In order to compete in business, small business owners must expand into markets outside the United States. But it’s not as easy as it sounds. Any business wanting to expand needs financing. For African-American entrepreneurs wanting to expand into African countries, the U.S Export-Import Bank is here to help.
What is the U.S. Export-Import Bank?
The U.S. Export-Import Bank is actually the official export credit agency of the United States. It’s function is to work with financial lenders and brokers in order to help entrepreneurs in the U.S. find the help they need to sell outside the U.S. Unlike private banks, the agency can offer financing not available at other institutions. They will provide a guarantee to lenders and brokers who work with them on lending to small businesses wanting to invest in African countries.
In addition to financing and loans, the agency offers different kinds of insurance to reduce risk. Small businesses must have good credit in order to get a loan. Even though the agency is a government-owned bank, entrepreneurs must demonstrate their ability to re-pay loans.
Only about 1 Percent of Businesses do Exporting
The services offered by U.S. Export-Import Bank are so important to small businesses, only 1 percent of whom do any kind of exporting. In a global market where it is estimated that 95 percent of customers are located outside the U.S., doing businesses with the U.S. Export-Import Bank can make a huge difference for small businesses.
For more information on the U.S. Export-Import Bank, visit www.exim.gov