WASHINGTON, Oct. 27 /PRNewswire-USNewswire/ -- Detroit area small businesses can grow profits and jobs by exporting, with the help of innovative financing tools from the Export-Import Bank of the United States (Ex-Im Bank), Ex-Im Bank Board Director Diane Farrell said today.
Speaking on a panel at the 2010 International District Export Council Conference at the Detroit Marriott Renaissance Center, Farrell stressed the importance of exports to small businesses.
"Ninety-five percent of the world's customers live outside of the U.S., but only 1% of U.S. businesses are exporting," she said. "Ex-Im Bank wants to help you successfully compete for sales to foreign buyers."
Farrell noted the successful export by DMK International, LLC, a small engineering services firm in Macomb, Mich., of 55 high-technology firefighting vehicles to Turkey, backed by a $39 million Ex-Im Bank loan guarantee. "Based on this and future contracts, General Purpose Vehicles of New Haven, Michigan, a supplier on the export sale, expects to expand its workforce from 120 to 220 people," she said.
Farrell also described the Bank's new financing products that make it easier for local companies to sell their products and services in global markets:
Supply Chain Guarantee: increases liquidity for small-business suppliers of goods and services to U.S. exporters. Ford of Dearborn, Mich. is the first to use this product to finance $3.1 billion of export sales for over 200,000 vehicles. Ford and hundreds of its small business suppliers can compete in the global marketplace, and support thousands of high-paying, export-related jobs in Michigan and other states, through this financing.
Reinsurance: helps U.S. small-businesses obtain private-sector insurance to cover risks of nonpayment of foreign receivables. Participating private-sector insurers can get reinsurance from Ex-Im Bank.
Solar Express: provides streamlined financing for U.S. exporters of solar-energy equipment for small solar-energy projects.
In fiscal year 2010, Ex-Im Bank helped Michigan companies export $158.2 million in goods and services. Of this, $129.2 million consisted of small business exports.
To learn more about Ex-Im Bank's financing products, visit our web site at www.exim.gov or call 312-353-8072 to reach Jan Blaho in the Bank's Midwest Regional Office.
Ex-Im Bank, an independent, self-sustaining federal-government agency, helps create and maintain U.S. jobs by filling gaps in export financing and strengthening U.S. export competitiveness. The Bank provides a variety of financing mechanisms, including working capital guarantees to help small and medium-sized U.S. businesses, export-credit insurance to protect against nonpayment by foreign buyers, and loan guarantees and direct loans to assist foreign buyers of U.S. goods and services. In fiscal year 2010, Ex-Im Bank authorized a record high of approximately $24.5 billion in loans, guarantees and insurance, including more than $5 billion in authorizations for small businesses.
SOURCE Export-Import Bank of the United States