OUR TRADE FINANCE SOLUTIONSInventory Financing

Our structured inventory financing is designed to fit specific needs of businesses dealing in various commodities.

In the commodity industry, efficient management of inventory is crucial for businesses to thrive. Wherever the value lies in physical goods stored in warehouses, inventory financing emerges as a demanded financial tool.

We are here to guide you across intricacies of commodity inventory financing and find a suitable solution to make it as a game-changer for your business.

INVENTORY FINANCE SOLUTIONS

How goods in stock
can benefit your business

Inventory financing, also known as a warehouse or stock financing, is a funding solution where businesses use their goods as a collateral to secure a loan or working capital provided. This means that the goods stored in warehouses – be it raw materials, finished products, or any tradable items – serve as the basis for obtaining working capital.

This financing type provides businesses, particularly SMEs, with the flexibility to unlock the value of their inventory without the need to sell the goods outright.

At Maxwer, we understand the challenges and opportunities for small and medium enterprises in the commodity industry. With flexible terms, risk mitigation strategies, and a commitment to empowering growth, we provide the financial tools necessary for companies to thrive in this competitive landscape.

Key benefits of Inventory Financing for businesses

Liquidity Injection: access to the working capital helps businesses seize market opportunities, negotiate best prices, and address unforeseen challenges without disrupting operations and supply chain.
Risk Diversification: by using an inventory as collateral, businesses can diversify their risk exposure, ensuring that their financial health is not solely dependent on the performance of a single commodity.
Enhanced Cash Flow: inventory financing facilitates smoother cash flow management by converting physical assets into liquid resources. This ensures that businesses can meet their financial obligations and pursue growth initiatives.
Competitive Advantage: companies utilizing inventory financing gain a competitive edge by being able to timely respond to market trends and volatility, outpacing competitors with constrained financial flexibility.

Financial tools are commonly used for inventory trade finance

Letter of Credit: being a cornerstone in commodity trading, LC provides a secure payment mechanism for both buyers and sellers ensuring that payments are made upon the fulfillment of agreed-upon conditions, mitigating risks associated with uncertainties in the supply chain.
Inventory Collaterals: while using an inventory as collateral this financing tool is invaluable for maintaining a smooth cash flow, enabling businesses to led market opportunities, and navigate the challenges associated with holding substantial inventory.
Cash advance and open account: by using financed goods as collateral businesses access working capital to expand business. The goods are released upon full payment back in accordance with contract terms.
Warehouse Receipt Financing: by providing a secure claim on stored goods, businesses can access working capital to meet immediate financial needs without disrupting their inventory holdings.

Explore how does it work and where to start

HIGHLIGHTS OF OUR INVENTORY FINANCE SOLUTIONS

Working Capital Boost

Inventory financing injects desired working capital into small and medium size businesses, allowing them to maintain and improve daily operations, seize growth opportunities, and navigate market fluctuations

Collateral in place

All commodities have intrinsic value, making them sufficient collateral covering the financed amount. We evaluate the quality, quantity, and market demand for the stored goods to assess the reasonable amount of trade financing

Risk Mitigation

For us, the tangible nature of commodities serves as a reliable security against default. In the event of non-repayment, we can liquidate the pledged inventory to recover the outstanding amount, using our trading and logistic capabilities.

Flexibility

Many commodities experience seasonal demand fluctuations. Inventory financing provides businesses with the flexibility to secure funding during peak seasons and repay when demand subsides, aligning financial obligations with revenue cycles.

Tailor made approach

We tailor terms of inventory financing to accommodate the unique needs of the commodities market. This includes factors like storage conditions, financing period and market volatility

Profound market intelligence

We deliver outstanding due diligence and professional market analytics for any goods financed including but not limited to evaluating market price expectations, volatility, demand both locally and globally.

MAXWER GROUP AG

Poststrasse 6, 6300 Zug,
Switzerland

+41 41 511 33 80

info@maxwergroup.com

maxwergroup.com

OUR LOCATIONSWhere to find us?

MAXWER MIDDLE EAST

Office 1702-1703, Blue Bay Tower,
Dubai, UAE

+971 43 415 666

rf@maxwermei.com

maxwergroup.com

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