The most fundamental
reason to export is to improve your company's
bottom line, but to compete and expand abroad can require additional
resources domestically. The SBA has a program which can assist your
small business in...
- Financing machinery and equipment;
- financing real estate; and/or
- improve competitive position which has been
adversely affected by import competition.
How Does An International Trade Loan
Work?
SBA guarantees to commercial lenders up to $1.25 million in combined
working-capital and fixed asset loans, including any other current SBA
loan guarantees. Working capital may be made according to the
provisions of the Export Working Capital Program or as a permanent
working capital loan.
Interest Rates And Terms
SBA offers the competitive rates and terms small businesses need to
compete globally. Such as ...
- Rates for loans with maturites under 7 years may not
exceed 2.25% over the prime rate.
- Rates for loans with maturities of 7 years or more
may not exceed 2.75% over the prime rate.
- Maturities can be up to 25 years for real estate, up
to 15 years for equipment, and/or up to 10 years for working
capital.
Collateral
SBA requires the lender to take a first lien position on fixed assets
financed under the ITL. Personal guarantees usually are required to
support the credit. Only collateral located in the United States, its
territories and possessions is acceptable for a loan made under this
program.
Do I Qualify?
If you are a small businesses looking to significantly expand existing
export markets or develop new export markets or looking to improve
your competitive position which has been adversly affected by import
competition, this program can help you!
Other Financing Needs?
The SBA offers a range of long- and short-term financing options for
small business exporters. The
Export Working
Capital Program can help with all your pre- and post-export
financing needs.
For More Information
Your first stop should be your nearest
U.S. Export
Assistance Center or SBA
District Office. Each center offers a full range of export
programs and services under one roof. Experts from the SBA, the U.S.
Department of Commerce, the Export-Import Bank of the United States,
and other public and private partners are available to answer your
questions and help you expand your export business.
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