The funds can be advanced in Australian or foreign currency to allow importers to finance their commitment on a transactional basis.
Bank guarantees and letters of credit are available to help facilitate the international transaction. Once the transaction is completed, the funds owed can be restructured into a standard finance facility.
This is a complex area of finance with close working relationships required between the customer, financier, broker and supplier.
There may be particular taxation obligations associated with this method of financing. Appropriate financial advice through your accountant or financial advisor is strongly recommended to determine whether import direct finance options are suitable for your circumstances.*