- 04 Jun
Berkeley Trade Finance Has Launched.
Berkeley Trade Finance has launched, according to a report in Business Money 03/06/19. According to the article, they have already provided funding to "a number of clients".
Berkeley Trade Finance Launches
Berkeley Trade Finance Limited (company registration number 11872190) was registered at Companies House on the 09/03/19 and apparently started trading in May 2019. Co-founders Steven Pleace and Soheill Sarkoob are reportedly able to provide up to £1M to businesses from startup onwards.
In addition to a variety of trade finance facilities, to pay suppliers either in the UK or abroad, the company also offers selective invoice finance (for UK or export sales). There are also a number of other peripheral services to support importers.
Interesting to see a new entrant offering a very similar product set to that offered by Working Capital Partners, the single invoice and import funder that entered Administration last month. It is also positive to see another trade finance option available, a space that it served by only a few providers in the UK.
The product label "trade finance" has always included a number of different flavours of funding facility, of which Berkeley are reported to offer a broad selection.
The core trade finance (TF) offering is normally a funding line used to pay a supplier either in the UK, or overseas, whilst granting a period of credit for the buyer to repay the facility. However, this is often connected to an invoice finance facility (IF), such that they funding from the IF repays the TF, once the invoices for the goods are raised to the end debtors. In turn, the IF is repaid when the debtors settle their invoices. This can allow importers to access extended periods of funding, and to pay other costs in addition to the purchase of the product e.g. freight charges, VAT and duty.