#OPENmaat... A new Trade Finance Model with focus in Commodities

For qualified clients maatGroup´s #OPENmaat Solution provides flexible, secured, structured trade finance facilities.


#OPENmaat´s Trade Finance Model is focussed on Commodities transactions and the aim is to dramatically increase the availability of Trade Finance to inward and outward trade to Commodities Worldwide.

maatGroup methodology is based onto the applying International Chamber of Commerce (ICC) best practice tools and techniques to the benefit of both buyers and sellers when structuring our Trade Finance solutions


Bank customers are looking for creative new ways to  increase responsiveness, visibility, efficiency, cost optimization, liquidity and predictability across their supply chains.


Faced with the complex requirements of their extended supply chains, corporations are looking for help due to the inadequate offer to provide to the organizations the corporate finance function with the timely information it  requires.


Letters of Credit and Documentary Collections are the traditional Trade Finance instruments used by sellers to mitigate buyer's risk and obtain financing. While  these payment methods will continue to play a role in Trade Finance Buyers and sellers alike find them complicated, time consuming and expensive to  use.


To mitigate the situation, buyers and sellers are moving to another form of trading which is faster, easier and less costly: Open Account. This reduces the need for the  risk-mitigating buyer features found in traditional Trade Finance products.


In traditional Open Account trading scenarios, sellers ship their goods and send an  invoice to the buyer. In turn, the buyer pays the seller's invoice by check or  electronic payment. Unlike Letters of Credit and Documentary Collections, trade  banks' involvement in this process has been restricted to processing checks and  payments, which provides no insight into their customers' supply chains.


Open Account trading currently represents 85 percent of global trade transactions, reducing the role of traditional Trade Finance to about 15 percent. As a result,  banks' participation in their customers' trading is steadily declining-confining banks to an ever smaller slice of their customers' overall trade business.



Supply Chain Finance (SCF) is defined “a combination of Trade  Financing provided by a financial institution, a third-party vendor, or a corporation  itself, and a technology platform that unites trading partners and financial  institutions electronically and provides the financing triggers based on the  occurrence of one or several supply chain events.” 


The overall goal of SCF is to optimize Working Capital throughout the end-to-end  supply chain for both buyers and sellers.




 Key Elements of Supply Chain  Finance Solutions:


(1) Purchase Order / Invoice Data  Management


(2) Bank-Assisted Open  Accounts – Approval-to-Pay


(3) Open Account Payment


(4) Export / Seller Finance