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What is Printing Finance?

Confidence in the print industry is rising as the slow but steady global economic recovery from 2008-09 firms begin to shape their strategies to best exploit technological innovation in digital communications. Whether your business is considering expanding into new markets and product ranges, or wanting to grow its order book with existing customers, Trade Finance Global can help by providing a range of financing tools to support this profitable growth.

Printing Trade Finance

Although total global print volumes are forecast to decline marginally by 2022, overall value of trade in those volumes of print products is forecasted to increase at 0.8% year on year, emphasising that profitable growth remains in the market. Growth market opportunities are emerging, including the significant increase in commercial demand for packaging print and for products produced by digital print systems. Moreover, print business leaders across Europe, American and Asian markets are all confident about their prospects for growth in todays globalised market.

Where print service providers can provide high volume, high value work to customers around the world in a timely and efficient manner, opportunities remain to invest and grow. However, a variety of issues can hold printers back from accessing the finance they need to invest in profitable ventures, from stringent capital requirements at major banks to uncertainty about transacting with new customers in foreign legal jurisdictions. To support firms with these issues, Trade Finance Global offers bespoke financial packages specifically designed for businesses which are engaged in international trade. Financed on the basis of companies’ profitable accounts receivable and sourced from across private markets to secure the best deal on offer, TFG can offer the finance firms need to grow their revenues with the speed and flexibility print producers require to meet their buyer’s strict terms.

Products financed

Key printing products appropriate for trade finance include:

• Printed books
• Printed newspapers, journals and periodicals
• Printed pictures, photographs and postcards
• Printed cards
• Maps, manuscripts and sheet music
• Calendars

Printing Finance Requirements

•  Your business has a proven trading history in the printing sector
•  Your business is creditworthy
•  Your request for finance is made in support of a profitable international transaction

How the transaction works

Trading print products across international borders can create lengthy trade gaps for firms whilst the printed product has to be physically transported to the buyer. To resolve this issue, Trade Finance Global can assess a firm’s business plan for a profitable venture and agree to provide trade finance to them. After securing a source of finance and agreeing repayment terms on the loan, TFG will then provide a credit undertaking to the selling firm in the transaction to guarantee them prompt payment. For buyers, the flexible repayment terms offered on trade finance products allow them to book profits made on their printed goods receivable via sale to business or customers before repayments are due. This can make trade finance viable for firms who otherwise would never consider making business investments backed by commercial finance, as repayments due before the receivable was sold would deprive the business of much needed cash flow, erode profitability and increase financial risk.

What are the SIC Codes for the Printing Industry?

Speak to our trade finance team