Export Finance

Are you ready to maximize your small businesses growth potential? Export finance is a great way to grow your business in a hurry. When you deal with export finance, you must be careful about the amount you are exporting as you can quickly ruin your cash flow and leave your business in a bind. While it is great to open your business up to foreign markets, it does open the doors to a lot of risk.

When you deal with foreign markets, you deal with slower payments. Sure you can set up online payments, but that doesn't necessarily mean you will receive your money in 30 days or less. Slow paying customers are a huge burden to your cash flow and will quickly cause your business to get into trouble. Working with a collection company can help you acquire your money sooner but even then you will still have struggles to acquire all of your money. Start asking for 30% or more of each order so you don't get burned on the cash flow while you are waiting for the other 70% of the invoice to come in.

Your best option to salvage your business credit rating from dropping due to unpaid bills on your end is to get in touch with an export finance company. They will accelerate payments from your foreign customers. What they do is buy out your invoices and give you money within 48 hours for the invoices. You will receive most of the money up front and they will go about collecting the rest of the money. After they collect the funds, you will be paid minus their fee.

Collecting money from unpaid invoices is hard enough on its own not to mention the time change and language barrier you will face as you deal with foreign customers. Allow an export finance company to take care of the messy collection process so you can focus on creating better products and services.

So what's the catch with export finance? You must do a lot of sales in foreign lands so there is actual money to collect. It is also essential to make sure you are working with reputable customers that actually pay their bills. When an invoice grows older than 90 days its almost impossible to collect on these funds and the export financing company will not take on your business accounts and provide you with the financing you need.