Trade Reference Letters are essential documents in New Zealand's business ecosystem, used when companies need to verify the credibility and reliability of potential business partners or clients. These letters are commonly requested when establishing new business relationships, applying for credit facilities, or engaging with new suppliers. A Trade Reference Letter typically includes specific information about the duration of the business relationship, payment history, transaction volumes, and overall business conduct. In New Zealand, these documents must comply with various regulations including the Privacy Act 2020, Fair Trading Act 1986, and Credit Reporting Privacy Code 2020. The letter serves as a professional testimony that helps businesses make informed decisions about potential commercial relationships while managing risk and building trust in the business community.

1. Letterhead Details: Company logo, name, address, and contact information of the referring company

2. Date: Current date of the reference letter

3. Recipient Details: Name, title, and address of the recipient or 'To Whom It May Concern'

4. Subject Line: Clear indication that this is a trade reference for the specific company

5. Introduction: Brief introduction stating the purpose of the letter and confirmation of business relationship

6. Relationship Overview: Duration and nature of business relationship

7. Performance Details: Information about payment history, transaction volumes, and reliability

8. Closing Statement: Positive recommendation and willingness to provide further information

9. Signature Block: Name, title, and contact information of the authorized signatory