Export Finance from Synergy in Trade

Exporters looking for funding come to us for several reasons:

  • They have an opportunity to fulfil an order which is of a larger value than normal
  • The overseas buyer will not pay sufficient deposits, or indeed any funds in advance yet are willing to pay on shipment against a letter of credit
  • There may be a need to pay suppliers for components in advance or before goods can be shipped or they may be having the entire product manufactured elsewhere and need funds to get the project mobilised
  • Unlike a bank we can respond quickly to your request for finance

Because Synergy are experts at turning Letters of Credit into cash, the Letter of Credit becomes a form of security to lend against. Banks will not do this. Of course, we are interested in our client’s balance sheet for profitability, and we take a view on the risk of non-performance by our client. However, we derive a much greater amount of comfort from the Letter of Credit than a bank would.

The sooner we become involved in export contracts the better. We can spot potential pitfalls and suggest corrections to the terms of trade if we are in time. After that we can provide an outline of the letter of credit that you should ask for.

Trading on letter of credit terms gives you security of payment. Synergy will provide the finance required to pay your suppliers against the comfort of the letter of credit.

Synergy in Trade’s Export Letter of Credit Service

It is reported that more than 75% of submissions to banks by exporters against letters of credit are refused payment on first presentation.

We can make sure that you get paid 100% of the time without delay. We can:

  • Examine your contract and/or order
  • Provide you with a template of the letter of credit to send to your buyer
  • Thoroughly vet a draft of the LC which the buyer’s bank proposes to issue
  • Check & agree the terms and conditions of the letter of credit once issued
  • Produce for you, on your letterhead all the shipping documents, working with the freight forwarder and any other third parties
  • Present to the UK advising bank for payment

We have an enviable reputation in the marketplace for our expertise in producing shipping documents under letters of credit, which is also recognised by many of the major banks. Hence many of the introductions we get come from banks! All the exporter has to do is ship on time and we do the rest. In terms of getting paid, leave it with us.

That is because we have never failed.

Not once.

Our documents submitted to banks on behalf of clients never contain unforeseen “discrepancies”. Everything is checked by at least two pairs of expert eyes in our team.

If you want to be sure of payment on letter of credit terms, contact us as soon as you know that payment will be by this means. We can discuss with you the practicalities of logistics, estimate the amount of time to prepare and ship the goods and draw up a template for a letter of credit that you can send to your buyer.

“I would recommend Synergy to anyone looking for support with scaling and funding their business.”