Services

Export-Import Financing

The declining dollar can provide potential advantages for domestic manufacturers.

Export opportunities are possible in the fastest growing economies of China, India, Russia and Brazil.

Explore the potential of exporting your products overseas.

International factoring can provide the solution necessary for your capital requirements.

Small and mid-size business find export-import financing presents considerable challenges and rewards.

Export import financing requires that the business owner get acquainted with the tools of export-import financing.

They need to be versed in export factoring, international credit insurance, letters of credit, purchase order finance and forfaiting.

The potential complexity and difficulties of export-import financing will cause many small and mid-sized businesses to simply miss out on opportunities that could potentially generate thousands to millions of dollars in revenue.

Export factoring or international factoring is a rapidly growing form of commercial finance that is replacing usage of traditional letter of credit transactions.

Perhaps the greatest benefit of international factoring is the quickness that a deal can be complete, often within a time frame of 48 hours.

Import export financing transactions
require the following four steps.

1. The exporter needs to complete an export factoring agreement with an export factor located in their country.
   Basically the terms of the contract stipulate that the exporter assigns all the export account receivables over to the export factor.
   The export factor will perform the traditional activities required to complete the factoring transaction.


2. The export factor chooses an international factor located in the country to which the goods are exported.
   The export factor than reassigns the accounts receivable to the import factor.


3. Credit lines are then established by the import factor for the importers.
   Terms of sale and particular transaction amount are specified in the credit line.
   All the details are confirmed by the export factor to the exporter.


4. Upon shipment of the goods, the exporter will invoice the importer.
   It is the duty of the import factor to handle collection of the invoice from the importer.
   Funds are forwarded from the import factor to the export factors bank.

Factoring Advantage can readily handle and complete the financial arrangements required for your business to participate in export-import trade.

Export factoring arrangements are made with Factors Chain International. We also have relationships with international credit insurers that include Euler ACI.

These firms provide international export credit insurance for shipments to almost any country in the world.

Factoring Advantage can guide your small or mid-sized business through the complexities of Export-import financing.

Even the largest and best capitalized companies face the same challenges.

Don't ignore this potentially lucrative area of international export business due to lack of knowledge or experience.

Let the professionals at Factoring Advantage assist you in your international credit and financing transactions.

Factoring Advantage can professionally provide your business with your international export import financing needs.