Financing Letters of Credit: Hartsko's Import Letter of Credit services help your company by facilitating payment to your foreign suppliers while providing assurance to you that the terms of your purchase have been fulfilled. Letters of Credit eliminate the need to send cash to the supplier in advance and maximizes control of title documents for customs clearance. With timely approval and issuance, LC Financing enhances competitiveness in foreign markets, creates efficiencies, minimizes risk and and ensures against loss. As a result, LC Financing optimizes profits associated with international trade.

Trade Financing: Trade financing enables you to grow your company far beyond its current capitalization. It provides you with the working capital to take on new opportunities, both locally and internationally.

The Process

1. The customer submits a purchase order to client with all documents
2. The client submits the customer purchase order  to the LC Financier for approval with all costs associated with transactions
3. The LC Financier then will make direct payments to the clients vendors so that the merchandise for the customer PO can be produced
4. The clients vendors deliver final product directly to the end customer or to a third party warehouse until shipped to end customer
5. The seller then invoices the shipment and sends invoice and corresponding copy of customer LC to the factor
6. The factor funds the invoice at his discount paying LC financier his loan plus fee
7. The factor collects from the end customer and pays client his residual left from advance

Qualifying for Letter of Credit Financing:
Any company which has a purchase order from a creditworthy customer.

Fees for Letter of Credit Financing:
The Fees for PO Financing are transactional. We charge our fees on the cost of the product, so the higher the margin the lower the cost as a percentage of the sale.