Financial issues can often make or break an international trade deal. In fact, some companies even pass up profitable overseas business because of concerns over financing and financial risk. GDEcD and its USEAC partners offer a number of trade finance and insurance programs that can assist you. Our in-house experts will help you select the right program for your specific needs, so you can enter international business deals with confidence.
Export Working Capital Guarantees
Fulfilling an international order often requires substantial up-front working capital to purchase required components, install new production equipment, and even pay the workers. Export Working Capital Guarantees can help make available the funds needed cover these costs, while still meeting your regular operating expenses. These guarantees are available from both the U.S. Small Business Administration (SBA) and the Export Import Bank of the United States (Ex-Im Bank).
Buyer Financing
Winning a lucrative overseas contract often hinges on the payment terms you can offer your customer. Ex-Im Bank provides both credit insurance and loan guarantees to qualified foreign buyers of U.S. goods and services. These programs are designed specifically to help U.S. firms compete in the global marketplace and win their share of the business.
Plant Expansion Financing
The U.S. Small Business Administration (SBA) has a special International Trade Loan Program designed to help cover the cost of plant expansions for new export business. Several other SBA programs are also available to facilitate foreign and domestic sales expansion.
Pre-Export Working Capital
Working capital guarantees are designed to work with a bank to make available financing that an exporter may otherwise find difficult to obtain. Working capital guarantees are available for transaction-specific financing, or in support of revolving lines of credit. The SBA and Ex-Im offer working capital guarantees. These programs differ in the amount of loans they offer and the content of the product. To determine which program best suits your needs, contact the USEAC.
Foreign Credit Insurance
Foreign credit insurance is a useful product for exporters whoare looking for ways to extend more favorable sales terms to their buyers while minimizing the risk of non-payment. Insurance is used to insure payment for the goods against commercial or political risks. This is often a low-cost alternative in circumstances where letters of credit may not be feasible or cost-competitive. The Ex-Im Bank offers several insurance policies to suit the particular needs of the exporter.
Finance Counseling
The University of Georgia’s Business Outreach Services provides in-depth financial counseling and loan packaging.
Agricultural Exports
For food and agricultural products, the U.S. Department of Agriculture sponsors several financial assistance programs. Contact the Georgia Department of Agriculture for more information at 404-656-3740.
Project Finance
Federal assistance programs are available through the U.S. Department of Commerce, Overseas Private Investment Corporation, and the Trade and Development Agency.
Multilateral Development Banks
Suppliers, contractors and consultants seeking information on project finance in developing countries should contact the Multilateral Development Banks (Asian, African, Inter-American, European Bank for Reconstruction and Development, and the World Bank), at the liaison office in the U.S. Department of Commerce 202-482-3399.
Bankers Association for Foreign Trade
The Bankers Association for Foreign Trade, a non-profit association of approximately 450 banks, matches exporters in need of trade financing with interested banks. They can be contacted at 800-49-AXCAP (492-9227) or 800-492-9227.
Contact the U.S. Export Assistance Center (USEAC) to determine which program is right for you at 404-897-6090 or trade@georgia.org.