• A seller can offer to the buyer – based on NLBI’s readiness to finance the transaction –along with its commercial terms also favourable and flexible funding scheme for the underlying commercial transaction.

• A seller receives funds immediately after completed delivery of goods or services (subject to agreement regarding the transfer of funds).

• A seller transfers all risks related to the payment from the underlying transaction to NLBI (subject to agreement regarding the transfer of funds). These risks include:

• political risk such as extraordinary state measures, armed conflict or other political incidents;

• transfer risk, which are associated with the inability or unwillingness of the importing state or state bodies to enable or allow execution of payments; e.g. moratoriums or shortages of currency;

• commercial risk representing unwillingness or inability of the importer or the guaranteeing bank to pay in accordance with contractual obligations;

• currency risk associated with the changes in the exchange rates;

• interest rate risk associated with the changes in the interest rates.

• Neither Export Credit Agency (ECA) nor insurance cover is needed and consequently the administrative workload involved in an insurance covered deal is saved.

• No losses arising from the partial insurance cover/retainer.

• It does not burden exporter’s credit limits.

• Origin of goods is irrelevant (which is not the case with ECA cover).

• Exporter gets 100% of the receivables off its books and thus eliminates all the risks mentioned above.

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