An instrument allowing you to pay for goods/services/expenses with the Bank’s funds and only pay it back at a later date
- Imagine you’re a glove exporter and you required high cash flow to fulfil your business needs
- Once the gloves have been shipped, you may convert your sales to cash immediately by presenting the sales invoice to the bank
- With the fund available to you before your buyer makes the payment, you have additional liquidity to expand your business further
- Can finance either Purchase or Sales of trade related goods and services
- Drawn in Ringgit Malaysia or any major Foreign Currencies
- Scope of financing:
- Pre-shipment financing against LC or export orders
- Trade receivables
- Purchase of Capital goods
- Services rendered
- Financing of invisibles (freight charges, insurance, warehousing, utilities, salaries etc.)
- Margin of financing is up to 100% (at bank’s discretion)