The company Tradewind Finance, a German multinational with a presence in 14 countries, offers non-traditional financial services for exporters and has been focusing efforts on achieving a greater presence in South America, reported its commercial executive for Latin America, Klaus Gentner Rebolledo, to the weekly newsletter Perú Exporta.
The multinational offers, in Peru and South America, Non-recourse international factoring post-shipment, which allows its clients to improve their working capital by selling their accounts receivable and, above all, to obtain greater competitiveness by having the option of offering their customers longer payment terms.
By accessing this type of financing, the exporter can dedicate himself to his business, he can use the funds for his recurring activities such as the payment of payroll, acquisition of raw material and other activities of his production processes. It should be noted that the contracts are made under international regulations and not with Peruvian legislation.
“Purchases are generally made with payment terms of 30 days; however, by accessing factoring, our clients can offer their buyer a higher range, such as 60 or 90 days of credit. We can finance sales made under the terms of payment open account, letter of credit and documentary collection. Likewise, they will have less administrative burden by freeing up the operational procedures in the collection of said invoices,” he stated.
With this objective, a few weeks ago it established a strategic alliance with a Colombian company dedicated to local factoring, in order to have support when evaluating South American buyers.
In Peru and South America – he continued – they will focus their work on attracting exporters from sectors such as textiles, hydrobiologicals, electronics, food & beverages, spare parts and services. In the case of agro-exporters, they offer their service under certain conditions. “
“If they are fresh products, they can reach their destination in conditions that are not so favorable for the buyer; the merchandise may even be rejected in some cases. We are currently working on alternatives to mitigate risks and be able to support companies that export this type of product, such as inspection reports for cargo in transit. If the evaluation is positive, we make the disbursement, otherwise we wait for the buyer to verify its good condition. This scenario is more convenient for clients when they sell on open account (credit on arrival) terms,” he reported.
Finally, he commented on his ‘Referral agreement’ program, through which entities and brokers can bring clients to Tradewind Finance and, if the deal is closed, they receive commissions for the term of the contract.