The application of the concept of securitisation to funding of trade receivables. Several originators wanting liquidity against their trade receivables sell them to a conduit which then issues commercial paper, that is, short term paper of typically 90 days to 180 days maturity corresponding to the present value of the receivables. On maturity, the originator is supposed to collect the receivables and pass them over to the holders of the paper through the conduit. At times, the conduit is sponsored by a major bank that also provides liquidity support to the conduit to ensure timely redemption of the paper.