Dealing with International Goods

In this increasingly interconnected global “e-conomy” we live in, ever more small businesses are involved in international trade and commerce. Either they are selling their goods through their website to international customers or they are sourcing products overseas and shipping them here for resale. The latter scenario is one where factoring may come into play too.

A problem these small businesses have is that, even if they have a large order for goods they are bringing in from, say, China, selling that receivable (or even getting a loan against it) is often next to impossible before the goods are delivered to their domestic customer. Domestic banks are reluctant to lend on goods in transit, as are factoring companies. That leaves the small businesses with valuable inventory and accounts receivable against which they cannot borrow critical capital. What do you do?

Well, where there is a need, there is usually an innovative company that will look to fill that market gap. That is the case here. If you routinely deal with international shipments, orders, and invoices, you should know about a program offered by UPS Capital (a division of United Parcel Service). This program offers a unique solution that enables businesses to finance in-transit shipments of inventories sourced from international suppliers, as well as inventory housed overseas. UPS Capital will lend on the value of in-transit and warehoused inventory if UPS manages the in-transit shipments ...

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