In the current uncertain environment companies are not sure of their growth or market demand, says Menso Kwint of Lombard Trade Finance. “Debt can be dangerous and threaten a business if the repayment of that debt is not guaranteed. However, debt is also an enabling tool that is necessary to grow a business if used responsibly.” In these times Kwint points out that businesses should be adequately funded from the start and then look to credit facilities over and above invested capital to smooth cash flow and to take on additional projects and sales. “Trade finance can be an extremely useful tool to grow an internationally trading business,” he said.
