Pre Export Finance

To provide pre-production finance to exporters by using sales contracts as repayment source

Pre Export Finance
  1. Your company (Supplier) enters into a sales / export contract with Buyer (or off-taker)
  2. Your company enters into a Pre-export Financing agreement with SMBC and assigns rights of the future sales proceed / collateral of inventory to SMBC. The perfection procedure on this assignment will be completed as per relevant regulations.
  3. SMBC makes loan payment to Supplier drawn against pre-export finance facility.
  4. Buyer pays to SMBC into an escrow account on maturity date
  • Your company’s liquidity and credit using Buyer/Off-take credit can be enhanced.
  • Can be converted to Account Receivable Purchase (ARP) depending on prevalent risks