With inflation, supply chain shocks and geopolitical issues driving companies to increase levels of inventory leading to liquidity and balance sheet pressures, Inventory Finance is the newest and final piece of the puzzle in the working capital financing kit.

MUFG's Inventory Finance solutions are designed to provide companies with greater security in their supply chain. Solutions can help to optimise a company's balance sheet and potentially drive cost savings without disrupting the company's existing supply chain or supplier relationships. Historically, Inventory finance structures had typically only been deployed for commodities, but recent transactions cut across a much wider range of industry verticals as solutions are designed to be inventory-agnostic.

In order to implement an Inventory Finance solution, companies typically need cross-departmental collaboration, including finance, procurement, sales and treasury. MUFG has significant experience in this market and our structuring team can guide our clients through the set-up process.