At Bandenia Challenger Bank, we are committed to delivering trade and financing solutions in the best interest of our customers. Carrying out smooth and efficient transactions with diligence and efficacy has been our driving force since day one.
With a structured support system, we have been able to successfully help our clients in growing their cash flow and capital. We strongly adhere to our mission of providing custom financial solutions to complete their transactions effectively.
Our services and commitment have allowed us to identify market opportunities across the globe and expand in business sectors including Asia Pacific, Middle East, Oceania and Africa.
The Bandenia Challenger Bank offers trade finance advisory services, including documentary credit, import and export financing, documentary remittance, factoring and international guarantees in Dubai, Abu Dhabi, Sharjah, Saudi Arabia, India, UK, and Bangladesh.
When two parties are starting a business relationship for the first time and want to proceed cautiously, documentary credits, also known as Letters of Credit (or L/C), are frequently used in international trade.
The exporter may be reluctant to send products to the importer unless they are confident that payment will be made, and vice versa may be true for the importer.
It is the banks' only obligation to adhere to the conditions of a documentary credit agreement independent of any other ancillary arrangements, and they are alone responsible for processing the papers associated with a transaction. Thus, we at Bandenia Challenger Bank seek to achieve two things for our clients: lower the cost of capital and reduce the risk of their financial investments.
Import & Export Financing
A substantial amount of money is frequently spent on international trade to cover the costs of freight, insurance, cross-border payments, and foreign exchange, to mention a few expenses.
The cost of goods and services typically increases rapidly when tariffs, import levies, Incoterms, shipment and customs delays, warehousing fees, and other minor problems are taken into consideration. Many multinational corporations do not have a full-fledged finance department, opting instead to outsource this job to succeed in their respective industries.
We at Bandenia Challenger Bank are delighted to assist you with your trade financing requirements, therefore decreasing the stress levels in your firm, and allowing you to devote more time to other aspects of your business.
. Our dedication and trade finance services have enabled us to find market opportunities all around the world and develop into new business areas such as Dubai, Abu Dhabi, Sharjah, Saudi Arabia, India, UK, and Bangladesh.
Uniform Rules for Collections (URC) publication No. 522 of the international chamber of commerce regulates documentary remittances and collections. Documentary remittances, like documentary credits, are trade finance instruments in which the exporter entrusts their bank to collect payment for the products and services they have provided.
The shipping documents, air waybill, bill of lading, commercial invoice, certificate of origin, insurance certificate, packing list, and any other documents required for customs clearance are sent by the exporter's bank (also known as remitting bank) to the importer's bank (also known as collecting bank), along with payment instructions, to the receiving bank.
Another name for factoring is "received funds financing," which involves the exporter selling their receivables (unpaid bills) to a financial institution at a lower price (the Factor). Consequently, the factor acquires the receivables from the importer and assumes the risk of collecting the money. Because of this, the importer must pay the factor, not the exporter.
When it comes to factoring transactions, we at Bandenia Challenger Bank know precisely what we're doing. As a result, we can help small and large joint-stock enterprises alike.
International transactions can fail for a variety of reasons. The parties to an international trade contract typically want assurances that serve as a contingency mechanism to avoid unpleasant shocks to protect their investments.
Our legal advice will help ensure that the guarantee's terms and wording are by your expectations and that it achieves its intended outcome before it can be called upon to pay up. There are first demand guarantees in which the obligor must unconditionally honor the promise at the recipient's first demand, which saves both parties the burden of bringing claims against each other.