The Edward B. De Leo Company of Fairfield New Jersey was founded by its namesake in 1962 and since then the company has become one of the leading distributors of automotive, upholstery and multi-use textiles in the world. Manufacturers of everything from golf bags to buses to elegant sofas and chairs have used textiles from Edward B. De Leo to create their products, and the company continues to expand their lines of fabrics. The company has been selling to international customers since its inception, and it is continually exploring new markets for their products.
Cash is king for many companies and managing cash flow is particularly important for small businesses. Edward B. De Leo Company successfully negotiated sales with buyers in Central and South America and needed capital to produce the products to fulfill these orders. Commercial banks, however, would not include uninsured foreign receivables in the company’s borrowing base, which limited the company’s access to capital.
With export credit insurance from EXIM Bank the Edward B. De Leo Company accomplished two goals. First, with the company’s foreign receivables insured, their commercial lender included these receivables in the company’s borrowing base, and provided them working capital to produce the products needed to fulfill international orders. The company also received the added benefit of knowing that their foreign receivables were protected against nonpayment by international buyers. With this peace of mind, the Edward B. De Leo Company is considering expanding their product offerings into new foreign markets, and EXIM will continue to be there to help the company grow!
Want to learn more about how EXIM Bank provides financing solutions to help your small business increase its foreign sales while mitigating the risk of foreign transactions? Contact your local EXIM representative for a free consultation: