United Wool Company

Melbourne-based United Wool Company (UWC) trades and exports raw and processed wool from Australia, New Zealand and South Africa, with approximately 90% of their wool traded being sourced in Australia.

UWC supplies wool into two primary markets, China which represents 85% of UWC’s trading revenues, and Europe (predominantly Italy and the UK), where UWC has established strong relationships with high-end European textiles manufacturers.

For these customers, product quality, reliability of supply and trust are of utmost importance, and they are willing to pay a premium for it.

UWC has strong growth targets for the next few years, with a ready client base to support it.

While UWC’s bank was able to help with UWC's letter of credit-backed shipments to China, its ability to support UWC’s credit-insured open account business with European buyers was limited.

And so UWC approached us to help secure additional finance for these transactions.

How we helped

We provided UWC's bank with a $1 million export working capital guarantee to help fund the export of wool to UWC’s buyers. This will enable UWC to facilitate multiple trades with these important buyers throughout the year.

This is not only critical to UWC achieving its revenue and profit forecasts, but will provide a strong platform for future business growth.