sell to an end buyer under separate contracts without tying up significant working capital. These facilities are ideal for established traders managing large, margin-protected trades where timing between purchase and sale needs bridging.
What is Back-to-Back Financing?
Back-to-back financing involves securing a purchase contract from a supplier and an onward sales contract with a buyer, then arranging funding to pay the supplier using the buyer’s contract as collateral or repayment source. It’s commonly used in commodity trading to bridge payment timelines and reduce liquidity pressure.
Key Benefits
- Preserves working capital for other trading opportunities
- Aligns payment terms between supplier and buyer contracts
- Improves trade execution speed and reliability
- Reduces the need for unsecured corporate borrowing
- Enables scaling up of larger volume trades without balance sheet strain
Eligible Commodities
- Base and precious metals
- Crude oil, refined petroleum products, LNG/LPG
- Grains, oilseeds, sugar, coffee, cocoa
- Timber and forestry products
Engagement Criteria
- Minimum transaction value: $5M USD(single or annual contract value)
- Counterparties must pass compliance and credit checks
- Valid purchase and sales contracts with clear delivery terms
- Commodity must have transparent pricing and established market demand
Commercial Terms
Submission Requirements
Financely Group acts as an arranger for back-to-back commodity financing. All facilities are provided by regulated institutions and subject to full compliance and credit approval.
Get Started With Us
Submit Your Deal & Receive a Proposal Within 1-3 Working Days
Submit your deal using our secure intake form, and receive a quote within 1-3 business days. Existing clients can connect with their relationship manager through our secure web portal.
All submissions are
promptly reviewed, and all communications are conducted through the intake form or the client portal for a seamless and secure process.
Thank you for considering working with us. A nominal fee of US$500 is required upon completion of each form. This fee covers the time and effort we invest in reviewing your submission and crafting a thorough proposal. We receive numerous inquiries and prioritize those that carry this fee, ensuring serious applicants receive prompt attention.
Trade Finance
Tap into solutions like letters of credit, bank guarantees, and payment facilitation. We address the challenge of global transaction risk through structured strategies that foster cross-border growth. Complete the form to unlock streamlined funding aligned with your commercial objectives.
Submit a RequestProject Finance
Access non-recourse funding for infrastructure, renewable energy, or other capital-intensive ventures. We mitigate capital constraints by isolating project assets and focusing on risk management. Provide your details to receive a structure that drives growth and maximizes returns.
Submit a RequestAcquisitions
Secure financing for business or real estate acquisitions. We ease transaction hurdles by reviewing cash flow, synergy opportunities, and exit plans. Complete the form for a customized proposal that supports your strategic investment objectives.
Submit a RequestFor Banks
Financely assists banks facing Basel III pressures by distributing trade finance deals and providing collateral for letters of credit. We reduce capital burdens while preserving client relationships and fostering service expansion. Submit your request to optimize your trade finance offerings.
Submit a RequestOnce we receive your submission, our team will review your information to determine feasibility. If eligible, you will receive a proposal or term sheet within 1–3 business days. Visit our FAQ and Procedure pages for more information.
Disclaimer: Financely provides financing based on due diligence and feasibility. Approval is not guaranteed, and past performance does not predict future outcomes. All terms are subject to review. Financely primarily assists with structuring and distribution. Qualified parties carry out the project if the client approves the proposal.