Wednesday 16 March 2016

Export Financing in kenya

Financing your Business
Since export projects are generally riskier in nature, they may demand larger investments and entail greater operating costs than domestic projects, consideration of whether the company is able to bear export costs without jeopardizing domestic operations is important.
Cash flow is an essential part of any export transaction and a steady flow is important to keep the export process moving. When there is a guarantee that the exporter will be paid, intermediaries step in on the strength of that security to provide funds for the exporter. This enables the exporter to shorten the period between investment and receipt of funds from the importer.

The most common forms of trade finance are:
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