Tradewind has closed a $2.5 million trade finance facility for a company based in China and the USA that sells sustainable, ecologically sourced and manufactured homewares. The company exports to major retailers in the US including Amazon, Target, Kroger, and the Container Store as well as to distributors in key international markets globally. It is using the accelerated cash flow for working capital to increase production volumes, expand into new distribution channels, and initiate diversified brand marketing.
Selling to Tier 1 retailers who require long payment terms created gaps in cash flow for the client, so the homewares brand sought out a financing solution that could bridge these gaps—keeping their vendors paid on time and allowing them to invest in marketing, R&D, and other necessities of fast-growth companies. Traditional bank financing proved to be too cumbersome, rigid and slow and therefore an unsuitable option for them.
Tradewind listened to the details of the client’s unique situation and offered a flexible funding approach that was a better fit for their needs. The firm also provided credit insurance, leveraging its expertise in the area, and mirrored the client’s international footprint with an office in New York and Shanghai, making it a relatable partner who understood the dynamics of global teams with the resources to optimize operations. The client took comfort in knowing that Tradewind had established a track record of funding global cross-border transactions, which cemented their decision to work with the firm.
“Consumer demand for home products that reduce waste and harmful impact to the environment is on an ever-increasing growth trajectory. As a certified B Corporation and pioneer in ecologically sourced and manufactured products, our client has demonstrated tremendous expansion and is now poised to outpace forecasts with their Tradewind facility in place. The future of the consumer goods sector will be firmly rooted in environmental sustainability and we’re proud to be partnered with a leader in this space,” states William Avedon, VP of Sales for Tradewind’s New York office.
Tradewind (formerly DS-Concept) maintains a network of offices all over the world, including Bangladesh, Bulgaria, China, Hong Kong, Hungary, Iceland, India, Pakistan, Peru, Turkey, UAE, and 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.