How the Process of Funding an Invoice actually works with TFP

A summary is provided here of the steps involved for your general information . It is advisable that a TFP representative, visit your premises to explain the steps involved in greater detail

1. Call TFP and speak with our dedicated sales team. In the first discussion you will mention the size of the facility / credit line you need and the frequency of the facility (i.e how many times per year you will require the facility) as well as some brief details of your business. TFP offers credit lines from $50 000 USD to $1500 000 USD.

2. TFP will then require conduct a preliminary review of your companies financial position, without the need to fill in numerous forms. In order to conduct this review TFP will request the following last 2 years accountant prepared profit and loss and balance sheet plus the last 6 months management accounts including a profit and loss and balance sheet and accounts receivable aging.

3. After receiving this information listed in point 2 our credit team will assess the details for 2 to 3 days. If there is potential to assist you then we will forward you our standard application form, that would need to be signed and returned to us.

4. With the formal application form and details in hand we will be able to start the credit approval process, which will include a Baycorp report and credit review. The decision to approve the facility should be received in 7 -10 working days.

5. After the approval is received , the loan documents will be generated, which will be signed by the borrower.

6. Within 48 hours of receipt of the signed documents, the facility will be ready for drawdown by the client to pay suppliers.

7. The client submits to TFP the supplier invoice , which includes the full details of the suppliers bank account, plus the bill of lading.

8. The client completes the wire transfer authorization form for this invoice confirming all the details where the funds are to be sent, as a control to prevent incorrect amounts being sent out . Each time there is a drawdown a client authorization form, is required.

9. On receipt of the Authorisation mentioned in point 8) TFP will send the funds by Telegraphic transfer to the suppliers account.

10. At the conclusion of the 120 day loan period TFP submits its request for payment of the loan to the clients bank . The form used for this is called a Bill of Exchange The terms of the facility require that the clients bank be contacted for payment and not a manual system , where the borrower has to personally arrange loan repayment on the due date.

Once the loan is repaid on the due date, the full loan facility is again available to be drawn down again. In other words this is an evergreen facility.