Merchant Finance Corporation

In international trade, Letters of credit are one of the significant factors and essential payment methods. It is a secure, famous, and universal way of payment globally. However, in the international trading business, there are a few concerns between the buyers and sellers. They face challenges during import-export. It is because, most of the time, they live in different countries. Buyers fear the quality and quantity of the product, and the sellers are worried about the budget. Well, Letters of credit helps in such issues. The Importance of Letter Of Credit in Businesses In this international trade, the importer must secure a letter of credit (LC) through a bank. The bank works as a guarantee on behalf of the importer. It ensures the value of goods shipped by the exporter.  The letters of credit are beneficial and accepted worldwide as the means of payment for universal transactions. For the buyer, a loan document gets issued by the bank, which promises the settlement of the seller&

If you are in leather export it is quite frustrating to deal with the import-export documentation. Yeah, it’s tiresome. But, with proper guidance and help you can solve the issues. There are two types of payment methods that you can determine - Letters of Credits and Documentary Collections. In leather exports , most businessmen use this payment technique. There are other factors to consider as well. Let’s follow the article to see what they are! Why Is Leather Exports The Great Hype? Leather is a flexible and durable material. The businessman obtains leather from various animals. They are part of the leather production and manufacturing of leather goods. In this way, leather production got popular.  In today’s world, the global market has a separate place for leather companies. They value leather goods and accessories. The industry uses leathers to manufacture everything starting from garments to furniture. They have taken the world by storm. Letters of Credits and Documentary Collect

 Proof of funds (POF) is the documents that determine a person's ability to collect the funds for a specific transaction. You will find proof of funds in the form of a bank, custody statement, or security.  Therefore, it is a more trusted form of categorization than the other. When a novice indulges in the whole process, non-financial institutes help them in this regard. However, let’s focus on the other essential features of proof of funds.  The Major Takeaways in Proof of Funds Proof of funds is the documents that display the capacity of an individual to support a specific transaction. Security statement, bank statement, or custody statement often qualifies as proof of funds.  You may need proof of funds for bigger transactions. For example, while buying a house, vehicles, or electrical appliances. Basic information needs to get fulfilled, to satisfy the criteria, It includes the bank name, bank statement, address, total bank amount, and your information. However, avoid sharing t