à Trade needs finance
à This must come from either the trader or from a lending institution.
à If the trade is international then the amount of finance is noimally greater
à In general, trade is handled on credit
à The buyer pays for the goods at a specified time after receipt
à If the trade is international then delivery time adds to the delay in payment
à This adds to the need for finance
à Also in international trade the buyer uses one currency, the seller another
à This requires an organisation with facilities for changing currencies
à On both counts the Bank is the best source of finance
Thus this page gave the most important hints on the subject.
And Mr. Hill, the lecturer, explained and developed each statement. The participants sometimes interrupted him and asked questions. Sometimes Mr. Lvov came to help when there was a problem of speaking or understanding.
The lecturer devoted some part of the lecture to financing small business companies who usually enjoy better terms, reduced taxes and other facilities especially during the first years oftheir work.