Trade Finance for UK Businesses
Bridge the gap between purchasing and payment. Letters of credit, purchase order finance, supply chain finance, and import/export funding from 50+ specialist lenders.
50+
Trade Finance Lenders
£25k+
Minimum Facility
24-72hrs
Decision Time
6
Finance Products
What Is It?
Bridging the Gap Between Purchase and Payment
Trade finance helps businesses manage the cash flow gap that exists when buying goods — whether domestically or internationally — before they can be sold and payment received.
For importers, this might mean funding goods from overseas suppliers while waiting for UK customers to pay. For exporters, it means funding production or shipping costs before an overseas buyer settles their invoice.
AssetFund works with specialist trade finance lenders who understand the complexities of international and domestic supply chains, offering products from simple import loans to sophisticated letters of credit and supply chain finance.
Preserve working capital
Fund purchases without depleting reserves
Reduce counterparty risk
Protect both buyer and seller in transactions
Extend supplier terms
Negotiate better prices with upfront payment
Win more business
Offer better payment terms to your customers
Grow internationally
Fund new export markets without upfront risk
Support cash flow
Match funding to your trade cycle, not a fixed term
Products
Types of Trade Finance
We arrange the full range of trade finance products for UK businesses
Letters of Credit
Bank-issued guarantees that protect importers and exporters in international trade. The seller is assured of payment; the buyer is assured goods meet agreed specifications.
Best for
International trade, high-value goods, new supplier relationships
Purchase Order Finance
Fund supplier payments before your customer pays. Ideal when you have a confirmed order but need capital to fulfil it. Bridge the gap from order to delivery.
Best for
Growing businesses with confirmed orders, seasonal demand spikes
Supply Chain Finance
Reverse factoring that lets suppliers receive early payment while buyers keep their terms. Strengthen your supply chain without using up your own credit lines.
Best for
Buyers with strong credit who want to support supplier cash flow
Import Finance
Fund the purchase of imported goods, giving you time to sell and collect before repaying the facility. Bridge the gap between landing goods and receiving customer payment.
Best for
UK importers, distributors, and retailers sourcing from overseas
Documentary Collections
Lower-cost alternative to letters of credit for established trading relationships. Your bank handles document exchange to ensure payment before goods are released.
Best for
Established trade relationships, regular shipments, cost-sensitive transactions
Export Finance
Fund production and shipment of goods before receiving payment from overseas buyers. Supports extended payment terms to win more international business.
Best for
UK exporters, manufacturers, businesses developing new export markets
Process
How Trade Finance Works
From enquiry to funded trade in four steps
Tell Us What You Need
Share details about your trade — what you're buying or selling, the amounts involved, and your timeline. Our team will quickly identify the right product.
We Structure Your Deal
We approach our panel of specialist trade finance lenders with your requirements, securing competitive terms tailored to your transaction and trading profile.
Fast Decision
Most trade finance applications receive a decision within 24-72 hours. Complex international transactions may take longer, but we keep you informed throughout.
Fund Your Trade
Once approved, funds or instruments (like LCs) are issued. You fulfil your order, and the facility is repaid when your customer pays — closing the loop.
FAQs
Trade Finance Questions Answered
Trade finance helps businesses manage the cash flow gap between purchasing goods and receiving payment. It covers a range of products including letters of credit, supply chain finance, purchase order finance, and import/export loans. It's used by importers, exporters, distributors, and manufacturers who trade internationally or domestically on payment terms.
Trade finance is designed for businesses that buy and sell goods — particularly those with extended payment cycles. Common users include importers bringing goods from overseas, manufacturers buying raw materials on 60-90 day terms, retailers purchasing stock ahead of peak trading periods, and exporters who need to fund production before receiving payment from overseas buyers.
A letter of credit (LC) is a guarantee from a bank that a seller will receive payment from a buyer, provided that specific conditions are met. It's widely used in international trade to reduce risk for both parties. If you're importing goods, your bank issues the LC to the seller's bank, guaranteeing payment once the goods are shipped and documents are in order. AssetFund can connect you with lenders who issue competitive LCs.
Supply chain finance (also called reverse factoring) allows suppliers to receive early payment on their invoices while buyers retain their normal payment terms. A finance provider pays the supplier early at a small discount, then collects the full amount from the buyer on the original due date. This improves cash flow throughout the supply chain without disrupting buyer-supplier relationships.
Trade finance is available from as little as £25,000 up to £10 million or more for larger transactions. The amount depends on the value of your trade, your business credit profile, and the specific product you need. We work with lenders across the full range to match your requirements.
Timing depends on the product. Import loans and purchase order finance can often be arranged in 5-10 working days for established businesses. Letters of credit and supply chain finance may take 2-4 weeks for full setup. For urgent requirements, speak to our team who can identify the fastest route to funding for your specific situation.
No. While international trade finance is common, similar products are available for domestic supply chains. Purchase order finance, stock finance, and supply chain finance can all be used by businesses trading purely within the UK. If you have a gap between paying suppliers and receiving customer payment, there's likely a trade finance product to help.
Invoice finance (factoring/discounting) unlocks cash from invoices you've already issued — i.e., goods already delivered. Trade finance funds the purchase of goods before they've been sold or delivered. Many businesses use both: trade finance to fund purchasing, and invoice finance to accelerate payment collection. AssetFund can arrange both, often from the same lender.
Related Finance Solutions
Many businesses use trade finance alongside these products
Ready to Finance Your Next Trade?
Tell us about your trade requirements and we'll connect you with the right lender — fast, free, and with no obligation.