June 2005The ABF Journal, the only monthly independent trade publication dedicated exclusively to the asset based lending industry, recently featured an article by Transcap?s National Business Director. The article by Paul Schuldiner, entitled ?Financing Inventory In Transit: Perilous Waters for Asset-Based Lenders,? ran in the June issue.
Schuldiner explains that, as more manufacturers begin to use foreign suppliers, their lenders are learning the financial risks involved.
"Inventory issues such as location, international and U.S. Customs regulations, logistic/transportation rights and insurance may appear to be unduly onerous for the ABL."
He gives a detailed overview of the risks and intricacies of financing foreign purchases and provides a case scenario to illustrate his point.
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