Trade Finance for Small and Medium-Sized Enterprises

Trade Finance for Small and Medium-Sized Enterprises

Trade Finance for Small and Medium-Sized Enterprises

This service is for transactions up to two million United States dollars.
Bottom line: you receive a bankable trade file, real issuing bank options, and the margin top-up required to execute. We map the full flow, validate the purchase order or sales contract, complete know your customer and counterparty checks, and design a facility across a letter of credit or confirmed letter of credit, a standby letter of credit for payment or performance, an advance payment guarantee, receivables financing, and foreign exchange hedging with clear tenor, draw mechanics, and covenants.
Facility Design
  • We structure a letter of credit or a confirmed letter of credit in line with the Uniform Customs and Practice for Documentary Credits, publication number 600.
  • We structure a standby letter of credit for payment or performance in line with the International Standby Practices, publication number 98.
  • We structure an advance payment guarantee in line with the Uniform Rules for Demand Guarantees, publication number 758, and we add receivables financing and foreign exchange hedging where it improves execution.
  • We set a clear tenor, practical draw mechanics, and covenants that reflect the trade flow.
Underwriting Materials
  • We build a cash flow model that links shipments, documents, payment dates, and value dates.
  • We prepare a shipment schedule with milestones and cut-offs that a bank can track.
  • We write a collateral and controls narrative that explains how funds are protected.
  • We draft full, bank-ready wording that complies with the above rule sets.
  • We assemble a clean, indexed data room that bankers will actually read.
Market Process and Negotiation
  • We distribute through regulated partners to credible banks and funds.
  • We target two to three competing term sheets for clean files.
  • We negotiate pricing toward the prime rate plus one to three percentage points during the utilization period and we push to remove junk fees.
  • We keep you informed with a short, honest status report each week.
Margin Top-Up When a Deposit Is Required

If the issuing bank requires a margin deposit, we raise senior capital, mezzanine capital, or preferred-style gap capital in parallel. We run this workstream alongside the trade facility so you do not stall at issuance.

Optional Credit Insurance

We can add short-tenor credit insurance when it lowers the all-in cost or unlocks better confirmation terms. We only recommend it when the numbers make sense.

How the Package Runs

  1. Scope and checks. We map the end-to-end flow, validate the purchase order or the sales contract, and complete counterparty and sanctions checks.
  2. Facility design. We choose the right mix of instruments and we define tenor, draw mechanics, covenants, and controls.
  3. Build. We deliver the cash flow model, the shipment calendar, the collateral plan, the full draft wording, and the data room.
  4. Distribution. We send the file through our regulated partners to real issuers and we drive toward two to three competing offers for clean files.
  5. Negotiation. We push pricing toward the prime rate plus one to three percentage points on the utilization period and we work to remove junk fees.
  6. Top-up capital. If a margin deposit is requested, we raise the required senior, mezzanine, or preferred-style capital in parallel and we add credit insurance if that reduces cost.
  7. Closing and support. We manage conditions precedent, confirmations, reimbursements, and issuance through first draw, and we remain on the file for sixty days after closing.

Pricing

Item Details
Retainer The retainer is nine thousand six hundred and fifty United States dollars, payable at engagement.
Success fee on letters of credit and standby letters of credit The success fee is two and one-half percent of the face amount issued, with a minimum success fee of fifteen thousand United States dollars, payable at issuance or at first draw. Escrow is available.
Success fee on margin top-up capital The success fee is three percent of any margin capital raised, with a minimum success fee of fifteen thousand United States dollars, payable at funding.
Optional special purpose vehicle The optional special purpose vehicle with a nominee director and a bank account for assignment of payables and receivables costs four thousand five hundred United States dollars.
Issuer pricing target We target the prime rate plus one to three percentage points during the utilization period and we push to remove junk fees.

Eligibility

  • The transaction must be a real trade with verifiable flows and a valid purchase order or sales contract.
  • Company directors must complete know your customer checks and provide full corporate documents.
  • The company must be willing to assign proceeds and accept sensible controls.
  • We do not accept cryptocurrency or anything that resembles paper trading.

Instruments We Arrange

Instrument Use case
Letter of credit under the Uniform Customs and Practice for Documentary Credits, publication number 600 We arrange payment at sight or at a deferred usance against compliant documents and add confirmation when issuer or country risk requires it.
Confirmed letter of credit We add a confirming bank to improve payment certainty and support receivables discounting.
Standby letter of credit under the International Standby Practices, publication number 98 We provide on-demand support for payment or performance with clean wording and practical controls.
Advance payment guarantee under the Uniform Rules for Demand Guarantees, publication number 758 We secure advances tied to the contract and to clear draw conditions.
Receivables financing We discount confirmed receivables to improve working capital and reduce cash gaps.
Foreign exchange hedging We match currency exposures across shipment and settlement so that pricing is protected.

What We Need from You

  • You provide the purchase order or the sales contract, the pro forma invoice, the shipment plan, and the agreed trade terms.
  • You provide full corporate know your customer documents, an ultimate beneficial owner chart, and prior bank relationship details.
  • You provide the last twelve months of bank statements and basic financial statements.
  • You provide an insurance binder if required and a realistic plan to make collateral available.
We work on a best-efforts basis and all outreach is chaperoned. If a file looks like paper trading, we close it. We do not arrange fake balances, rented accounts, or anything off-ledger.

Ready to package and place your trade

Share your purchase order or contract, your shipment plan, and your target tenor. We will confirm the route, the pricing targets, and the next steps.

Request a Term Sheet

This page is for corporate users. Nothing here is a commitment to lend or a promise to issue an instrument. All services are subject to know your customer checks, anti-money laundering controls, sanctions screening, and issuer or investor approvals.

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.

Express Application Submit Your Deal
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Request a Proposal / Submit a Deal

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.

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Project 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.

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Acquisitions

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.

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For 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 Request

Once 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.

Still Have Questions? Schedule a Consultation

If you still have questions after visiting our FAQ and Procedure pages, we invite you to book a paid consultation for personalized guidance. A $250 USD fee applies per session.