California Community Economic Revitalization Team
|
California Community Economic Revitalization Team |
Export Finance Services |
|
Agency : CA Trade and Commerce AgencyProgram : Export Finance ServicesProgram Description : The California Export Finance Office (CEFO) help exporters finance their export sales by providing working capital loan guarantees to financial institutions on behalf of small and medium-sized California companies to support specific export transactions.CEFO Pre-Shipment Working Capital Guarantee - guarantees a working capital loan used to purchase materials, services and labor for specific export orders. CEFO must be satisfied that the transaction is economically sound and that the exporter can fulfill the performance requirements, as stipulated in the purchase order or letter of credit to complete the export sale. CEFO Post-Shipment Account Receivable Guarantee - allows exporters to extend open account terms to foreign buyers for the purchase of California goods and services, usually extended in conjunction with Eximbank or private credit insurance. CEFO’s guarantee covers post-shipment risks pertaining to exporter performance not normally covered by Eximbank or private insurers. When an exporter is shipping on open account, CEFO may provide Eximbank insurance through a state-held umbrella policy. The exporter only needs to qualify the foreign buyers and pay the insurance premiums on the transaction. CEFO Combination Guarantee - applied when pre-shipment financing is required, but the nature of the transaction includes post-shipment exposure. The guarantee conditions are similar to those stated for the Pre-shipment and Post-Shipment Guarantees. Eligible Communities : Contact Trade and Commerce.Funding Information : CEFO’s guarantees cover 90 percent of an export loan, allowing for a maximum guarantee of $750,000 and a loan of $833,000. Guarantees support: Short term (up to 18 months) transaction specific working capital loans; Single or multiple transactions (revolving line of credit); and Cash loans or the issuance of standby letter of credit.Timelines : Applications are accepted year roundContact : Michael D. FarstadNorthern California Regional Manager Techmart Building 5201 Great America Parkway, Suite 350 Santa Clara, CA 95054 Phn (408)986-8373 Fax (408)980-0280 Int www.commerce.ca.gov/index.html |