Details

CBA buys assets paying in a financial asset called a Trade Credit (TC). Purchase Price is typically 3-4 times higher than cash liquidation value.

All goods and services are delivered at the company’s preferred commercial terms (Price, Delivery, Quality and Service) with approved and qualified suppliers.

As an example, if a company’s Logistics budget is $2M, without CBA as a trading partner and TC unavailable, the company writes out a check for $2M in cash. With CBA as a partner and TC available, the company would write out a check for $1.7M in cash and a CBA Logistics Partner would be willing to accept $300,000 in TC to complete the payment.

CBA has very strong trading partners in all areas of Transportation/Logistics with world class suppliers motivated to gain new business by matching all the company’s requirements and against the cash benchmark, accept a portion in TC as a way of differentiating themselves from competition in order to gain new business.

Because CBA issues a multi-lateral, open purchase TC, the substitution of TC for cash can potentially be used in many areas of Procurement where the company is purchasing competitively bid goods and services of all kinds including but not limited to Raw Materials, Capital Equipment, Consulting Services, Displays, Shelving and Racking systems and numerous other required purchases where competition is part of the negotiation process.