It allows companies to have access to working capital at any point in the supply chain to help support and grow their business. It works by providing the company with a pre-approved revolving facility that can be used to finance trade with multiple suppliers and it gives the company up to 120 days to settle the balance. All payments and administration are paperless and transparent via a secure online platform.
There are a number of key advantages for toy suppliers in the TradeRiver business model: orders are funded pre-shipment and at the point of despatch, not just when the goods arrive in the UK. Furthermore, orders can be speculative; given the number of retailers which offer estimates rather than fully confirmed orders at an early stage, this is a significant plus point.
TradeRiver’s Alex Hambrook commented: “We’re looking to work with mid-market toy companies, with a turnover in the range of £1m – £50m, which have an existing relationship with the factory or vendor they’re looking to order from. We believe that the facility we offer will help them to become more profitable. It means they’ll be able to commit to buying earlier, helping them to secure stock and their share of production capacity.
We’re effectively making them a cash buyer, paying the factory in their own currency, so they’re in a strong position to negotiate the best possible terms with the factory, which will hopefully include a generous discount. On average, our clients negotiate an early payment discount of 3% from their manufacturers. In effect, TradeRiver’s offer is like a credit card for an importer: it puts them in complete control of the transaction, helping to make the entire process more efficient.”
For further details of the service which TradeRiver Finance provides to toy importers and distributors, contact Alex Hambrook, email@example.com or call 07850 179 653. More information can also be found at www.traderiverfinance.com.