M1 NXT enables access to a broader range of trade finance solutions across multiple transaction scenarios. Designed to support global trade requirements, these offerings enhance liquidity, improve flexibility, and enable efficient risk management across the trade lifecycle.
M1 NXT provides flexible, innovative non-factoring products to support your international business. Enhance liquidity and manage risks across the trade lifecycle.
While factoring remains a key tool for managing receivables, global trade transactions often require a broader set of financing solutions. M1 NXT is evolving its platform to enable access to a wider range of trade finance structures aligned with permissible activities under the International Trade Financing Services (ITFS) framework. These may include solutions such as Buyer’s Credit, Export Bill Discounting, Letter of Credit Discounting, and Import Financing—structured based on the specific nature of trade transactions, participant requirements, and underlying documentation. Through a digitally enabled ecosystem, M1 NXT aims to connect businesses with financiers, supporting efficient execution, enhanced transparency, and access to structured trade finance solutions across cross-border transactions.
Buyer's Credit is a short-term loan facility extended by a financial institution (the lender) to an importer (buyer) for goods imported from an overseas exporter. This credit is typically arranged through a bank in the exporter's country and is used to pay the exporter immediately. The importer then repays the loan to the lender on deferred terms, effectively extending their payable period
Benefits
Export Bill Discounting is a trade finance solution where an exporter sells their international trade bills (e.g., bills of exchange, promissory notes) to a financial institution at a discount. This provides the exporter with immediate liquidity against their overseas receivables, without having to wait for the maturity date of the bill. The financial institution then takes on the responsibility of collecting payment from the importer's bank
Benefits
LC Discounting involves an exporter selling their receivables under an Export Letter of Credit (LC) to a financial institution at a discounted rate. An LC is a secure payment mechanism, and discounting it allows the exporter to receive immediate payment upon presentation of compliant documents, even before the issuing bank makes the payment at maturity. This essentially converts a future, guaranteed payment into instant cash.
Benefits
Import Financing refers to various financial facilities designed to assist importers in purchasing goods from overseas. This can cover a range of solutions that provide working capital for the import cycle, from the time of placing an order, through shipment, to the final sale of goods. It helps manage cash flow gaps, ensures timely payments to suppliers, and optimises the importer's inventory and sales cycles.
Benefits
Aligning payment obligations with inventory cycles and sales realisation can present liquidity management challenges.
Availability of competitive foreign currency funding can vary based on transaction structure, counterparty profile, and market conditions.
Import transactions may require advance payments or immediate settlement obligations, impacting working capital availability.
Exposure to counterparty and geopolitical risks may impact payment certainty in cross-border transactions.
Managing documentation and timelines under LC-based transactions may require operational efficiency and structured financing support.
Payment timelines in international trade may extend over agreed credit periods, impacting cash flow cycles.
Evaluating risks across geographies, counterparties, and transaction structures requires robust frameworks and visibility.
Trade finance transactions often involve documentation, compliance, and multi-party coordination across jurisdictions.
Identifying and evaluating trade finance opportunities across instruments such as LC-backed transactions, bill discounting, and pre-shipment finance requires specialised capabilities.
M1 NXT provides a cutting-edge digital platform that simplifies and accelerates access to a diverse range of non-factoring trade finance solutions. Our innovative features are designed to benefit all participants in the global trade ecosystem:
Operating as an IFSCA-regulated ITFS platform, we ensure unparalleled security, compliance, and trustworthiness for every non-factoring transaction, providing peace of mind for all parties.
Our unique marketplace model connects businesses with a wide pool of financial institutions offering various non-factoring solutions, fostering competitive terms and tailored funding for your specific needs.
Experience a fully digital onboarding and transaction management process for products like Buyer’s Credit, LC Discounting, and Import Financing. This significantly reduces paperwork, accelerates approvals, and enhances operational efficiency.
Gain clear visibility into the status of your non-factoring transactions. Our platform ensures transparency throughout the process, giving you greater control and insight into your trade finance activities.
M1 NXT's platform offers specialised non-factoring solutions like Buyer's Credit, Export Bill Discounting, LC Discounting, and Import Financing that are directly tied to specific trade transactions. Unlike general bank loans, these are often structured to integrate seamlessly into your trade cycle, leveraging the underlying trade documents and providing more tailored, often more flexible, and competitive financing for international commerce.
Absolutely. M1 NXT's non-factoring product portfolio is designed to support both sides of the international trade equation. For importers, solutions like Buyer's Credit and Import Financing help manage payables and cash flow. For exporters, Export Bill Discounting and LC Discounting provide immediate liquidity against international receivables.
M1 NXT acts as a digital marketplace platform that connects businesses like yours with a diverse network of financiers offering these non-factoring solutions. We streamline the application, documentation, and transaction processes, leveraging technology to make securing Buyer's Credit, Export Bill Discounting, LC Discounting, and Import Financing efficient and transparent.
Yes, M1 NXT's platform is designed to be accessible to a wide range of businesses, including SMEs engaged in international trade. Our digital-first approach and competitive marketplace model aim to democratise access to these sophisticated trade finance instruments, making them viable and efficient for businesses of various sizes.
