A Sinosure credit limit (also called the Sinosure credit rating) is the maximum amount of trade loans that Chinese suppliers can provide to your company using Sinosure insurance.
In order to get the Sinosure credit limit, your company must pass through a credit investigation procedure and receive a credit rating. After the credit investigation procedure, Sinosure will set a credit limit for your company, which can then be used to purchase goods from Chinese suppliers with deferred payment.
The credit investigation procedure takes 21 days.
Once your company receives the credit limit, Chinese exporters with Sinosure insurance policies can book this credit limit (partially or completely) for the shipment of goods to your company with deferred payment.
Usually, the credit limit can be divided into parts of $100,000. For example, if your company's credit limit is $1 million, then each supplier can use 100, 200, and so on until the total amount of trade credits granted to your company reaches $1 million.
The maximum credit limit that can be granted to you is determined by several factors: first of all, your company's financial indicators (the company must be profitable and have sufficient turnover, assets, and so on), credit history (timely payments to your suppliers in the past), and a history of trade transactions with China.
In order to complete the credit investigation procedure, we recommend that you consult with our expert.
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