Finance Product
Move goods across borders without tying up working capital. Trade finance solutions provide the funding buffer between placing an order with your supplier and receiving payment from your customer.
What It Is
International trade creates a unique cash flow problem: your supplier needs payment before they ship, but your customer pays you after they receive. Without a trade finance solution, that gap — which can be up to 120–150 days of working capital tied up in goods in transit — either limits your trade volume or strains your operational cash flow to breaking point.
Trade finance bridges this gap by providing the capital to pay your supplier promptly, securing the goods, while allowing your customer payment terms to flow normally. Products range from straightforward purchase order finance to import/export letters of credit that provide payment guarantees to suppliers in markets where relationship trust needs institutional backing. Ascend Lending Partners structures trade finance for Australian importers, exporters, and distributors of all sizes.
Why It Works
Trade finance unlocks growth for businesses constrained by the cash flow gap inherent in international trade — enabling you to scale volume without scaling financial risk.
Pay your supplier and receive your goods without depleting working capital. The finance facility covers the cost of goods from order placement through to customer payment receipt — keeping your operational cash free for everything else.
Letters of credit provide institutional payment guarantees to suppliers — particularly valuable when trading with new overseas suppliers who require confirmation of payment before shipment. This builds stronger supplier relationships and often unlocks better pricing.
Once a trade facility is established, your trading volume is limited by demand and supplier capacity — not by your working capital position. Increase order size and frequency without the cash flow constraints that currently cap your growth.
Ideal For
Trade finance is purpose-built for businesses that move physical goods — particularly those engaged in international trade where payment timing creates structural cash flow gaps.
Australian businesses importing goods from Asia, Europe, or North America — whether consumer products, industrial goods, raw materials, or components — where supplier payment is required before shipment.
Australian manufacturers, agricultural producers, and service businesses exporting product to international markets — needing certainty of payment before shipping to overseas customers.
Distributors who hold stock from multiple international suppliers and sell to Australian retailers or businesses — where the stock cycle creates ongoing capital requirements between supplier payment and customer receipt.
Retailers who source their product range internationally — particularly those managing seasonal buying cycles where large advance payments to overseas factories precede sales by months.
What's Included
Trade finance through Ascend Lending Partners spans the full range of products needed to fund international supply chain activity.
Requirements
Simple Process
We manage everything from first enquiry to final settlement.
Submit your details online or call us. We respond within 2 business hours.
We review your scenario, financials, and goals to map the right structure.
We architect the deal and present best-fit options from 60+ lenders.
Approval managed end-to-end. Funds typically in your account within 24–48 hours of settlement.
Common Questions
Trade finance is a suite of financial products that enable businesses to trade internationally without the cash flow constraints of pre-payment to suppliers. In a typical import transaction, the finance provider pays your overseas supplier on your behalf when goods are shipped. You receive the goods, sell them to your customers, and repay the trade finance facility when your customers pay — typically within 120–150 days after shipment. The facility effectively funds the gap between supplier payment and customer receipt. Most lenders require a minimum of 2 years of profitable operation. Pre-approval typically takes 24–72 hours; full facility settlement takes 7–10 days.
A letter of credit (LC) is a formal guarantee issued by a bank or financial institution on your behalf, confirming to your overseas supplier that payment will be made when the goods are shipped and specified documents are presented. LCs are used when suppliers — particularly in Asia, the Middle East, or emerging markets — require institutional payment certainty before manufacturing or shipping. They reduce supplier risk and often unlock better pricing or preferential production slots.
Purchase order (PO) finance allows you to access funding against confirmed purchase orders from your customers — even before the goods have been sourced or shipped. The lender advances funds to pay your supplier based on the confirmed order, and you repay from the proceeds when your customer pays the invoice. PO finance is particularly useful for businesses that receive large orders they don't have sufficient working capital to fulfil without assistance.
Trade finance is typically priced as a percentage of the invoice or trade value — commonly expressed as a monthly or per-transaction rate rather than an annual rate. Pricing depends on the facility size, trade volumes, debtor quality, product type, and whether security is offered. We'll provide a detailed cost comparison across lenders before you commit, ensuring you understand the total cost of the facility against the value it unlocks for your trading activity.
Most tangible goods suitable for domestic Australian commercial sale are eligible — including consumer products, industrial components, raw materials, food and beverage products, electronics, textiles, building materials, and specialised equipment. Restricted goods, perishables with very short shelf life, and goods with highly illiquid secondary markets may face lender restrictions. We'll advise on any product-specific constraints relevant to your trade.
Yes — and this combination is highly effective. Trade finance covers the supply chain from supplier payment to customer delivery; invoice finance then converts those customer invoices into immediate working capital. Together, they create a seamless cash flow structure: you're funded from supplier order through to customer payment collection, with capital recycling continuously through the trade cycle. We'll design the combined structure to maximise efficiency and minimise total facility cost.
Ready to Move?
Stop letting working capital constrain your trade — let's build a facility that scales with your order book.