Business Credit Magazine May 2014 | Page 27

working capital facilities, financed by commercial lenders and backed by an Ex-Im Bank’s guarantee, provide businesses with the liquidity to accept new business, grow international sales and compete more effectively in the global marketplace. Such facilities can also be used by exporters to post standby letters of credit when foreign buyers request bid or performance bonds. Ex-Im partners with 35-40 commercial banks to improve access to credit and will assume 90% of the lender’s credit risk to help US exporters secure access to financing. In 2013, Ex-Im issued in $2.6 billion credit authorizations to support the export based working capital needs of US small, medium and large businesses. US Regional Offices Orange County, CA When engaging in international trade, US exporters often prefer to avoid foreign buyer credit risk and require advance payment before shipment. A host of reasons makes cash or letters of credit “king” in interna ѥ