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Small Business Initiative

The Small Business Initiative is a PEFCO undertaking to assist lenders with funding problems that are not efficiently addressed under PEFCO's standard formats and to assist small exporters obtain access to reliable lenders for the financing of their exports. All Small Business Initiative programs have been created at the request of a lender or Ex-Im Bank. PEFCO encourages lenders to use the Small Business Initiative when they have special funding needs.

Examples of Small Business Initiatives

Accessible Lender Program:

a referral service for exporters. PEFCO will introduce the exporter to a reliable lender willing to provide export financing on a transactional basis. The exporter must have current business that requires financing.

Committed Purchase Program:

for exporters who need certainty of access to financing before marketing their products overseas. PEFCO will work with the exporter's lender, or a reliable lender introduced by PEFCO, to provide the exporter with certainty that financing will be available on reasonable terms, subject to approval of Ex-Im Bank coverage.

Emerging Markets Lender Program:

for small foreign lenders with their own MGA that finance importers in their own and other countries but which lack access to low-cost US dollars.

Small Lender Program:

for small lenders with their own MGA that specialize in financing small exporters and small-value loans but which fail to meet PEFCO's minimum standards for financial strength. Requires the personal guarantee of shareowners.

Small Loan Program:

for exporters of small-value products or services. PEFCO will work with the exporter's lender, or a reliable lender introduced by PEFCO, to reduce the administrative burden of financing small loans.

Small Business Lender Council:

for lenders unable to provide the export finance needs of their small business clients. Lenders participating in the Council provide a reliable funding resource that can provide the financing on a non-competitor basis. The Council also provides a forum for participating lenders to meet with the Ex-Im Bank to discuss issues affecting the financing of small businesses.

Stand-In Lender Program:

for lenders of all sizes that originate medium-term export loans that they are not able or willing to make themselves but would like to occur to support a client. PEFCO will stand-in and make the loan as direct lender on behalf of the originating lender under PEFCO's own Ex-Im Bank guarantee or policy.

Trade Association Program:

for organizations with exporting members (e.g., trade associations and City/State agencies). PEFCO will work with the organization to provide its members with access to financing from reliable lenders.