How to make money with Caravans and Convoys in Mount & Blade II: Bannerlord
If you're anything like me, your first instinct when you need more denars in Bannerlord is probably to start fighting someone. Bandits, looters, enemy nobles, it doesn't really matter. Combat is where most players spend the majority of their time, so it's easy to overlook some of the game's more passive sources of income.
For a long time, I barely paid attention to caravans. They seemed slow, expensive, and honestly a little boring compared to winning battles and selling loot.
Looking back, that was probably a mistake.
Caravans won't make you rich overnight, and they definitely won't compete with some of the more extreme late-game money-making methods. What they do provide is something many players underestimate: consistent income that keeps flowing while you're busy doing other things.
Whether you're fighting wars, managing settlements, recruiting nobles, or expanding your kingdom, a successful caravan continues generating denars in the background.
How Caravans Actually Work
One thing I misunderstood during my first few campaigns was just how automated caravans really are.
Once you create one, you're not manually deciding which goods to buy or where they should be sold. The caravan handles all of that on its own. It travels across Calradia, buying goods where they're cheap and selling them where demand is higher.
Because of this, your goal isn't really to manage the caravan itself. Your goal is to create the conditions that allow it to survive and operate efficiently.
In my experience, a caravan that survives for several years will almost always generate more money than one that earns slightly higher profits but gets destroyed after a few weeks.
Caravan And Convoy Prices
Before investing your hard-earned denars, it's worth knowing exactly what each option costs.
15,000 denars — Normal land caravan
30,000 denars — Land caravan with better troops
30,000 denars — Naval trade convoy
45,000 denars — Armored naval trade convoy
At first glance, the more expensive options might seem like obvious upgrades, but that's not always the case.
Trade convoys usually have higher earning potential because sea routes connect some of the most valuable trade regions in the game. The downside is that they're also significantly more dangerous.
Pirates, sea raiders, and enemy nobles frequently patrol naval routes, especially during wartime. Because of that, I usually consider the armored convoy a much safer long-term investment than the standard version.
Choosing The Right Companion
This is probably where I made the biggest mistake during my early campaigns.
Whenever I had a spare companion sitting around, I assigned them to a caravan and moved on. I assumed any companion could do the job.
After several campaigns, I started noticing that some caravans consistently outperformed others, and it usually came down to the person leading them.
These days, before creating any caravan or convoy, I open the Encyclopedia by pressing N and search for companions under:
Heroes
Alive
Wanderer
This makes it much easier to identify companions with the skills that actually matter.
Best Skills For Land Caravans
For traditional caravans, I usually prioritize:
Trade
Scouting
Riding
Tactics
Medicine
Trade directly impacts profitability, while Scouting and Riding help caravans move faster and avoid danger more effectively.
A caravan that stays alive is usually profitable.
Best Skills For Naval Trade Convoys
Naval convoys introduce a completely different set of priorities.
If you're planning to focus on sea trade, these skills become extremely valuable:
Mariner
Boatswain
Shipmaster
Companions with these skills tend to manage naval trade routes far more efficiently than standard wanderers.
Best Wanderer Titles To Look For
Over time, I've also noticed that certain wanderer backgrounds tend to perform particularly well when assigned to convoys.
Some of the best ones include:
Sea-Raider
Of The River
The Fish
These companions often start with stronger naval-related skills, making them excellent candidates for convoy leadership.
Timing Matters More Than You Think
One lesson Bannerlord teaches very quickly is that timing can make or break your investment.
Starting a caravan during peacetime feels completely different from starting one in the middle of a major war.
During peace, caravans can establish profitable routes and operate relatively safely. During wars, they often become moving targets.
There's nothing more frustrating than spending thousands of denars on a caravan only to watch it get captured a few days later by an enemy noble.
That's why I usually pay attention to the political situation before investing. If wars are breaking out everywhere, I often wait until things calm down.
Patience usually pays off.
Where You Start Matters
Not every settlement is equally suited for trade.
Personally, I prefer creating caravans in large, prosperous towns located near major trade routes. These settlements usually provide better opportunities and stronger economic activity.
At the same time, I try to avoid towns located directly on active frontlines.
Even the best caravan can struggle if every road nearby is filled with hostile armies.
Creating a caravan is actually very simple.
Travel to any inland town and speak with one of the merchants.
Select:
"I wish to form a caravan in this town."
You'll then be given two options:
Standard caravan
Caravan with better troops
Personally, I usually choose the standard version. The upgraded troops can help initially, but they tend to get replaced over time, making the extra cost harder to justify.
Once you've selected a companion to lead it, the caravan will automatically begin trading throughout Calradia.
How To Create A Trade Convoy
Trade convoys work almost the same way, but they can only be created in port towns.
You can identify these settlements by the large anchor icon connected to the sea.
Once inside the town:
Speak to a merchant
Choose to create a convoy instead of a caravan
You'll then choose between:
Normal trade convoy
Armored trade convoy
Convoys generally produce higher profits because sea trade routes can be extremely lucrative.
However, those same routes attract some of the most serious threats in the game.
Sea raiders, pirates, and enemy nobles are much more common on naval routes than regular bandits are on land.
Because of this, I almost always recommend the armored version whenever possible.
Convoys Carry Extremely Valuable Goods
One reason naval trade can be so profitable is the quality of the goods being transported.
Convoys regularly move valuable resources such as:
Weapons
Armor
Jewelry
Tools
Food
Hardwood
Iron Ore
Livestock
Trade Materials
Luxury goods are also common:
Velvet
Silver Ore
Oil
Jewelry
Because of this, convoy routes become incredibly valuable both economically and strategically.
Caravans Vs Workshops
Players often ask which investment is better.
Honestly, I've never viewed them as direct competitors.
Workshops provide stability because they're tied to a specific settlement and generally face fewer risks.
Caravans have higher earning potential, but they can also be destroyed.
Because of that, I usually combine both systems whenever possible.
Workshops provide a reliable foundation, while caravans and convoys create additional opportunities for growth.
Best Perks For Caravans And Convoys
Certain perks can significantly improve performance.
Best Trade Perks
Wholesaler
Caravan Master
Insurance Plans
Great Investor
Best Scouting Perks
Day Traveler
Pathfinder
Unburdened
Best Perks For Attacking Convoys
If you're planning to raid convoys instead of operating them, several perks become extremely valuable.
Pirate's Prowess — Grants 30% more loot from defeated merchant convoys
Roguery perks — Further increase battle loot rewards
Expanding Your Trading Network
Once my first caravan starts generating reliable income, I usually begin planning for a second one.
What I don't do is spend every denar I own creating multiple caravans at once.
I've learned that gradual expansion is much safer.
One successful caravan can help fund the next, and if something goes wrong, you're not risking your entire treasury.
Bannerlord tends to reward steady growth far more than reckless expansion.
Final Thoughts
For me, caravans and convoys are absolutely worth using.
They're not the fastest way to make money, and they won't instantly turn you into the richest ruler in Calradia.
What they offer is consistency.
While you're busy fighting battles, managing politics, recruiting nobles, or expanding your kingdom, your trade network continues working in the background.
Some of my most successful campaigns were supported by caravan income that I barely had to think about once everything was set up properly.
If you're looking for a reliable source of passive denars, caravans are usually the safest place to start. If you're willing to accept higher risks in exchange for potentially larger profits, trade convoys can become incredibly valuable over the course of a long campaign.
And honestly, there's something satisfying about winning a major battle and realizing your caravans were making money the entire time.
