Loan Guarantees
FEFC financial assistance to exporters is in the form of guarantees given to commercial lenders who make loans to exporters to support a verified foreign order.
The exporter may apply directly to the FEFC for a loan guarantee or a lender may apply on behalf of an exporter. The maximum amount FEFC will consider guaranteeing is $500,000 and the FEFC guarantee may not exceed 90% of the loan value. The loan is to be secured by the foreign receivable generated by the sale. EXIM Bank or other acceptable foreign risk insurance should be obtained where possible. To qualify for an FEFC guarantee, a business must demonstrate that it is unable to qualify for a conventional bank loan.
FEFC Programs Features
- Loan guarantees for the lesser of 90% of the loan or $500,000, and up to 100% of the cost of goods sold.
- No minimum size.
- May be used to support loans or standby letters of credit.
- Available for pre-export working capital and/or post export receivables financing.
- Maximum term for pre or post-export is 180 days, combination is 360 days.
- Reduced turn-around time for approval.
- Flexible collateral requirements.
- Start-ups are acceptable.
Need More Info?
Please call the FEFC office at (786) 845-0400) for further information on program limitations and criteria.