Import Finance with ScotPac.

Power up your international
purchasing potential

Buy more stock and increase revenue

Linked to Invoice Finance, cover cash flow gaps up to 180 days

Lock in FX to take advantage of favourable currency rates

What is Import Finance?

ScotPac Import Finance is a funding solution for the purchase of finished goods for resale, from overseas or locally. Linked to your Invoice Finance facility, Import Finance provides an end-to-end funding solution covering a cash flow gap of up to 180 days.

We are able to facilitate payment in almost any currency, and you have the option to lock in your foreign exchange when rates are favourable.

Complete funding

We can fund up to 100%
of the cost of imported goods.

Risk protection

As part of the facility we can provide risk protection against ForEx losses.

Tailored solutions

We take the time to understand your business and build the right solution for you.
You need to have a huge bank balance to be able to fund the whole thing – or have a company like ScotPac behind you.
SAM WOOD - DIRECTOR, AZURA
You need to have a huge bank balance to be able to fund the whole thing – or have a company like ScotPac behind you.
SAM WOOD - DIRECTOR, AZURA

Why ScotPac?

We believe in relationships, not transactions, and make it our business to know yours. With over 30 years' experience, you can count on us to see the true value of your business.
Trusted Lending more than $1b to SMEs, we’re Australia and New Zealand’s largest non-bank lender, with the awards to match.
Unlocking Growth We’re growth enablers, unlocking the potential in your business. Our customers grow at more than 3 times the average business.
Flexible Finance We find a way to say “yes”. We’re with you through the good times and bad, always adapting your business needs.
Unlocking Growth We’re growth enablers, unlocking the potential in your business. Our customers grow at more than 3 times the average business.
Flexible Finance We find a way to say “yes”. We’re with you through the good times and bad, always adapting your business needs.
Trusted Lending more than $1b to SMEs, we’re Australia and New Zealand’s largest non-bank lender, with the awards to match.

How does Import
Finance work?

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Import finance works by enabling businesses that import goods into Australia to overcome cash flow gaps and reduce the risk involved with purchasing from an international supplier. An example of a transaction is as follows:

  1. Order is received, and an application submitted to ScotPac by the client.
  2. Letter of Credit (LC) is raised, and goods are produced and shipped
  3. Supplier is paid by ScotPac, and then an Import Bill is created
  4. Goods are delivered, Import Bill is submitted as an invoice for funding to client’s Invoice Finance facility
  5. Import Finance facility is paid by Invoice Finance, client has terms to pay as set by Invoice Finance facility

 

 

Import finance is flexible and can be tailored to meet the specific needs of a business.

Fund finished goods
Up to 180 day terms
Lock in FX rates
Enable business growth

For more information about how we can help your business, fill out an enquiry form or call us today.


WHO CAN USE IMPORT FINANCE?

Import Finance can be used by businesses that import finished goods to sell to other businesses. If your business imports raw materials or exports goods, we offer a range of trade finance and export finance solutions that may be more suitable for your needs.

HOW CAN IMPORT FINANCE HELP YOUR BUSINESS?

An import finance solution can help you to maintain working capital, while also helping to mitigate the risk and make sense of the complex paperwork required to import goods into Australia.

Import finance helps you fund the purchase of finished goods from international suppliers and bridge the cash flow gap while you wait to receive payment from your customers. You can create a funding facility that covers 180 days, giving you the liquidity you need to grow your business by capitalising on new opportunities.

HOW DOES IMPORT FINANCE IMPROVE CASH FLOW?

Important businesses typically encounter two cash flow issues that significantly impact their ability to grow and take on new opportunities.

When an order for goods is placed with an overseas supplier, there is usually a delay between paying for the goods and receiving them in Australia. The second cash flow issue is caused by waiting for outstanding invoices to be paid by customers.

Import finance can help to release the capital tied up in the buying and selling process. A credit facility can be used to pay suppliers while goods are manufactured and imported, and invoice finance can be used to fund up to 95% of the value of outstanding invoices. A funding facility can provide the capital you need to purchase finished goods, and is only repaid when you sell the goods to your customers and receive payment.

HOW DOES IMPORT FINANCE MITIGATE RISK?

Import finance can help to minimise the risk involved with doing business with international suppliers and support new trading relationships. There are several global trade finance mechanisms to ensure that conditions of a trade agreement are met before money is transferred.

Telegraphic Transfer

Telegraphic transfers enable you to quickly transfer funds to your international suppliers. They can be used to make advanced payments required by suppliers, or in conjunction with a letter of credit that ensures certain conditions must be met before the funds are released.

Letters of Credit

A letter of credit is an international trade finance mechanism that is used to ensure that the supplier and buyer fulfil their obligations. Letters of credit detail certain conditions that the supplier must meet, such as shipping the goods, and offers a legal guarantee that the goods received will be paid for.

Documents Against Payment

Documents against payment help the supplier and the buyer to reduce risk by ensuring certain documents are submitted to a third-party before the payment to the supplier is released. The financial process is similar to an escrow account where the supplier can only access the funds after submitting proof of shipping to the third-party.

WHICH COUNTRIES CAN I IMPORT GOODS FROM?

Import Finance can be used to pay for goods imported from almost any country, including Australia. We also have an office in Guangzhou, China, to help Australian importers negotiate better terms and conditions with manufacturers.

WHAT IS THE MAXIMUM TERM ALLOWED FOR IMPORT FINANCE?

Import Finance is tailored to meet the specific needs of the business. We offer short-term solutions to cover cash flow gaps, but we can also structure a facility to provide total funding that encompass periods exceeding 180 days.

WHAT SECURITY IS REQUIRED FOR SCOTPAC IMPORT FINANCE?

Import Finance is offered in conjunction with Scottish Pacific Invoice Finance. Generally, no additional asset-based security is required.

DOES SCOTPAC OFFER AN IMPORT FINANCE OPTION THAT DOES NOT INCLUDE INVOICE FINANCE?

Yes, Scottish Pacific has a range of trade finance options for all types of businesses, including retailers. Speak to one of our friendly financial advisors to see how we can help your business.

WHAT TYPE OF GOODS CAN BE IMPORTED?

Import Finance is specifically designed for importers of finished goods. However, if the business is importing raw materials or components, there are other trade finance solutions which can be tailored to meet your requirements.

HOW MUCH DOES SCOTPAC IMPORT FINANCE COST?

Import Finance is very competitively priced. Interest is charged once funds are remitted to the overseas supplier until the amount is repaid. An Import Finance fee is charged based on the payment amount released to the supplier. Fee levels vary depending on your business and your specific requirements.

Not sure if Import Finance is right
for you? We offer other finance solutions

Learn more

Easy to apply

Call us today to discuss how Import Finance can help.

1

Give us a call

Talk to one of our friendly
Import Finance specialists
about tailoring a solution for
your business

2

Proposal

We’ll present you with the
solutions to choose from,
based on what you’ve told
us you need

3

Documentation & Settlement

We’ll work with you to
dot all the i’s and
cross the t’s to finalise
your solution

Get approval within 24 hours

Get started today

Call us to discuss how we can
finance your business 1300 505 883

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