Export Financing: Four Things You Need to Know

by | Oct 13, 2016 | Financial Services

Export financing is a fantastic tool for keeping your export company going in the face of uncertainty. When conducting business on the open global market, American exporters constantly attempt to mitigate the risk of foreign buyer nonpayment. One of the best tools for doing this is an export-financing program.

When you partner with an export financing provider, your business has much more flexibility and the ability to expand with more confidence. Drake Finance offers export financing as part of our services, and helps your company meet several crucial needs:

  • Export financing from Drake Finance provides up to 90% of the total value of an invoice to American exporters immediately upon shipment. There is no waiting for the buyer to send payment or need to chase one down for nonpayment. Drake Finance will extend open account payment terms to the buyer for up to 180 days.
  • Your funds are available immediately. If open invoices tie up your revenue, they’re not doing your company any good. With export financing from Drake Finance, your working capital is free to use as soon as you send a shipment.
  • Flexibility for you and your customers means more confidence in the international market. After shipping, your company receives the bulk of the invoice amount – as much as 90% if you work with Drake Finance – and you receive the remainder once the buyer pays, less any applicable fees. You receive almost all of an invoice as soon as you ship it, and the buyer can pay for the purchase over time. This keeps international trade moving.
  • Maintain your supply chain. When you’re able to collect on open invoices immediately, you no longer need to worry about your shelves going bare before a larger-than-usual order or not having the labor to handle a busy season. Export financing means you receive payment immediately upon shipment, and you can instantly put that revenue to use growing and optimizing your operations.

Export financing is only one of the many services available to American exporters from Drake Finance. If you think export financing could be beneficial to your company, reach out to the professionals at Drake Finance to learn more and to start the application process. Export financing will allow you to operate more efficiently and with greater confidence, expand more rapidly, and maintain your company’s crucial operational processes.

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