Observations on Financing Small Businesses' Exports

By Robert S. Fisher

Excerpt:

Governments sponsor trade support programs designed to promote the country's exports. These programs often include a variety of financing and insurance programs. The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States. Ex-Im Bank assists U.S. businesses in financing the export of goods and services to international markets. A business seeking to expand its marketing overseas may consider looking to the Ex-Im Bank. The bank may offer businesses insurance covering, among other things, the risk of buyer nonpayment in connection with certain letter of credit transactions.

Historically, the export trade has been the province of mid- to large-size companies or huge distributors, which are better able to absorb the risks of such trade and better schooled in how to sidestep the pitfalls. Farmers, for instance, often sell for export through domestic cooperatives, which in turn deal with international distributors. In the defense sector, a small business with a hot product may wish or be forced to deal with big defense contractors. This can apply to software as well as to hard or durable goods.

ABOUT THE AUTHOR(S):
Robert S. Fisher has practiced extensively in the area of consumer financing of motor vehicles, recreational vehicles, recreational yachts, general aviation aircraft, and general commercial equipment leasing. He has represented banks, finance, general leasing, and yacht chartering companies in setting up leasing programs and in the purchase, sale, and securitization of vehicles and equipment.

He has lectured on recreational vessel matters before the Maritime Subcommittee of the American Bar Association, where he is chair of the Boat Working Group of the National Title Task Force, and at the Association of the Bar of the City of New York, where he was a member for two terms of the Admiralty Committee. He has also lectured for the Conference on Consumer Finance Law of Oklahoma City University School of Law and written for the Consumer Financial Quarterly and the Rutgers Law Review. Mr. Fisher writes frequently on maritime legal topics for Yachting Magazine.

Access the full version of Observations on Financing Small Businesses' Exports with your lexis.com ID. Additional fees may be incurred. (approx. 6 pages)

If you do not have a lexis.com ID, you can purchase this commentary and additional Emerging Issues Analysis content at the LexisNexis Store.

. . . .

For more information about LexisNexis products and solutions connect with us through our corporate site.