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A/R Finance & Factoring Terms GLossary

What isTrade Financing

Trade Financing is the term used for financing of international trade. Trade finance includes such activities as Cash Against Documents, credit insurance, export credit, bid and performance bonds, lending, trade-related promissory notes, Letters of Credit, purchase order funding, bills of exchange, trade acceptance drafts (TADS), supply chain financing, Vendor Guarantees and invoice factoring.

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