Trade Finance

Highlights

  • Humboldt has a partnership with Avance International Capital focused on expanding the trade finance practice of both companies. The synergistic relationship between these two firms helps leverage the extensive experience and network both companies have developed in LATAM.

  • Through the extensive relationships of both companies with local and international banks, developmental agencies, and other leading financial institutions, Humboldt provides a completely competitive approach to present the most favorable terms for each client’s business, project or transaction.

  • By employing their knowledge and transactional experience in trade finance, the executive team offers in-depth analysis, individualized guidance and creative structuring needed to complete international trade successfully and efficiently. During the process, Humboldt will continue to create value for customers through decisive consulting and superior execution strategies.

  • Humboldt’s executives have developed relationships and constantly cover all major and key isolated markets, mostly in the Americas. Such presence allows the Group to offer cross-country alternatives previously available only to larger corporations.

  • Using its proprietary database, the company consistently monitors the lending criteria of some of the more notable and active capital providers around the world, maintaining an active pool of interested parties prior to taking on any new assignment.

Scope of Solutions

Captura de pantalla 2015-09-14 a las 10.38.34

Structure I.
Accounts Receivable Financing

Captura de pantalla 2015-09-14 a las 10.42.05

  • Under accounts receivable financing, a company obtains a short-term credit facility using its accounts receivables as collateral. The business remains responsible for collecting on its accounts receivables.

  • There are a number of local and regional institutions which offer A/R financing. Careful analysis of the trade risks will be required and newer operations will  be charged a high effective coupon.

  • Eliminating collection risks and offers extended terms to clients.

Structure II.
Asset Based Financing

Captura de pantalla 2015-09-14 a las 10.43.08

 

  • Asset-based lending is a specialized type of financing that provides the borrower with a credit facility collateralized by specific assets of the borrower’s business, typically inventory and account receivables. The lender in an asset-based transaction looks primarily to the assets of the borrower, rather than the borrower’s revenues and profits in determining how much to lend.