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Working Capital GuaranteeWe know that in order for you to begin exporting internationally, you'll need access to a dependable source of working capital that provides financial stability while you expand exports. Our working capital financing does that by enabling small business exporters like you obtain loans which facilitate the exports of goods or services. Made by commercial lenders and backed by our guarantee. These loans provide you the liquidity and confidence to accept new international contracts, grow your export sales, and compete more effectively in the international marketplace. How do we do it?Our Working Capital Guarantee encourages commercial lenders to make working capital loans by providing them with a 90% loan backing guarantee, which decrease their risk. With Ex-Im Bank our Delegated Authority Lenders - lending partners with whom we have agreements - can expedite your loan process by evaluating your eligibility against our requirements, and offer our guarantee before we transact with the lender. You'll get the loan you need when you need it. As a small business exporter, you'll enjoy leveraged assets from an expanded borrowing base along with higher advance rates, and Ex-Im Bank's Working Capital Guarantee can cover both multiple export sales or individual contracts. Benefits
With our guarantee in place, your business can start putting these working capital loans to work, purchasing raw materials or supplies while supporting related overhead. You'll also be able to use them to issue standby letters of credit serving as a bid or performance bond and for financing foreign receivables. Loan terms are typically for one, but can extend up to three, years, and the working capital line can be used on a single transaction or revolving basis. There is no minimum or maximum transaction amount. Borrowing CapacityOur generous advance rates mean you can borrow more with less:
Indirect exportsWe also support indirect exports, meaning that companies producing goods or services sold to U.S. companies and subsequently exported, are also eligible to apply for working capital loans guaranteed by Ex-Im Bank. Fees / Interest RateThe following fees come with our Working Capital Guarantee:
CollateralWe secure these guaranteed working capital loans by export-related accounts receivable and inventory (including work-in-process) tied to an export order. For letters of credit issued under the guaranteed loan, we only require collateral for 25% of the face value of the letter. On a per case basis, the collateral requirement may be reduced to 10% of the face value of the letter of credit. Is my business eligible?In order to qualify for our Working Capital Guarantee Program, a small business exporter:
Getting StartedPlease visit the nearest Ex-Im Bank office for a free consultation with an Export-Import Bank Trade Finance Manager, call 202-565-3946 or email us at info@exim.gov. |
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