Page 22: of Maritime Reporter Magazine (November 2025)

Legal Beat cesses and ? exible repayment terms, while preserving a busi-

Key Advantages ness’ existing credit structure.

In-transit ? nancing provides a number of operational and ? nancial bene? ts:

Navigating Supply Chain Disruptions • Improved Liquidity: Access capital tied to inventory

Recent supply chain disruptions stress the practical impor- before it reaches its ? nal destination.

tance of in-transit ? nancing. For example, geopolitical ten- • Supply Chain Continuity: Maintain operations de- sions in the Middle East and Houthi attacks on vessels in the spite extended lead times or supply chain delays.

Red Sea have forced the steamship lines to reroute around • Operational Alignment: Funding can track actual

Africa, which have substantially increased transit times. Simi- shipment and inventory cycles.

larly, additional pressures due to port congestion, rising cargo • Existing Credit: Financing works alongside existing volumes, severe weather, climate events, labor shortages, credit facilities.

slow steaming rules and container scarcity create delays that • Quick Access to Capital: Approvals are based on the immobilize working capital. value of the goods in-transit.

In-transit ? nancing addresses these challenges by trans- • Global Trade Support: Businesses can manage inter- forming goods that are already in-transit into liquid assets, en- national shipments that have longer transit windows.

abling companies to sustain operations despite market uncer- tainties. By freeing up cash tied in shipments and inventory, businesses can maintain liquidity and reduce balance-sheet

The Author strain to support supply chain resilience through extended

Nester payment terms and improved cash-? ow timing. This approach

Phil Nester is a Senior Managing Associate is especially important as businesses navigate seasonal slow- with the Transportation & Logistics Practice downs and factors affecting global trade to enhance ? nancial

Group. [email protected]. agility without increasing debt.

Connect with colleagues around the world by joining the industry’s largest Linkedin Group.

247,179 members http://www.linkedin.com/group/44626 22 Maritime Reporter & Engineering News • November 2025

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