This post originally appeared on the Tradeology, the ITA Blog
Jonathan Rees is the Managing Director of Western Union Business Solutions in North America. Western Union Business Solutions is an International Trade Administration Strategic Partner.
A healthy U.S. economy includes strong exports. In an age of ever-increasing global trade, these exports indicate the demand for U.S. products and services, particularly in countries with an expanding middle class.Since 2010, the government has committed to help U.S. businesses find buyers worldwide, win more contracts, and learn new ways to sell products and services overseas. This commitment highlights the importance of small and medium-sized enterprises (SMEs) in propelling the American economy.
However, after a sharp appreciation, over the last two years U.S. exports have been showing signs of hitting a plateau.
The good news is this: U.S. exports have abundant room to grow. In fact, compared to other industrialized countries, there are signs that the United States is only beginning to tap into its export potential.
This seminar will be available in person and via teleconference, covering a series of important export finance subjects:
How to get paid from export sales;
Ways to approach and work with banks to enter and grow in global markets;
Steps to access export working capital and trade credit;
How to increase export sales and reduce the risk of nonpayment by foreign buyers;
Methods of receiving payment in foreign currencies;
U.S. government export assistance resources; and
Global business development resources for minority-owned businesses.
Global Connect: Arizona will bring together experts from both the public and private sectors to discuss resources available to U.S. exporters. This applies to businesses of any size for their financing needs.
National Export Initiative Connects Businesses with World Markets
Did you know that according to the latest U.S. Census Bureau data, minority-owned firms are twice as likely to export as other U.S.-owned businesses? The data indicates that minority-owned firms are best positioned to succeed and expand in the growing global economy. With 95 percent of the world’s consumers outside of the United States, exporting enables businesses to boost their bottom line while building their international competitiveness. For many U.S. firms, international diversification has enabled them to weather changes in the economy much better than if they had been selling only in their backyard.
That said, many more minority-owned firms could be exporting more. Many business owners that I meet don’t export, in part because they believe exporting is too burdensome, or they’re unaware of the various resources available to assist them. However, expanding your business through exporting is more viable today than ever before. If you have a good track record of selling in the United States, one of the most open and competitive markets in the world, you are likely a good candidate to make overseas sales.
In 2010, President Obama launched the National Export Initiative (NEI),aimed at expanding federal government-wide efforts to assist exporters while supporting millions of U.S. jobs. These efforts have helped contribute to record U.S. exports culminating in an all-time high of $2.2 trillion in 2012. As a result of the NEI, more and more businesses are taking advantage of key export tools and resources to expand their global market share.
Many small businesses think they are too small to compete in the world market. In fact, 97 percent of all exporters are small businesses. The U.S. Government has loans, insurance and grant programs to help you become an exporter or expand your exporting business. Here are four different types of financing programs:
Export Development and Working Capital Financing
Enables U.S. businesses to obtain loans that facilitate the export of goods or services by providing the liquidity needed to accept new business, grow international sales and compete more effectively in the international marketplace.
The Guide is a simple and effective tool designed to help U.S. small and medium-sized enterprises (SMEs) learn the best ways to get paid from export sales. Now that the Guide is also available in Spanish, it can better help U.S.-based Hispanic and Latino companies compete in global markets.
What is the Trade Finance Guide?
The Trade Finance Guide covers 14 subject areas in easy-to-understand two-page chapters that are written in plain language. The Guide is:
A “60-minute” self-learning tool for new-to-export SMEs that wish to learn how to benefit from export sales.
A user-friendly tool for international credit, banking and trade finance professionals, as well as export counselors for client assistance.
A flexible educational tool for professionals teaching international business.
As U.S. businesses seek to expand their global footprint in emerging markets, the demand for a dependable global financial partner is imperative. The Export-Import (Ex-Im) Bank of the United States is the official credit agency of the United States and offers solutions to U.S. companies to assist with demystifying international financing options. Its mission is to assist in financing the export of U.S. goods and services to international markets.