What Kind of Business Come to Capital for TRADE FINANCING?

Most of our clients are small or mid-sized businesses that discover profitable sales opportunities but realize their access to cash is not sufficient to complete the transactions.

Are There Minimum or Maximum Transaction Sizes?

Yes. It is not economically feasible to finance a single $10,000 transaction unless we are financing additional transactions with a client and the total volume outstanding ranges from $50,000 up.

Would a Traditional Bank Loan Make More Sense?

Maybe. Banks and other regulated financial institutions are required to evaluate loan requests using stringent requirements that are based on number of years the company has been in business, profitability, and value of the owners' equity. Companies that are "pre-bankable," in a start-up phase, in an accelerated-growth phase, or well established but lack significant financial resources may not qualify. Companies that don't qualify for bank financing may qualify at Capital because we evaluate funding requests from a trading perspective. Our decisions are made after carefully analyzing the viability of each separate transaction and if all the pieces fit, we can approve the request.

Who Controls The Transactions?

Capital works closely with each client to produce a successful and profitable transaction. Each party has specific duties and responsibilities related to the completion of the acquisition and sale of the product. Our financial strength and technical knowledge is considered a valuable resource by our clients and plays an important role in the way they operate their businesses.

How Are Fees Determined?

Fees vary from client to client and transaction to transaction; no two are alike. We review the client's background and experience along with that of the supplier and the customers, the shipping terms, and the anticipated length of time the transaction and then determine the fee. We can, however, provide a client with a preliminary quote prior to beginning any application process.

How Quickly Can You Make A Funding Commitment?

Again, this varies from client to client. It depends on how quickly we are able to gather or access the information we need to make a decision. In most cases, the client controls the availability of most of this information and, therefore, directly influences how quickly a commitment is made and funding arranged.