The availability in the UK of letters of credit (L/Cs) from non-bank sources looks set to improve as one of Britain's growing band of alternative trade finance providers announces the opening of a third office.

Legion Trade Finance (LTF) has opened its third office in the heart of the UK's industrial Midlands.

Third office

Structured finance solutions, including L/Cs, loans and paying suppliers direct, will be available from LTF's new office in Birmingham.

It already has offices in London and in Henley-on-Thames, which is close to the UK's capital city.

Trends

The move by LTF is in line with the trend for new trade finance providers to step into a market that traditional banks have been more reluctant to serve since the 2008 financial crisis.

Banks have proven particularly less willing to provide trade finance to small- and medium-sized enterprises (SMEs).

SME focus

The typical facility provided by LTF is between £100,000 and £2 million and last year the firm facilitated trades worth more than £40 million.

LTF recently announced new investor funding as part of its continued drive to boost support to SMEs.

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