Domestic Supply
EPASS Capital is a member of the EPASS International group of companies. EPASS Capital's purchase contract funding product is used to finance the purchase or manufacture of specific goods that have been pre-sold by small and middle-market businesses to creditworthy corporate customers. Funds advanced by EPASS Capital under its structured funding program are used to pay for upfront materials and labor necessary to fulfill orders from creditworthy corporate customers. Once clients produce, deliver and invoice their end-customers for the goods the funding project terminates and the transaction continues as a normal trade receivables funding program. EPASS Capital's project funding program allows its clients to:
- Secure payments to third-party suppliers for products that will be shipped directly to end customers.
- Pay for project-specific raw materials.
- Pay for project-specific labour.
- Pay for shipping, clearing, and inspection costs
If your company's borrowing base does not provide the amount of financing your business needs, ask about EPASS Capital’s Purchase Contract Funding service. You can fund each stage of a trade transaction in exactly the amount required for that stage, rather than the amount your borrowing base allows. Purchase Contract Funding provides advances for up to 100 percent of the purchase price of import shipments, and financing continues to the estimated dates you will receive resale payments. The Purchase Contract Funding model is commonly used in Europe and Asia to fund international transactions. EPASS Capital is one of the few institutions in Africa that offer it.
EPASS Capital works with you to ensure all phases of your international payment transactions are handled according to the terms set by you and your overseas suppliers. From the suppliers' perspective, doing business with EPASS Capital gives them confidence that they will be paid.
............................................................................................................................................
Our Businesses Purchase Contract Funding
.........................................................................................................................................................................................
............................................................................................................................................
Copyright © 2007 EPASS International Ltd. All Rights Reserved
If you are an importer requiring letter of credit services, EPASS Capital can help streamline your overseas transactions and reduce both your risks and costs. An import letter of credit issued by EPASS Capital’s banking partner on your behalf ensures you won't have to pay for the goods you import until they are shipped and all the shipping documents are verified to be in order, thus giving you more control over your import payment process.
Also, by offering your supplier protection against cancellation of import orders, a letter of credit may help you negotiate a lower price. Finally, since EPASS Capital is closely connected to first-rate international international banking partners, EPASS Capital's Import Letter of Credit service can help you broaden your supplier base.
Documentary letters of credit provide an excellent solution for trading partners with a well-established relationship who want to maintain control over, but still expedite the processing and lower the costs of, the sale and transfer of goods and funds. When a documentary letter of credit is used, your overseas seller's bank forwards the shipping documents and a sight draft or time draft drawn on your account with EPASS Capital to EPASS Capital’s bank.
The bank delivers the draft to EPASS Capital, but retains the documents until EPASS Capital pays or accepts the draft on your behalf, at which time the documents are given to EPASS Capital who then forwards the documents to you. This lets your sellers maintain control of their shipments until payment is secured. You also benefit by not having to release payment until the goods have been shipped, and fees are lower than with other payment vehicles.
When entering into a trading transaction with a previously unknown foreign supplier, as a buyer, you may desire protection for non-performance by the seller. Through EPASS Capital you, the buyer, can invite your counterparty to settle the trade with escrow in order to secure the transaction.
Acting as a third party, EPASS Capital achieves this by providing both you and your foreign supplier with a safe and efficient process that guarantees problem-free transactions: as a buyer, you have the opportunity to inspect the goods before instructing EPASS Capital’s appointed escrow agent (usually an international bank) to pay. Your supplier is assured that - if the goods are in accordance with the terms of the sale agreement - payment is guaranteed since the money is already in the escrow account with EPASS Capital’s appointed escrow agent before the goods are sent.
Documentary Collections
Cross Border Escrow
Imports
Import Letters of Credit
