We provide transactional and structured short-term financing for trading companies.
INVESTMENT BANKING
Trade Finance
By using our trade solutions, importers and exporters can improve their cash flow and operational efficiency and reduce the risks of doing business internationally. Trade Finance is the financing of goods or services in a trade or transaction, from a supplier through to the end buyer, which includes a variety of financial instruments that can be used to fit their trade and financing needs.
Our clients benefit from an integrated and one-stop-shop to facilitate trade and commodity finance solutions, experience by specialist personnel in handling transactions dealing with several companies dedicated to trading business internationally, and a good understanding of emerging markets.
Our Approach
Supply Chain Finance
Buyers and suppliers in a supply chain have competing financial interests. The buyer attempts to pay as late as possible, while the supplier looks to be paid as early as possible. Our Supply Chain finance has emerged to bridge these conflicting interests, providing a range of financing and risk mitigation solutions to optimize working capital and cash flow in domestic and international supply chains.
The Swiss Capital solutions cover the entire business cycle from pre-shipment, post-shipment, confirmed payable to distributors, and receivables financing.
Our structured solutions work best when the buyer has a better credit rating than the seller and can consequently source capital at a lower cost. This advantage lets buyers negotiate better terms from the seller, such as extended payment schedules. Meanwhile, the seller can quickly unload its products to receive immediate payment.
Our innovative supply chain finance solutions strengthen relationships and requirements of suppliers, turning their receivables into cash faster-allowing them access to the financing they need to keep their day-to-day operations running smoothly
Import-Export Finance
Swiss Capital originates and provides mid-sized and large exporters and manufacturers with the most creative export financing solutions. Our worldwide market coverage supports international export sales growth regardless of the business, industry, or geographic location.
Our export trade intelligence programs allow our clients to increase export sales volume and profitability while receiving cash in advance of up to 90 % of each invoice as soon as the products have been shipped. In addition, our export trade solutions include comprehensive credit risk coverage to minimize the risk that an exporter assumes with foreign buyers and distributors. In contrast, foreign buyers/customers increase the purchasing power.
Our comprehensive export-import structure may include the participation of ECAs, private credit insurance, and L/C issuers to extend the most convenient financing solutions to compete with global competitors that are willing to extend financing to potential customers.
Our exporter and manufacturing clients can also offer and sell to their foreign buyers on open account terms, avoiding the requirement of payment in cash or with letters of credit and cumbersome documentation.
Export Credit Agencies
Export Credit Agencies (ECAs) act as intermediaries between a national government and a domestic exporter to finance its international export activities. For example, an ECA might provide credit insurance, financial guarantees, or both for companies to mitigate the uncertainties of exporting to other countries or international project finance. Some ECAs operate from government departments, while others act as private companies.
The Swiss Capital’s trade finance team combines its experience and innovative approach to delivering tailored solutions for our clients. This experience helps us structure transactions to finance short- and medium-term facilities for single and multi-buyer transactions to support exports of capital goods, products, and services from Canada, Europe, Japan, and some Asian and Latin American countries.
The products should be manufactured in the countries where the products are being imported and have not less than 51 % of product contents of country origin. We have experience originating and structuring these facilities for more than 25 years, and our clients enjoy our personalized professional services from start to finish.
Eximbank
The Export-Import Bank of the U.S. (EXIM) is the official export credit agency of the U.S. that assists in financing exports of U.S. goods and services to international markets. Our expert and experienced team have more than 20 years of structuring and closing successful short-and MT EXIM transactions for single and multi-buyer facilities worldwide.
EXIM assumes the political or commercial country risk that private businesses or lenders are unable or unwilling to accept. Avoiding the use of letters of credit, U.S. exporters increase their sales to foreign markets by offering open account terms at interest rates that are much more competitive than the local foreign markets.
EXIM offers various trade finance solutions, including guarantees and insurance policies to cover foreign buyers’ defaults of commercial or political risk, working capital, and letters of credit guarantees extended by foreign banks and provide loans to potential export purchasers. It also offers domestic working capital for businesses to take out loans backed by foreign receivables or foreign assets.
The capital equipment, spare parts, bulk agricultural products, raw materials, consumer durables, and services should be manufactured in the U.S. or have no less than 51% of U.S product content. Terms range from 180 days to 7 years.