Understanding Merchant Trading Merchant trading is a global business model where traders buy and sell goods without engaging in physical manufacturing or direct import/export operations. It differs from traditional import/export companies in the following ways: • Asset-Light Model: Unlike import-export companies, merchant traders do not hold stock but procure goods against confirmed orders. • Risk Management: Payments are secured through financial instruments such as LC (Letter of Credit), DLC (Documentary Letter of Credit), and SBLC (Standby Letter of Credit). • Cross-Border Trade: Merchant traders facilitate seamless transactions between buyers and suppliers across different countries. • Scalability: Since merchant traders do not maintain large inventories, they can quickly adapt to market changes and execute multiple orders efficiently. Join us in revolutionizing global merchant trading!
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