Supply timing rarely matches demand timing. A time swap lets you draw on a partner's current stock to meet urgent demand. You repay with your own future production, without the cost or complexity of traditional financing.
The Mechanism
Time swaps are the most complex of the three swap types. They have two distinct execution legs and a monitoring period between them. ARCO and VerifyHub both run twice: once for the immediate leg, once when the forward leg matures.
A partner with current inventory or forward allocation not yet needed delivers now, filling an urgent gap in production or delivery schedule.
The borrowing party repays with equivalent material at an agreed future date. The specification and the delivery terms lock in at swap creation.
Illustrative Scenarios
Hypothetical scenarios, not measured results.
| Scenario | Without a swap | With a time swap |
|---|---|---|
| Electronics — urgent component shortage | Production shutdown | Fill the gap now. Repay with a future batch. |
| Construction — steel delivery delayed | Project delay penalty | The partner supplies now. Repay from the next shipment. |
| Chemicals — peak-season demand spike | Lost sales during high-margin window | Meet peak demand. Repay when supply normalises. |
The Fee Model
A time swap costs a percentage of the contract value. Each party pays it on its own leg. A minimum fee applies to each party. You pay nothing before settlement. There is no subscription and no fee for posting an intent.
A time swap buys certainty. Material arrives when you need it. Repayment comes from future production. Working capital that would have waited on a delayed shipment comes free sooner.
Related
Request a walkthrough and see a time swap staged in the demo.