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Credit Finance
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Letters of Credit

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Incoterms 2000

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Letters Of Credit Funding
Features & Benefits
  • Gives Exporters guaranteed payment without affecting credit limits
  • Gives Importers more control over the terms of the trade - especially valuable with new suppliers
  • Enhances competitive position
  • Known payment date, currency and revenue, helps cash low management
  • Could be used to help raise finance through discounting
  • May enable Importers to negotiate longer credit periods and attribute costs to the Exporter.
 
 
   

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