Mark Abrams

Mark heads up the trade finance offering at TFG where his team focuses on bringing in alternative structured finance to international trading companies.

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Contents

Structured terms of payment is a solution for companies exporting high value products and will allow extended terms for payment.

How can structured terms help companies grow?

Financing focuses on the commercial terms of customers and supply chain, which involves large strategic relationships and usually be within the commodities industry. This includes borrowing base financing, tolling, pre-export finance and reserve based lending.

Repayment of these facilities is done through the sale/export proceeds of the commodity and a facility can be used to finance short term working capital or long term capital expenditure up to five years. These types of facilities can improve the credit rating of the facility beyond that held by the borrower, mitigate various risk (cross border and country) and produce a transaction where the whole proposition is more resilient than the elements involved. This can provide strategic procurement, funding diversification, improved access to finance and better management of transport costs and delivery management.

Syndicated Trade Loans

Syndicated loans are structured to finance cross-border purchases and sales of products. They are provided by a group of lenders to a borrower. They are administered by one or a number of financial institutions that will be known as arrangers as they will have the sharing of credit risk between a number of financial institutions and are a significant source of international financing.

Speak to our trade finance team