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ACTRADE INTERNATIONAL DEVELOPS UNIQUE TRADE FINANCE INSTRUMENT

 NEW YORK, Aug. 24 /PRNewswire/ -- Actrade International, Ltd. (NASDAQ: ACRT), through its wholly owned subsidiary, AmWorld Commerce, Inc., today announced the introduction of a new trade finance service that improves the management and financing ability of small accounts receivable, especially from slow paying accounts.
 The Trade Acceptance Draft (TAD) allows vendors to receive pre- authorized payment agreements from buyers as part of the vendors' ordering process. After delivering the merchandise, AmWorld finances and collects the authorizations.
 The advantages of this service are many. When the order is placed, the buyer must agree to pay a specified dollar amount at a fixed future date. Once the merchandise is delivered, it provides the seller with a payment instrument which can be collected on its due date through conventional electronic banking channels. Since the TAD can be transferred by endorsement, AmWorld will discount and finance it as an integral part of its service. This allows the vendor to receive his money in a timely manner and eliminates many of the collection problems which are common in today's business environment.
 The TAD has been designed for small and medium-sized companies whose average invoices range from $1,000 to $10,000. The potential for this service is approximately 800,000 companies nationwide.
 According to Amos Aharoni, president of AmWorld, "We are very pleased with the results from our initial testing of this service. We experienced a high rate of return each month on our invested capital. By integrating the TAD into the routine order taking process, we believe this service will significantly improve a vendor's internal cash management and lower overhead costs associated with invoicing and processing of accounts receivable. We are confident that this service will be well-accepted by the business community and will add significantly to Actrade's earnings." Mr. Aharoni added, "We believe we are the first U.S. company to address the needs of this important niche market which has largely been ignored by the financial institutions."
 Actrade International Ltd. is engaged in international trade and finance. It is one of the leading direct exporters of U.S.-made industrial products to a large international marketing network. The company's primary markets include the Middle East, South America, Europe and the Pacific Rim.
 -0- 8/24/93
 /CONTACT: Herb Sjolund or Christina Straddeck of Actrade International, 212-563-1036/
 (ACRT)


CO: Actrade International, Ltd. ST: New York IN: FIN SU: PDT

CK-TS -- NY035 -- 5424 08/24/93 11:43 EDT
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Publication:PR Newswire
Date:Aug 24, 1993
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