Looking For Partner To Complete Trading Deal

Opportunity Summary

My/Our Background:

I am a British citizen living and working in London. I originally come from Beirut, Lebanon.

My parents, living in Lebanon, work in food product trading and have strong relationship/partnership with whole-sale traders in Baghdad, Iraq.

Business Case:

We noticed that most of the products we work with get sold in the market for almost double their International whole-sale price. However, there is a relatively large minimum amount required to buy from the International market.

-----Example-----

Sugar: It can be bought for around 500 USD/MT in the international market. The minimum quantity required isRespond to this opportunity MT.

This same product sells for around 800 USD/MT for small local whole-sellers. Local whole-sellers usually order quantities between 500 MT and 1000 MT.

-----End of Example-----

After further investigation, and based on our previous experience, it was clear that our local whole-sellers have enough cash and can order and eventually sell larger quantities like the ones offered in the international markets (12500 MT minimum) if they are offered a good price.

With their very limited experience with financial instruments, and lack of knowledge of foreign markets and languages, it seems local whole-sellers are not deterred by the quantity but rather by the process of ordering and paying for these products.

Our Problem:

We did contact three of our clients who usually order larger quantities of Sugar. These three clients agreed to order around 40,000,000 USD worth of Sugar on the price of 650 USD/MT. This should leave us and our partners with around 10,000,000 USD of profits.

 However,

1-     We ourselves and our partners do not have this amount of cash to originally buy the product at 500 USD/MT and then sell it at 650 USD/MT.

2-     Our clients have enough cash and agreed to pay the full amount directly to the seller using Letter of Credit. We should be getting our commission as part of the Letter of Credit. However, our profit consists of more than 20% of the whole value and cannot be simply considered commission by our sources.

Help Required from Mentor/Partner:

We have ready buyers for sugar at the price of 650 USD/MT and we have sellers for sugar at the price of 500 USD/MT. However, we don’t know how to secure our profit when the Client is going to pay directly to the seller using Letter of Credit.

I have a vague idea that we should ask the Clients to pay by Divisible Letter of Credit and then we divide it between us and the seller. However, I am not sure and don’t have enough experience on how to do this.

Do you have the answer for this problem? Can you help setting things up to close this deal?

Contact me for 10% of the profits which should account for more than 1000,000 USD from this deal alone, with potential for further work.

I expect you to have experience with Letters of Credit and International Trading.

Please contact me by email as I cannot usually answer my mobile when I am at work.

Regards