Trading is an essential process in\u00a0Mount and Blade II: Bannerlord.\u00a0It's a standard practice where you can visit a town, purchase a good chunk of its perishable goods, and then sell them off at a higher price in a different town. It's an excellent skill for your character to have in the game. It's also important to note you can increase your character's trading skill by creating caravans and having them wander the world on your behalf. You won't be able to purchase a caravan until later in the game. Creating one cost somewhere close to 15,000 Denars, which is a costly amount. They're similar to workshops, though, where when you create one, they're going to make money for you in a timely fashion continually. They're worth the time sink because they can freely make money for you without too much input, and it's more of a hands-off mentality. Not only do you need 15,000 Denars for a caravan, but these caravans require 29 guards. You need to forfeit that amount to make sure they're good to when you send them out into the world. To gain access to caravans, you need to speak to a merchant in one of the towns after you introduce yourself. During the introduction process, you need to choose the chat option to "Set up a caravan in this town," and you should be able to do so, granted you have all of the requirements set up and ready to go. Unfortunately, they take several in-game works to turn around a profit, so you can expect to see losses when they first start, but if you have ways to make money pretty quick, such as standard trading, quests, or looting, you'll do fine. Make sure to visit towns frequently to purchase any lucrative items that nearby cities could purchase for a much higher profit. After buying a caravan, these are a great way to make sure your profits stay in the positive.