Wednesday, June 1, 2011

Need Help Securing Financing for Norland International Products?

The Export-Import Bank of the United States (Ex-Im Bank) – the official export credit agency of the United States – supports the purchases of U.S. goods and services by creditworthy international buyers that cannot obtain credit through traditional trade finance sources. They offer trade financing solutions and help turn your business opportunities into real transactions.

Ex-Im Bank does not compete with private sector lenders but provides financing products that fill gaps in trade financing for U.S. -made products such as those from Norland International. They assume country and credit risks that the private sector is unable or unwilling to accept.

Medium-Term Financing

Medium term (up to 5 years) financing is normally preferred by Norland customers who have utilized Ex-Imp bank thus far. Ex-Im Bank supports your purchases of Norland products and related services by guaranteeing or insuring loans to buyers located outside of the U.S.A. In some cases, Ex-Im Bank also provides direct loans to buyers. Ex-Im Bank will support up to 85% of the contract amount after a cash down payment of at least 15% has been made.

Benefits:

• Enables you to obtain financing from commercial lenders for your purchases of Norland products and services

• Floating interest rate negotiated between you and the lender

• Local costs and eligible project costs, such as ancillary services (e.g., financial, legal and technical consulting fees) may be financed

• Loans are denominated in U.S. dollars

Loan Guarantees

Ex-Im Bank loan guarantees covers 100% of loan principal and accrued interest and is available for medium-term repayment, which is usually determined by transaction size. The interest rate charged is usually a floating rate, negotiated between the buyer and the lender.

Insurance

Ex-Im Bank also offers medium-term insurance with similar eligibility requirements. In some cases, Ex-Im Bank will extend a direct loan to an international buyer. The down payment requirements are the same as those for the loan guarantee, but direct loans have a fixed interest rate, based on the U.S. Treasury rate.

How to Apply for Ex-Im Bank Financing

• You may apply online at Ex-Im Bank’s website (http://www.exim.gov). Or you may contact the Ex-Im Bank Business Development Division (U.S. tele: 202-565-3946) for information about applying for Ex-Im Bank export credit insurance

You can apply for Ex-Im Bank financing for medium-term loans and guarantees using the Letter of Interest (LI) Application or the Preliminary Commitment (PC)/Final Commitment (AP) Application. Apply for Ex-Im Bank financing when you have determined that financing from the private sector is either unavailable or the amount and/or terms offered are inadequate to enable you to purchase Norland products. In most cases, either the LI or AP will be appropriate.

Norland International works closely with Ex-Im Bank representatives to help facilitate your investment finance of Norland systems. To learn more about the Ex-Im Bank and their resources available to you, visit their website at http://www.exim.gov. Please note that to qualify for Ex-Im Bank programs normally requires an existing company to have 2-3 years’ financial results