{"id":32129,"date":"2020-05-09T02:29:00","date_gmt":"2020-05-09T02:29:00","guid":{"rendered":"https:\/\/www.tradefinanceglobal.com\/?page_id=32129"},"modified":"2025-02-05T13:59:53","modified_gmt":"2025-02-05T13:59:53","slug":"recourse-non-recourse","status":"publish","type":"page","link":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/","title":{"rendered":"Recourse and Non-Recourse Trade Finance"},"content":{"rendered":"\n<div class=\"wp-block-columns container w-auto is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\"><div class=\"block-header-without-image d-flex flex-direction-column justify-content-center\">\n    <h2 class=\"fs-32 fw-700 fs-xs-28 not-for-table-content\" id=\"heading-recourse-and-non-recourse-trade-finance\">\n        Recourse and Non-Recourse Trade Finance    <\/h2>\n    <div class=\"d-grid grid-col-2 grid-col-xs-1\">\n                            <div class=\"\">\n                <div>Last updated on 05 Feb 2025<\/div>\n                <div>09 May 2020 . 3 min read<\/div>\n            <\/div>\n            <\/div>\n    <\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\"><figure class=\"wp-block-post-featured-image\"><img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"\" style=\"object-fit:cover;\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/><\/figure><\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-columns container w-auto is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\"><div class=\"block-buttons bg-anti-flash-white rounded p-24 h-100 xs-h-auto\" style=\"background-color: #f2f5f7 !important;\">\n  <div class=\"d-grid grid-col-1 grid-col-xs-1 mb-12\">\n    <h4 class=\"not-for-table-content fs-24 fw-700\" id=\"heading-trade-finance-essentials\">Trade Finance Essentials<\/h4>\n  <\/div>\n  <div>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/\">\n        Introduction &#038; Benefits      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/payment-methods\/\">\n        Methods of Payment      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/risks-challenges\/\">\n        Risks &#038; Challenges      <\/a>\n      <\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<div class=\"wp-block-columns h-100 mb-0 is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"block-buttons bg-anti-flash-white rounded p-24 h-100 xs-h-auto\" style=\"background-color: #ebf5f4 !important;\">\n  <div class=\"d-grid grid-col-1 grid-col-xs-1 mb-12\">\n    <h4 class=\"not-for-table-content fs-24 fw-700\" id=\"heading-types-of-trade-finance\">Types of Trade Finance<\/h4>\n  <\/div>\n  <div>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/types-of-trade-finance\/\">\n        Types of Trade Financing      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/pre-post-shipment-trade-finance\/\">\n        Pre &#038; Post-Shipment Finance      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/structured-terms-of-payment\/\">\n        Structured Terms of Payment      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\">\n        Recourse &amp; Non-Recourse Trade Finance      <\/a>\n      <\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"block-buttons bg-anti-flash-white rounded p-24 h-100 xs-h-auto\" style=\"background-color: #e5f5ff !important;\">\n  <div class=\"d-grid grid-col-1 grid-col-xs-1 mb-12\">\n    <h4 class=\"not-for-table-content fs-24 fw-700\" id=\"heading-practical-assistance\">Practical Assistance<\/h4>\n  <\/div>\n  <div>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/lender-types\/\">\n        Trade &#038; Export Finance Providers      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance-process\/\">\n        Credit Process      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/trade-finance-partners\/\">\n        Trade Finance Partners      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/trade-finance-providers\/\">\n        Trade Finance Providers      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/trade-finance-solutions\/\">\n        Trade Finance Solutions      <\/a>\n      <\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\"><div class=\"block-buttons bg-anti-flash-white rounded p-24 h-100 xs-h-auto\" style=\"background-color: #E6FAFE !important;\">\n  <div class=\"d-grid grid-col-1 grid-col-xs-1 mb-12\">\n    <h4 class=\"not-for-table-content fs-24 fw-700\" id=\"heading-guides\">Guides<\/h4>\n  <\/div>\n  <div>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/editions\/trade-finance-itfa-guide-2020\/\">\n        Trade Finance Guide      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/editions\/sme-guide-2020\/\">\n        SME Trade Finance Guide      <\/a>\n          <a class=\"d-inline-block mr-10 mb-10 py-8 px-16 rounded bordered border-light text-black bg-white fs-14 fw-700\" href=\"https:\/\/www.tradefinanceglobal.com\/editions\/baft-guide-download\/\">\n        Letters of Credit Guide      <\/a>\n      <\/div>\n<\/div><\/div>\n<\/div>\n<\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-columns container w-auto is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:33.33%\">\n<p>This content was produced in conjunction with ITFA.<\/p>\n\n\n<div class=\"bg-light-blue d-flex gap-16 h-auto p-16 rounded xs-flex-direction-column\">\n    <div class=\"\">\n    <img decoding=\"async\" style=\"min-width:100px;max-width: 150px\" src=\"https:\/\/secure.gravatar.com\/avatar\/adbea0e7d528d8822bada7096c1e6ea9?s=160&#038;d=mm&#038;r=g\" class=\"w-100 rounded\">\n  <\/div>\n  <div class=\"col-span-2 col-span-xs-1\">\n    <div class=\"d-flex flex-direction-column gap-16 fs-16 justify-content-between\">\n      <div class=\"fs-16 fw-700\">Mark Abrams<\/div>\n      <div class=\"fs-14 fw-400 elipsise-2-line\" title=\"Mark heads up the trade finance offering at TFG where\u00a0his team focuses on bringing in alternative structured finance to international trading companies.\">\n        Mark heads up the trade finance offering at TFG where\u00a0his team focuses on bringing in alternative structured finance to international trading companies.      <\/div>\n      <div>\n        <a class=\"text-black fs-12 small-link-arrow-right\" href=\"https:\/\/www.tradefinanceglobal.com\/posts\/?author=74\">\n          <span>\n            Latest Post          <\/span>\n        <\/a>\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>\n\n\n<p><\/p>\n\n\n\n<p><\/p>\n\n\n<div style=\"min-height:100px!important;\" class=\"block-cta max-w-100 p-32 h-auto rounded sm-w-60 dark-mode bg-black align wp-block-acf-block-cta\">\n  <h4 id=\"heading-access-trade-receivables-and-supply-chain-finance\" class=\"fs-24 fw-700 elipsise-2-line dark:color-white not-for-table-content\">\n    Access trade, receivables and supply chain finance  <\/h4>\n  <p class=\"block-subtitle dark:color-white\">We assist companies to access trade and receivables finance through our relationships with 270+ banks, funds and alternative finance houses.<\/p>\n  <a href=\"https:\/\/www.tradefinanceglobal.com\/get-trade-finance\/\" class=\"dark:text-black px-16 py-8 rounded bg-black text-white fs-14 fw-700 dark:bg-tale\">\n    <span>Get Started<\/span>\n  <\/a>\n<\/div>\n\n<div class=\"block-cta p-24 h-auto rounded\">\n    <h4 id=\"heading-\" class=\"fs-24 fw-700 elipsise-2-line dark:color-white not-for-table-content\">\n      <\/h4>\n  <p class=\"fs-16 fw-400 dark:color-white\">Download our free trade finance guide<\/p>\n  <div class=\"mb-20\">\n    <img loading='lazy' alt='Trade-Finance-Guide-CTA-ITFA-TFG (1)' style='width:auto; height:200px'  width='auto' height='auto' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-150x150.jpg' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-300x300.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-150x150.jpg 150w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-320x320.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-370x370.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-414x414.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-200x200.jpg 200w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-250x250.jpg 250w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-162x162.jpg 162w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-159x159.jpg 159w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-123x123.jpg 123w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1-190x190.jpg 190w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/06\/Trade-Finance-Guide-CTA-ITFA-TFG-1.jpg 500w' \/>  <\/div>\n      <a href=\"https:\/\/www.tradefinanceglobal.com\/login\/?redirect_url=https%3A%2F%2Fwww.tradefinanceglobal.com%2Fwp-json%2Fwp%2Fv2%2Fpages%2F32129\"  class=\"dark:text-black px-16 py-8 rounded bg-black text-white fs-14 fw-700 dark:bg-tale\">\n      <span>Download<\/span>\n    <\/a>\n    <\/div>\n\n\n<h2 class=\"wp-block-heading\" id=\"h-contents\">Contents<\/h2>\n\n\n<div class=\"block-table-content h-auto bg-white auto\">\n    <ul class=\"table-content\"><\/ul><\/div>\n\n\n<p><\/p>\n<\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:66.66%\">\n<p class=\"bg-tale rounded p-24 h-auto\" style=\"font-size:16px\"><a href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/\">Trade finance<\/a>&nbsp;consists of financial instruments that make it easier for businesses to engage in international trade and commerce. The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be&nbsp;<em>with or without recourse<\/em>. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.<\/p>\n\n\n\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"438\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-1024x438.jpg\" alt=\"collateral\" class=\"wp-image-32262\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-1024x438.jpg 1024w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-300x128.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-768x328.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-700x300.jpg 700w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-320x137.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-370x158.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-414x177.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-600x257.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-372x159.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-450x192.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-380x162.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral-285x122.jpg 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/05\/collateral.jpg 1230w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Key Differences between Recourse and Non-Recourse Trade Financing<\/h2>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"font-size:16px\"><strong>Right to seize assets<\/strong>: \u2018With recourse\u2019 financing option allows the lender to seize assets of borrower that were used as collateral as well as other assets to recover their money if the borrower fails to pay the amount owed and the value of the collateral is insufficient to cover the full financing amount. In \u2018Non-recourse\u2019 financing the lender\u2019s only source of recovery is the borrower\u2019s collateral in case of default.<\/li>\n\n\n\n<li style=\"font-size:16px\"><strong>Flexibility in loan structure<\/strong>: In general recourse trade financing offers more flexibility in terms of pricing and loan structure. Recourse financing requires full financial disclosure so that the lender can have a more holistic picture of the borrower\u2019s financials. This in turn allows the lender to customize the financing according to the specific needs of the borrower.<\/li>\n\n\n\n<li style=\"font-size:16px\"><strong>Collateral Constraints:<\/strong>&nbsp;Non-recourse lenders impose several restrictions on the borrower\u2019s loan collateral as it is their only source of recovery in case of non-payment. These restrictions include the requirement that a proportion of cash flow generated from the collateral shall regularly flow into \u2018impound accounts\u2019 dedicated specifically for the collateral.<\/li>\n\n\n\n<li style=\"font-size:16px\"><strong>Relationship between the borrowing and lending parties:&nbsp;<\/strong>Recourse financing is relationship-based, while non-recourse financing is a more rigid, transaction-based option.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-advantages-of-recourse-vs-non-recourse-trade-finance\">Advantages of Recourse vs Non-Recourse Trade Finance<\/h2>\n\n\n\n<p style=\"font-size:16px\"><strong>Non-Recourse Trade Finance<\/strong><\/p>\n\n\n\n<p style=\"font-size:16px\">\u2022 More security for the borrower because non-recourse financing does not allow the lender to claim the borrower\u2019s non-collateral assets.<br>\u2022 Protects the exporter from exchange rate fluctuations<br>\u2022 Certainty of payment and no long term worries of future claims or non-payment in relation to a facility or transaction.<\/p>\n\n\n\n<p style=\"font-size:16px\"><strong>Recourse Trade Finance<\/strong><\/p>\n\n\n\n<p style=\"font-size:16px\">\u2022 Offers more flexibility in terms of pricing and the possibility to change terms of financing during the term.<br>\u2022 Interest payments are likely to be lower than non-recourse financing options.<br>\u2022 From the point of view of a lender, recourse financing is more secure as the lender has the right to seize assets beyond the collateral.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-drawbacks-of-recourse-and-non-recourse-trade-financing\">Drawbacks of Recourse and Non-Recourse Trade Financing<\/h2>\n\n\n\n<p style=\"font-size:16px\"><strong>Non-Recourse Trade Finance<\/strong><\/p>\n\n\n\n<p style=\"font-size:16px\">\u2022 Offers borrower\u2019s less flexibility in terms of pricing and loan structure.<\/p>\n\n\n\n<p style=\"font-size:16px\"><br>\u2022 Interest payments are likely to be much higher than for recourse trade financing or commercial loans.<\/p>\n\n\n\n<p style=\"font-size:16px\"><br>\u2022 A proportion of cash flows generated by the collateral will diverted to impound accounts. This can create cash flow issues for the borrower.<\/p>\n\n\n\n<p style=\"font-size:16px\"><strong>Recourse Trade Finance<\/strong><\/p>\n\n\n\n<p style=\"font-size:16px\">\u2022 Offers less security to the borrower in case of default as the lender can seize not just the collateral but also other assets.<\/p>\n\n\n\n<p style=\"font-size:16px\"><br>\u2022 Ongoing management of recourse financing might become very difficult if there are disputes between the borrower and the lender.<\/p>\n\n\n\n<p style=\"font-size:16px\"><br>\u2022 Recourse financing can sometimes be over secured and leaves the borrower with losing considerable value, if a facility defaults.<\/p>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Securing Non-Recourse Trade Finance<\/h2>\n\n\n\n<p style=\"font-size:16px\">It is clear that a significant portion of the risk falls on the lender in the case of non-recourse trade financing. Non-recourse financing is, hence, more difficult to obtain. Lenders typically look at the following factors before approving non-recourse trade financing:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"font-size:16px\">Earning potential and history of the borrower\u2019s loan collateral.<\/li>\n\n\n\n<li style=\"font-size:16px\">Credit scores of the borrower.<\/li>\n\n\n\n<li style=\"font-size:16px\">Liquidity and profitability metrics of the borrower.<\/li>\n\n\n\n<li style=\"font-size:16px\">Management\u2019s credentials.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What are \u2018Bad Boy Carve Outs\u2019 Associated With Non-Recourse Trade Financing?<\/h2>\n\n\n\n<p style=\"font-size:16px\">Non-recourse trade financing provides security to borrowers but that security is guaranteed only if the borrower agrees to abide by a clause referred to as \u2018bad boy carve outs\u2019. If this clause is triggered, the non-recourse financing becomes recourse, allowing the lender to go after any of the borrower\u2019s assets. Depending on the drafting and jurisdiction, a \u2018bad boy carve outs\u2019 clause may be triggered if the borrower, for example:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li style=\"font-size:16px\">Refuses to pay property tax.<\/li>\n\n\n\n<li style=\"font-size:16px\">Misrepresents financial strength of the business.<\/li>\n\n\n\n<li style=\"font-size:16px\">Gets involved in fraudulent activities.<\/li>\n\n\n\n<li style=\"font-size:16px\">Fails to maintain sufficient insurance coverage on the collateral.<\/li>\n<\/ul>\n\n\n\n<p><\/p>\n\n\n\n<h2 class=\"wp-block-heading\">FAQs on Recourse vs Non-Recourse Trade Finance<\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li style=\"font-size:16px\">If I am planning to hold my property which serves as the financing collateral for a long time, which financing option is better?<em>Answer: Non-recourse trade financing.<\/em><\/li>\n\n\n\n<li style=\"font-size:16px\">I am comfortable providing personal recourse for repayment. Which financing option should I use?<br><em>Answer: Recourse trade financing.<\/em><\/li>\n\n\n\n<li style=\"font-size:16px\">I expect to change trade financing terms over the next year. Should I opt for non-recourse trade financing?<br><em>Answer: The management of non-recourse trade financing is usually handled by a third-party service that strictly follows a servicing agreement. Borrowers, therefore wishing to modify terms of financing should opt for recourse trade financing.<\/em><\/li>\n<\/ol>\n\n\n\n<p><\/p>\n\n\n<\/div>\n<\/div>\n\n\n\n<p><\/p>\n\n\n<section class=\"full-width block-slider_with_text py-10\" data-block=\"slider_with_text\" data-theme=\"dark\">\n  <div class=\"container overflow-hidden\">\n    <div class=\"slider-text-block\">\n      <div class=\"slider-text-block-container\">\n        <h2 id=\"heading-explore-our-financing-solutions\" class=\"elipsise-2-line word-wrap not-for-table-content\">\n          Explore our financing solutions        <\/h2>\n        <span class=\"block-subtitle elipsise-2-line word-wrap\">How TFG are helping to finance tomorrow&#8217;s trade<\/span>\n                  <a href=\"\/get-trade-finance\/\" class=\"button-standart button-standart-blue\">\n            <span>Find out more<\/span>\n          <\/a>\n              <\/div>\n    <\/div>\n    <div class=\"swiper-container\" data-slides-desktop=\"2\" data-slides-tablet=\"1.5\" data-slides-mobile=\"1\" data-space-between=\"32\">\n      <div class=\"swiper-wrapper\">\n                  <div class=\"swiper-slide\">\n            <div class=\"post-slide post-slide-small\">\n              <div class=\"post-information\">\n                <div class=\"post-card-meta\">\n                  <div class=\"meta-category\">\n                    Case Studies                  <\/div>\n                <\/div>\n                <div class=\"post-title\">\n                  <h4>\n                    <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/metals-trader\/\" rel=\"bookmark\" class=\"elipsise-2-line\">\n                      Metals trader &#8211; A case study                    <\/a>\n                  <\/h4>\n                <\/div>\n              <\/div>\n                              <div class=\"post-image\">\n                  <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/metals-trader\/\" rel=\"bookmark\">\n                    <img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Metals-trader-\u2013-A-case-study1-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/>                  <\/a>\n                <\/div>\n                          <\/div>\n          <\/div>           <div class=\"swiper-slide\">\n            <div class=\"post-slide post-slide-small\">\n              <div class=\"post-information\">\n                <div class=\"post-card-meta\">\n                  <div class=\"meta-category\">\n                    Case Studies                  <\/div>\n                <\/div>\n                <div class=\"post-title\">\n                  <h4>\n                    <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/soft-commodities-trader\/\" rel=\"bookmark\" class=\"elipsise-2-line\">\n                      Soft commodities trader &#8211; A case study                    <\/a>\n                  <\/h4>\n                <\/div>\n              <\/div>\n                              <div class=\"post-image\">\n                  <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/soft-commodities-trader\/\" rel=\"bookmark\">\n                    <img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Soft-commodities-trader-\u2013-A-case-study2-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/>                  <\/a>\n                <\/div>\n                          <\/div>\n          <\/div>           <div class=\"swiper-slide\">\n            <div class=\"post-slide post-slide-small\">\n              <div class=\"post-information\">\n                <div class=\"post-card-meta\">\n                  <div class=\"meta-category\">\n                    Case Studies                  <\/div>\n                <\/div>\n                <div class=\"post-title\">\n                  <h4>\n                    <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/food-distribution-company\/\" rel=\"bookmark\" class=\"elipsise-2-line\">\n                      Food distribution company &#8211; A case study                    <\/a>\n                  <\/h4>\n                <\/div>\n              <\/div>\n                              <div class=\"post-image\">\n                  <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/food-distribution-company\/\" rel=\"bookmark\">\n                    <img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Food-distribution-company-\u2013-A-case-study2-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/>                  <\/a>\n                <\/div>\n                          <\/div>\n          <\/div>           <div class=\"swiper-slide\">\n            <div class=\"post-slide post-slide-small\">\n              <div class=\"post-information\">\n                <div class=\"post-card-meta\">\n                  <div class=\"meta-category\">\n                    Case Studies                  <\/div>\n                <\/div>\n                <div class=\"post-title\">\n                  <h4>\n                    <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/energy-trading-group\/\" rel=\"bookmark\" class=\"elipsise-2-line\">\n                      Energy trading group &#8211; A case study                    <\/a>\n                  <\/h4>\n                <\/div>\n              <\/div>\n                              <div class=\"post-image\">\n                  <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/energy-trading-group\/\" rel=\"bookmark\">\n                    <img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/Energy-trading-group-\u2013-A-case-study2-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/>                  <\/a>\n                <\/div>\n                          <\/div>\n          <\/div>           <div class=\"swiper-slide\">\n            <div class=\"post-slide post-slide-small\">\n              <div class=\"post-information\">\n                <div class=\"post-card-meta\">\n                  <div class=\"meta-category\">\n                    Case Studies                  <\/div>\n                <\/div>\n                <div class=\"post-title\">\n                  <h4>\n                    <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/hardware-distribution-company-ecommerce\/\" rel=\"bookmark\" class=\"elipsise-2-line\">\n                      Hardware distribution company in e-commerce &#8211; A case study                    <\/a>\n                  <\/h4>\n                <\/div>\n              <\/div>\n                              <div class=\"post-image\">\n                  <a href=\"https:\/\/www.tradefinanceglobal.com\/case-studies\/hardware-distribution-company-ecommerce\/\" rel=\"bookmark\">\n                    <img loading=\"lazy\" decoding=\"async\" width=\"869\" height=\"352\" src=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study.jpg\" class=\"attachment-large size-large wp-post-image\" alt=\"\" srcset=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study.jpg 869w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-300x122.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-768x311.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-320x130.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-370x150.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-414x168.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-600x243.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-372x151.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-450x182.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-380x154.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/Hardware-distribution-company-in-e-commerce-\u2013-A-case-study-285x115.jpg 285w\" sizes=\"auto, (max-width: 869px) 100vw, 869px\" \/>                  <\/a>\n                <\/div>\n                          <\/div>\n          <\/div>       <\/div>\n      <div class=\"swiper-control d-hidden \">\n        <div class=\"swiper-scrollbar\"><\/div>\n        <div class=\"swiper-buttons\">\n          <div class=\"swiper-button-prev\"><\/div>\n          <div class=\"swiper-button-next\"><\/div>\n        <\/div>\n      <\/div>\n    <\/div>\n  <\/div>\n<\/section>\n\n<div class=\"modules w-100 partners-sponsor container py-10\">\n  <div class=\"d-grid grid-col-8 grid-col-xs-1 grid-col-sm-4 gap-1 max-w-100 py-50\">\n    <div class=\"col-span-2 col-span-xs-1 col-span-sm-1\">\n      <div class=\"d-grid grid-col-1 grid-col-xs-1 mb-sm-15\">\n        <h4 id=\"heading-our-trade-finance-partners\" class=\"not-for-table-content fw-700 dark:color-white\">Our trade finance partners<\/h4>\n              <\/div>\n    <\/div>\n    <div class=\"col-span-6 col-span-xs-1 col-span-sm-3 overflow-hidden\">\n      <div class=\"swiper-container\" data-slides-desktop=\"5\" data-slides-table=\"3\" data-slides-mobile=\"2.5\" data-space-between=\"16\">\n        <div class=\"swiper-wrapper\">  \n                      <div class=\"swiper-slide\">\n              <a href=\"https:\/\/www.tradefinanceglobal.com\/organisation\/lloyds\/\"\" class=\" max-w-100 w-100 overflow-hidden d-flex justify-content-center align-items-center\">\n                <img loading='lazy' alt='LLOYDS_Primary_Logo_Positive_RGB' style='object-fit:contain'  width='100%' height='46' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-150x150.png' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-300x211.png 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-1024x719.png 1024w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-768x539.png 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-1536x1078.png 1536w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-2048x1437.png 2048w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-320x225.png 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-370x260.png 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-414x291.png 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-427x300.png 427w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-285x200.png 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-356x250.png 356w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-231x162.png 231w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-227x159.png 227w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-175x123.png 175w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB-271x190.png 271w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/08\/LLOYDS_Primary_Logo_Positive_RGB.png 1300w' \/>              <\/a>\n            <\/div>\n                      <div class=\"swiper-slide\">\n              <a href=\"https:\/\/www.tradefinanceglobal.com\/organisation\/bank-of-china\/\"\" class=\" max-w-100 w-100 overflow-hidden d-flex justify-content-center align-items-center\">\n                <img loading='lazy' alt='Bank_of_China-1' style='object-fit:contain'  width='100%' height='46' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-150x150.jpg' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-300x90.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-320x96.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-370x111.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-414x124.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-600x180.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-372x111.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-450x135.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-380x114.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1-285x85.jpg 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/Bank_of_China-1.jpg 625w' \/>              <\/a>\n            <\/div>\n                      <div class=\"swiper-slide\">\n              <a href=\"https:\/\/www.tradefinanceglobal.com\/organisation\/santander-corporate-investment-bank\/\"\" class=\" max-w-100 w-100 overflow-hidden d-flex justify-content-center align-items-center\">\n                <img loading='lazy' alt='FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2' style='object-fit:contain'  width='100%' height='46' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-150x150.jpg' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-300x85.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-1024x291.jpg 1024w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-768x219.jpg 768w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-320x91.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-370x105.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-414x118.jpg 414w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-600x171.jpg 600w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-372x106.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-450x128.jpg 450w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-380x108.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2-285x81.jpg 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/04\/FA_SANTANDER_CORPORATE_INVESTMENT_BANK_CV_POS_RGB.-ENTERO-scaled-2.jpg 1300w' \/>              <\/a>\n            <\/div>\n                      <div class=\"swiper-slide\">\n              <a href=\"https:\/\/www.tradefinanceglobal.com\/organisation\/state-bank-of-india\/\"\" class=\" max-w-100 w-100 overflow-hidden d-flex justify-content-center align-items-center\">\n                <img loading='lazy' alt='state bank of india logo' style='object-fit:contain'  width='100%' height='46' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-150x132.jpg' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-300x104.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-320x111.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-370x128.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-372x129.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo-285x99.jpg 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/state-bank-of-india-logo.jpg 381w' \/>              <\/a>\n            <\/div>\n                      <div class=\"swiper-slide\">\n              <a href=\"https:\/\/www.tradefinanceglobal.com\/organisation\/ubs\/\"\" class=\" max-w-100 w-100 overflow-hidden d-flex justify-content-center align-items-center\">\n                <img loading='lazy' alt='UBS Logo' style='object-fit:contain'  width='100%' height='46' src='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-150x143.jpg' srcset='https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-300x108.jpg 300w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-320x116.jpg 320w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-370x134.jpg 370w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-372x134.jpg 372w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-380x137.jpg 380w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo-285x103.jpg 285w, https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/07\/UBS-Logo.jpg 396w' \/>              <\/a>\n            <\/div>\n                  <\/div>\n\t\t<div class=\"swiper-control d-hidden sm:d-flex mt-30\">\n\t\t\t<div class=\"swiper-buttons\">\n\t\t\t  <div class=\"swiper-button-prev\"><\/div>\n\t\t\t  <div class=\"swiper-button-next\"><\/div>\n\t\t\t<\/div>\n\t\t\t<div class=\"swiper-scrollbar\"><\/div>\n\t\t<\/div>\n      <\/div>\n    <\/div>\n  <\/div>\n<\/div>\n\n\n<section class=\"full-width block-grid_topics dark-mode\" data-block=\"grid_topics\" data-theme=\"dark\">\n  <div class=\"block-topics\">\n    <h1 class=\"container w-auto fs-xs-20 mb-xs-20 not-for-table-content\"><\/h1>\n    <div class=\"control container w-auto clearfix topic-tabs position-relative\">\n              <ul class=\"tabs tabs-horizontal d-inline-block mb-30\">\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 active\"\n            data-post-type=\"page\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"32\"\n            data-cat-relationship=\"in\"\n            data-key-category=\"\"\n            data-link=\"\"\n            data-link-title=\"\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              Trade Finance Resources            <\/li>\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 \"\n            data-post-type=\"post\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"32\"\n            data-cat-relationship=\"and\"\n            data-key-category=\"\"\n            data-link=\"\"\n            data-link-title=\"\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              All Trade Finance Topics            <\/li>\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 \"\n            data-post-type=\"post\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"32,10357,11048,41,220,3507,264\"\n            data-cat-relationship=\"combined\"\n            data-key-category=\"2827\"\n            data-link=\"\"\n            data-link-title=\"\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              Podcasts            <\/li>\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 \"\n            data-post-type=\"post\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"32,41,264,220,3507,11048,11047,3828,6142\"\n            data-cat-relationship=\"combined\"\n            data-key-category=\"3525,10707\"\n            data-link=\"\"\n            data-link-title=\"\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              Videos            <\/li>\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 \"\n            data-post-type=\"conference\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"32\"\n            data-cat-relationship=\"in\"\n            data-key-category=\"\"\n            data-link=\"\"\n            data-link-title=\"\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              Conferences            <\/li>\n                      <li class=\"px-24 py-12 fs-16 fs-xs-14 \"\n            data-post-type=\"page\"\n            data-source=\"topic\"\n            data-limit=\"14\"\n            data-include=\"\"\n            data-cat=\"11048\"\n            data-cat-relationship=\"in\"\n            data-key-category=\"\"\n            data-link=\"\/finance-products\/\"\n            data-link-title=\"All\"\n            default-link=\"\"\n            default-btn-text=\"\">\n              Products we finance            <\/li>\n                  <\/ul>\n            <select class=\"topics-sort d-hidden\">\n        <option value=\"title-asc\">A-Z<\/option>\n        <option value=\"date-desc\" selected>Latest<\/option>\n      <\/select>\n      <div class=\"border-light-blue bg-white fs-16 fw-700 pointer bordered dark:bg-maastricht-blue position-absolute rounded-md sorting-dropdown px-16 py-10\">\n        <span class=\"display-value d-block\">Latest<\/span>\n        <div class=\"border-light-blue bordered options-to-select overflow-hidden rounded-md w-100 d-hidden\">\n          <span class=\"d-block py-10 px-16 pointer single-option\"\n          data-value=\"title-asc\">A-Z<\/span>\n          <span class=\"d-block py-10 px-16 pointer single-option\" data-value=\"date-desc\">Latest<\/span>\n        <\/div>\n      <\/div>\n    <\/div>\n\n    <div class=\"block-wrapper clearfix overflow-hidden max-w-100\">\n    <\/div>\n\n    <div class=\"bottom-buttons d-flex clearfix container w-auto\">\n      <a href=\"\" class=\"custom-link button-standart button-standart-blue\">\n        <span><\/span>\n      <\/a>\n    <\/div>\n  <\/div>\n<\/section>\n\n\n<p><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Trade finance&nbsp;consists of financial instruments that make it easier for businesses to engage in international trade and commerce. The goal of trade financing is to eliminate the risks associated with\u2026 <a href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\" class=\"read-more-link\">read more &rarr;<\/a><\/p>\n","protected":false},"author":74,"featured_media":113008,"parent":8813,"menu_order":3,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"content-type":"","ep_exclude_from_search":false,"footnotes":""},"categories":[32],"class_list":["post-32129","page","type-page","status-publish","has-post-thumbnail","hentry","category-trade-finance"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.7 (Yoast SEO v24.7) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Recourse and Non-Recourse Trade Finance<\/title>\n<meta name=\"description\" content=\"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Recourse and Non-Recourse Trade Finance\" \/>\n<meta property=\"og:description\" content=\"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\" \/>\n<meta property=\"og:site_name\" content=\"Trade Finance Global\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/tradefinanceglobal\" \/>\n<meta property=\"article:modified_time\" content=\"2025-02-05T13:59:53+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"869\" \/>\n\t<meta property=\"og:image:height\" content=\"352\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:site\" content=\"@tradefinglobal\" \/>\n<meta name=\"twitter:label1\" content=\"Estimated reading time\" \/>\n\t<meta name=\"twitter:data1\" content=\"4 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\",\"url\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\",\"name\":\"Recourse and Non-Recourse Trade Finance\",\"isPartOf\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg\",\"datePublished\":\"2020-05-09T02:29:00+00:00\",\"dateModified\":\"2025-02-05T13:59:53+00:00\",\"description\":\"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.\",\"breadcrumb\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#breadcrumb\"},\"inLanguage\":\"en-GB\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/\"]}]},{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage\",\"url\":\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg\",\"contentUrl\":\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg\",\"width\":869,\"height\":352},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/www.tradefinanceglobal.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Trade Finance Introduction\",\"item\":\"https:\/\/www.tradefinanceglobal.com\/trade-finance\/\"},{\"@type\":\"ListItem\",\"position\":3,\"name\":\"Recourse and Non-Recourse Trade Finance\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#website\",\"url\":\"https:\/\/www.tradefinanceglobal.com\/\",\"name\":\"Trade Finance Global\",\"description\":\"Transforming Trade, Treasury &amp; Payments\",\"publisher\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#organization\"},\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/www.tradefinanceglobal.com\/?s={search_term_string}\"},\"query-input\":{\"@type\":\"PropertyValueSpecification\",\"valueRequired\":true,\"valueName\":\"search_term_string\"}}],\"inLanguage\":\"en-GB\"},{\"@type\":\"Organization\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#organization\",\"name\":\"Trade Finance Global\",\"alternateName\":\"TFG\",\"url\":\"https:\/\/www.tradefinanceglobal.com\/\",\"logo\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-GB\",\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#\/schema\/logo\/image\/\",\"url\":\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/04\/cropped-TFG-Logo-scaled-1.jpg\",\"contentUrl\":\"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/04\/cropped-TFG-Logo-scaled-1.jpg\",\"width\":1300,\"height\":722,\"caption\":\"Trade Finance Global\"},\"image\":{\"@id\":\"https:\/\/www.tradefinanceglobal.com\/#\/schema\/logo\/image\/\"},\"sameAs\":[\"https:\/\/www.facebook.com\/tradefinanceglobal\",\"https:\/\/x.com\/tradefinglobal\",\"https:\/\/www.instagram.com\/tradefinance\/\",\"https:\/\/www.linkedin.com\/company\/trade-finance-global\",\"https:\/\/uk.pinterest.com\/tradefinanceglo\/\",\"https:\/\/www.youtube.com\/tradefinanceglobal\"]}]}<\/script>\n<!-- \/ Yoast SEO Premium plugin. -->","yoast_head_json":{"title":"Recourse and Non-Recourse Trade Finance","description":"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/","og_locale":"en_GB","og_type":"article","og_title":"Recourse and Non-Recourse Trade Finance","og_description":"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.","og_url":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/","og_site_name":"Trade Finance Global","article_publisher":"https:\/\/www.facebook.com\/tradefinanceglobal","article_modified_time":"2025-02-05T13:59:53+00:00","og_image":[{"width":869,"height":352,"url":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg","type":"image\/jpeg"}],"twitter_card":"summary_large_image","twitter_site":"@tradefinglobal","twitter_misc":{"Estimated reading time":"4 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/","url":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/","name":"Recourse and Non-Recourse Trade Finance","isPartOf":{"@id":"https:\/\/www.tradefinanceglobal.com\/#website"},"primaryImageOfPage":{"@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage"},"image":{"@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage"},"thumbnailUrl":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg","datePublished":"2020-05-09T02:29:00+00:00","dateModified":"2025-02-05T13:59:53+00:00","description":"[UPDATED 2025] The goal of trade financing is to eliminate the risks associated with international trade by providing suppliers and buyers protection against currency fluctuations, non-payment and political instability. It is important to note that trade financing can be with or without recourse. Both recourse and non-recourse trade financing options are widely used but which one is more appropriate for you depends on several factors.","breadcrumb":{"@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#breadcrumb"},"inLanguage":"en-GB","potentialAction":[{"@type":"ReadAction","target":["https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/"]}]},{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#primaryimage","url":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg","contentUrl":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2024\/05\/Recourse-and-Non-Recourse-Trade-Finance-1.jpg","width":869,"height":352},{"@type":"BreadcrumbList","@id":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/recourse-non-recourse\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/www.tradefinanceglobal.com\/"},{"@type":"ListItem","position":2,"name":"Trade Finance Introduction","item":"https:\/\/www.tradefinanceglobal.com\/trade-finance\/"},{"@type":"ListItem","position":3,"name":"Recourse and Non-Recourse Trade Finance"}]},{"@type":"WebSite","@id":"https:\/\/www.tradefinanceglobal.com\/#website","url":"https:\/\/www.tradefinanceglobal.com\/","name":"Trade Finance Global","description":"Transforming Trade, Treasury &amp; Payments","publisher":{"@id":"https:\/\/www.tradefinanceglobal.com\/#organization"},"potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/www.tradefinanceglobal.com\/?s={search_term_string}"},"query-input":{"@type":"PropertyValueSpecification","valueRequired":true,"valueName":"search_term_string"}}],"inLanguage":"en-GB"},{"@type":"Organization","@id":"https:\/\/www.tradefinanceglobal.com\/#organization","name":"Trade Finance Global","alternateName":"TFG","url":"https:\/\/www.tradefinanceglobal.com\/","logo":{"@type":"ImageObject","inLanguage":"en-GB","@id":"https:\/\/www.tradefinanceglobal.com\/#\/schema\/logo\/image\/","url":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/04\/cropped-TFG-Logo-scaled-1.jpg","contentUrl":"https:\/\/www.tradefinanceglobal.com\/wp-content\/uploads\/2020\/04\/cropped-TFG-Logo-scaled-1.jpg","width":1300,"height":722,"caption":"Trade Finance Global"},"image":{"@id":"https:\/\/www.tradefinanceglobal.com\/#\/schema\/logo\/image\/"},"sameAs":["https:\/\/www.facebook.com\/tradefinanceglobal","https:\/\/x.com\/tradefinglobal","https:\/\/www.instagram.com\/tradefinance\/","https:\/\/www.linkedin.com\/company\/trade-finance-global","https:\/\/uk.pinterest.com\/tradefinanceglo\/","https:\/\/www.youtube.com\/tradefinanceglobal"]}]}},"_links":{"self":[{"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/pages\/32129","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/users\/74"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/comments?post=32129"}],"version-history":[{"count":15,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/pages\/32129\/revisions"}],"predecessor-version":[{"id":133132,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/pages\/32129\/revisions\/133132"}],"up":[{"embeddable":true,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/pages\/8813"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/media\/113008"}],"wp:attachment":[{"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/media?parent=32129"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tradefinanceglobal.com\/wp-json\/wp\/v2\/categories?post=32129"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}