Get paid instantly and optimize your cash flow

We offer trade finance post-shipment. This means that Vancole buys the goods from the seller and pays them immediately. Vancole takes over the credit risk of your buyers up to the financed amount. Seller finance is a collateral-free financing instrument.

1. Upon/post-shipment, send us your shipping documents via email.
2. Our finance team will get in touch with you.
3. Once approved, VANCOLE pays according to the agreed terms – less fees - within 2 days of shipment.
4. Your buyer pays VANCOLE as per your agreed payment terms.

Seller finance does not require any collateral or personal guarantees. However, the ownership of your chosen trade receivables/goods and rights associated with the trade shall be transferred to VANCOLE.

Invoice or bill discounting, is a form of receivables finance where VANCOLE buys the invoices issued by a seller, providing immediate liquidity and buyer default protection. 

The finance is structured as a true sale of the receivables and should function as ‘off balance sheet’ finance. It should not affect your debt ratios (and does not affect your borrowing capacity). Accounting-wise, your receivables convert into cash, without adding any liability.

Funds will be sent to the bank account details you submit on the contract with us. We will also inform you via email to which bank account funds will be remitted.

Nothing. VANCOLE will transfer the payment(s) to your bank account as indicated in the email and contract.

The benefits of non-recourse factoring are:

• You receive immediate liquidity on shipment. You can use these funds however you choose - to pay      off your suppliers or to repay expensive debt.
• You get protection against default by your buyer due to insolvency, as VANCOLE takes over the credit      risk on your buyers.
• You do not have to pledge any collateral or personal guarantee.
• The financing is structured as a true sale of the receivables and should function as ‘off-balance      sheet’ financing. It should not affect your debt ratios (and does not affect your borrowing capacity). Accounting-wise, the receivable should convert into cash, without adding any liability. You should confirm this with your accountant.

This depends, if a buyer chooses to use our trade facility then you do not need to pay any financing, however, if you are using our services you’ll have to add our charges into your invoice in advance and we will deduct our charges before the final payment is remitted to you.

VANCOLE aims to minimize contact with buyers. We do not contact them for financials during underwriting. 

However, we will request them to do a one-time confirmation of the factoring arrangement. For every trade, we will also request the buyer to confirm the trade.

A default is defined as a payment overdue as agreed in the contract. In such a case, the seller will not recover the balance final payment, but the initial advanced amount is not affected. The sellers maximum loss is limited to the risk deposit.

Please inform us and send us back the payment as soon as possible. That would prevent VANCOLE from continuing efforts to collect the payment from the buyer which has already paid.

This depends on the arrangement between you & your buyer. You may have covenants that require you to make adjustments. Invoice amount adjustments are covered with the final balance payment.

In general, a seller cannot sell a (potentially) disputed invoice to VANCOLE; disputed invoices are not eligible to sell. In case the dispute happens after the financing, VANCOLE will either settle the outstanding amount with the next invoice or the seller will repay VANCOLE directly.

We advise to provide a master bill of lading, We do accept air waybills and other alternatives to the master bill of lading (such as house bill of lading) assuming you can provide further supporting documentation to support the trade.

Yes, if your buyer pays a cash advance and the balance on credit post-shipment, we do finance the whole or the balance payment, depending case by case.

The pay-out will be as per the currency in the invoice. We issue HKD, EUR, USD, GBP & CNY invoices.

You OR your buyer can make payments in HKD, EUR, USD, GBP and CNY. 

VANCOLE' s trade finance is an alternative to your credit requirements which buyers or banks can not fulfil.

Unfortunately, we do not offer pre-shipment finance (also called Packing Credit) as of now. However, you can always use factoring proceeds to finance your purchases for your next trade!

Liquidity and ease of mind: VANCOLE pays instantly and you get up to 90% of the invoice right after shipment and VANCOLE takes over the credit risk – so even if the buyer defaults you do not have to go through the lengthy and cumbersome bank claims process which takes approx. 2-3 months with no guaranteed payment – tying up your liquidity for the whole duration.

VANCOLE offers additional benefits such as flexible limits which increase over time, a more accurate advisory on your buyer’s creditworthiness through in-house credit underwriting, and a completely digital process which takes far less time and effort on your part.

From time to time you’ll receive an email from VANCOLE on the progress of your trade. You’ll find details of all your current and historical transactions - including payments by your buyer to VANCOLE in real time.

No. It is mandatory for the buyers to make payments for all financed invoices directly to VANCOLE.

The verification and pay-out process starts as soon all required documents have been furnished. Usually, this corresponds to 1-2 working days from shipment and document upload to receipt of proceeds. Similar cycles are expected for receipt of funds from buyer to pay-out of the balance amount to you.

VANCOLE never shares sensitive business information with third-parties without informing (with the exception of technical service providers, such as providers of CRM software or servers) and receiving explicit consent from you.

The Framework Agreement for VANCOLE’s trade finance includes confidentiality provisions that are in line with a typical Non Disclosure Agreement.

No, it is not required for your buyer to sign up. Your buyer simply confirms the trades and payment. 

Generally, we can give you a response within 2 working days after you have provided us with the buyer details.

• Existing buyer of yours (at least 1 trade fully settled)
• Registered in a country supported by VANCOLE (see list below) as a limited liability company
• At least 3 years in business
• We support both SME and large MNC buyers

We do not support:

• New buyers
• Related parties (No intra-group sales)
• Problematic buyers
• Buyers buying on consignment basis 
• Reciprocal trade: buyers who are also your suppliers

 Eastern Asia 

• China 
• Hong Kong SAR
• South Korea 
• Japan 

Southern Asia

• Bangladesh
• India
• Pakistan
• Sri Lanka 

South-Eastern Asia

• Cambodia 
• Indonesia
• Malaysia 
• Myanmar 
• Philippines 
• Singapore 
• Thailand
• Viet Nam 

 We currently support seller in:

• Australia
• Austria
• Belgium
• Canada
• Chile
• Colombia
• Czech Republic
• Denmark
• Estonia
• Finland
• France
• Germany
• Greece
• Hong Kong SAR
• Hungary
• Iceland
• Ireland
• Israel
• Italy
• Japan
• Korea
• Latvia
• Lithuania
• Luxembourg
• Mexico
• Netherlands
• New Zealand
• Norway
• Poland
• Portugal
• Singapore
• Slovak Republic
• Slovenia
• Spain
• Sweden
• Switzerland
• Turkey
• United Arab Emirates
• United Kingdom
• United States

Although flexible, we generally expect the seller to:

• Be registered and located anywhere in VANCOLE’s supported country list.
• Be at least 3 years in business
• Minimum Export Volume: At least an average of 500k USD export volume over last 2 years.

•  A fixed fee - percentage of invoice value 
• A transaction fee - percentage of invoice value per 10 day ranges
• A Processing fee - fixed cost for each payment (e.g. advanced amount payment and remaining invoice      amount payment)

Please contact us on hello@vancolemgmt.com with your concern in the subject line. We are happy to provide you with all the necessary documents.