Grow with guaranteed cash flow

Export Factoring

What is Export Factoring?

Our solutions unlock capital for your business, so you can be the company you want to be.

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Supply Chain Finance

What is Supply Chain Finance?

We optimize cash flow for the entire supply chain to perform its best.

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Who we are

Tradewind

We provide our clients with financing solutions that make it easier to do business. Serving clients primarily small and medium in size across a variety of product and service categories, we make it our mission to improve cash flow.

Our financing is scalable and can grow with your company.

Business growth is a top priority of our clients. We are equipped to increase funding as your sales expand.

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Worldwide, 72.5% of payments are late.

0 %

We purchase your company’s invoices and advance up to 95% of the invoice amount to you upfront.

Average days until receipt of payment.

0

Rather than having to wait on payment from buyers, your business can stay flush with capital.

Of SMEs fail due to poor cash flow management.

0 %

Our solutions bridge the cash flow gap, allowing you to support long payment terms with your buyers and pay suppliers on-time.

No late payments

You get paid within 24-48 hours of invoice submission.

Dynamic financing

Our services are not loans so, for many companies, our financing doesn’t show up on their balance sheet as debt.

Fast and easy set-up

Our local experts comply with the regulations of each country we operate in and offer appropriate services such as currency regulation control.

Assisted financing

You have a streamlined workflow as we perform collections, dunning and bookkeeping on your behalf.

solves short-term cash flow issues.

We can solve short-term cash flow issues by purchasing your company’s invoices in exchange for an advance of up to 95% of the total invoice value. We then collect the full amount from your customer upon invoice maturity. Once the invoice is paid in full, we send you the remaining balance.

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supports facilities based on payables, receivables, and inventory.

In addition to factoring your export account receivables, we can also finance your full supply chain. Our global supply chain finance programs can support facilities based on payables, receivables, and inventory. Using purchase order funding, inventory lending, letters of credit, and structured guarantees, our financing helps align the needs of both buyers and sellers.

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Centralized Payment Processing

Paperwork is simplified as payment is made to one entity while dealing with multiple suppliers.

Funding to foreign suppliers

We provide funding to foreign suppliers based on your creditworthiness and financial strength.

Flexible settlement

Your suppliers receive early payment at a lower cost as you can leverage your off-balance sheet credit.

Broader range of suppliers

You can work with smaller suppliers and contract directly with them; your available range of suppliers is broader.

Our clients

Special advantages for each type of company

High growth

Frequently asked questions

What does factoring with Tradewind cost?

The cost of factoring consists of a factoring fee, a pre-financing interest rate and a limit checking fee. The factoring fee is charged on gross sales and ranges from 0.3% to 0.75%, per month, depending on factoring sales, payment term and debtor portfolio.

What requirements must my company meet?

The 4 most important requirements for factoring are:

Does Tradewind cover the risk of non-payment for my invoices?

In so-called genuine factoring (or also known as full-service factoring), the receivables are transferred to Tradewind and Tradewind assumes the full default risk (del credere risk). The supplier is only liable for the legal status of the transferred receivables.

What changes for my customers when I use factoring?

Basically, nothing changes for your customer. You merely inform your customer of the new account details, so the only thing that changes is the bank account to which they have to pay. Your customers will continue to discuss questions about goods and services with you.

Who takes over the dunning process?

Tradewind can offer professional receivables management with the highest level of reliability through its global network. Open invoices are efficiently realized from the written reminder to the telephone call with the debtors.

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How quickly will I receive a payout?

We usually pay the agreed rate (usually 80-90%) within 24-48 hours, minus the factoring fee. The remaining amount (security retention of 10-20%) is paid out after the debtor has cleared the payment.

What terms of payment can I agree with my customers?

We can purchase accounts receivable for up to 120 days. In exceptional cases also up to 180 days.

How does factoring affect the balance sheet?

Common practice in HGB accounting is that sold receivables no longer appear on the company’s balance sheet. The sale of receivables to Tradewind initially represents an exchange of assets (receivables for cash); the balance sheet total is reduced as a result of the use of funds on the liabilities side. Since the reported equity remains constant, but the balance sheet total has decreased, the equity ratio increases. The equity ratio, in turn, is a key component in the balance sheet rating.

What documents do I need?

For a first assessment we need: Preliminary inquiry using an analysis sheet; Credit documents: Annual financial statements for the last two financial years; Accounts receivable/creditor documentation; Open list of accounts receivable/creditors, list of totals and balances.

Is the use of factoring an indication of economically weaker companies?

On the contrary: factoring is a kind of seal of approval. Companies that give their claims to Tradewind have good credit ratings. Only companies with a good credit rating can use factoring at all.

Is factoring better than a bank loan?

In summary, factoring is an uncomplicated and flexible addition to loans and company loans. It should therefore always be noted that factoring is not sole financing, but always additional financing.

Can I also use factoring for service invoices?

In short: Yes, as long as the service has been fully rendered.

When does collection against my customers begin?

As a rule, the first reminder is sent ten days after your invoice is due. After the third reminder, the open claim will be handed over for collection in consultation with you.

Will I be informed of reminders from my customers?

Yes, we will send you a copy of the reminder if you wish. You can also see the reminder status on our online portal.

How long will it take before I can start factoring?

That depends on the complexity. You should plan a period of 2-4 weeks.

Do all customer invoices have to be submitted to Tradewind?

You only have to sell all receivables to the pre-matched customers or groups of customers to Tradewind.

How often can I submit invoices?

Daily!

Is there a minimum term for a factoring contract?

Factoring contracts are usually agreed for a period of two years and can be terminated with three months’ notice before the end of the contract. We would be happy to talk about your individual runtime requirements in a personal meeting.

How do I keep track of my outstanding balances?

We will give you your personal access to our online portal, where you have all the data relevant to factoring, such as open items, incoming payments and limits, updated on a daily basis.

Do I have a personal contact at Tradewind?

Yes! From the first information meeting until after the conclusion of the contract, you have a personal contact at Tradewind. After signing the contract, you will be assigned a customer advisor who will provide you with help and advice if you have any questions about day-to-day business.

• The invoiced service or delivery of goods must be provided free of objection and in full
• The receivables must not be assigned or encumbered with third-party rights
• Receivables terms between 14 and 120 days
• Positive credit assessment of the factoring company and its debtors

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Find the right trade finance solution that is tailored to your company’s needs.