It refers to the business of providing special loans to the enterprise for purchasing the materials, organizing the production or reselling the finished products on the basis of product order placed by a buyer with good credit (core client) under the premise of mature technology and guaranteed productivity and collecting such loans after the enterprise receives the payment for goods from the buyer.
The order shall be valid order, i.e. the order, trade contract or agreement jointly confirmed by the buyer and the seller; in principle, the basic trade in the order shall be the physical trade. The supply history of commodity in the order shall be at least 6 months and the performance record shall be good. The commodity shall be characterized by stable quality, unified standard, strong homogeneity and good market prospect.