iF October DIGITAL September-October 2020 | Page 46

business
American Manufacturers Can
Grow Export Sales with Support
from the U.S. Government
By James Burrows
Senior Vice President, Office of Small
Business, EXIM
Boosting sales. Increasing revenue.
Supporting jobs. These are all challenges
that U.S. companies face, especially
those who sell their goods
and services around the world. The
Export-Import Bank of the United
States (EXIM), with a mission of
supporting U.S. jobs by facilitating
exports, can assist U.S. manufacturers
in overcoming these obstacles and
growing their businesses with competitive
financing solutions on both
ends of the transaction that support
the exporter and the buyer.
46 iF Magazine |September-October 2020
EXIM is an independent federal
agency that enables U.S. businesses of
all sizes to compete successfully and
win sales in more than 180 countries.
When private-sector financing is unavailable,
EXIM can fill the gap, helping
level the playing field to enable
U.S. businesses and workers to compete
effectively in the fierce global
marketplace. In doing so, EXIM
partners with, but does not compete
with, banks, credit unions, and other
lenders to empower U.S. businesses
to increase their exports.
For American manufacturers, this
support can be critical. EXIM assists
by allowing companies of all sizes to
extend credit to buyers and access vital
working capital, which are major
barriers to global growth for many
companies. Manufacturing is essential
to the nation — and to EXIM,
comprising half of the agency’s customer
base in terms of total support.
In addition, more than 90 percent of
EXIM’s transactions directly support
small businesses, which means no
deal is too small.
EXIM’s Extensive Support for Manufacturers
EXIM is a long-standing global leader
and innovator in the development
of competitive export credit financing
solutions. The agency provides
these key tools for U.S. manufacturers:
• Export credit insurance, an insurance
policy that covers a business’
foreign accounts receivable against
commercial and political risks. It
assures U.S. companies that their
bottom line will be protected
should a foreign customer fail to
pay. If a foreign buyer defaults due
to an unforeseen bankruptcy or
foreign political issue, EXIM will
reimburse the business for up to 95
percent of its sales invoice.
• Working capital loan guarantees,
which provides a line of essential
credit from lenders to fulfill sales