- Client: London-based trading and import/export business
- Loan Type: Combined invoice finance and trade finance facilities
- Outcome: Reduced finance costs and enhanced working capital capacity
Enness Global was approached by a London-based trading business engaged in import and export activities. The company had experienced significant growth in demand but was increasingly constrained by the limits of its existing banking facilities. While an invoice finance arrangement was already in place, the client’s bank was unwilling to provide additional trade finance, restricting the company’s ability to take advantage of new commercial opportunities.
The business required additional working capital to purchase inventory, fulfil larger orders and negotiate more favourable terms with suppliers. Without access to sufficient trade finance, the company risked being unable to pursue new supplier contracts or benefit from the cost efficiencies associated with larger purchasing volumes.
The existing lender had limited appetite to increase its exposure despite the company’s established trading record and expanding customer base. The challenge was therefore to identify a funding partner capable of providing both invoice and trade finance while improving the overall efficiency of the existing borrowing structure.
Enness Global leveraged its network of specialist commercial lenders to arrange a combined funding solution incorporating a more competitive invoice finance facility alongside a dedicated trade finance line. This approach provided the business with greater access to working capital while also reducing its overall finance costs.
The additional liquidity enabled the company to purchase increased volumes of stock, fulfil larger customer orders and strengthen relationships with international suppliers. The structure also provided greater flexibility around the timing of customer receipts and supplier payments, helping the business manage its working capital more effectively as turnover continued to grow.
By restructuring the existing finance and introducing additional trade funding, Enness Global provided the client with a more efficient overall borrowing structure aligned with its growth trajectory. The solution allowed the business to pursue new commercial opportunities without being constrained by the limitations of its previous banking arrangements.
This case demonstrates how combined invoice and trade finance can provide an effective working capital solution for growing import and export businesses. By considering the relationship between receivables, inventory purchases, supplier commitments and future demand, specialist funding can provide businesses with greater flexibility to scale while managing cash flow efficiently.
Disclaimer:
This case study is for illustrative purposes only and does not constitute financial, legal, tax or investment advice. Finance is subject to status, underwriting, affordability, business performance and lender criteria. Terms and outcomes will vary depending on individual circumstances and are not guaranteed.
Risk Warning:
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