On March 28, 2017, EXIM Bank will host the Greater Washington Hispanic Chamber of Commerce Women’s Group for an educational session on growing profitable companies and understanding the opportunities that international sales offer small businesses. The event will feature Debbie Askin, Founder and CEO of Virginia-based Team Askin Technologies, Inc. (TATI), a certified woman-owned small business that provides software and consulting services including regulatory information management systems and aviation regulatory expertise.
In 2009, TATI bid on a multi-million dollar contract for an international customer. While this was a welcome opportunity, TATI was required to post a 10 percent performance bond to participate in the bidding process, which would put a strain on its cash flow. Working with EXIM and its commercial lender, TATI obtained a working capital loan guarantee that empowered it to submit a proposal, and ultimately win the business.
“The working capital allowed us to post the bond required by our contract. Most small businesses don’t have that amount of disposable working capital. Thanks to the loan guarantee provided by EXIM Bank, we were able to obtain the funds to meeting this important contract and increase our exports tenfold,” said Ms. Askin.
Winning an international contract is an exciting step, but it can pose a second challenge. How does a small business ensure that it will be paid for the products and services delivered to an overseas buyer? Global Insurance Services, LLC, an experienced EXIM broker located in Ellicott City, Maryland, helped TATI obtain export credit insurance from EXIM Bank to mitigate the risk of nonpayment by foreign buyers. With an export credit insurance policy from EXIM, small businesses can offer open credit terms to international buyers knowing that 90 to 95 percent of the value of their invoices are protected from nonpayment by the full faith and credit of the United States. Simply put, a busy small business owner does not have to worry about not getting paid.
The TATI website presents a compelling case. “When our clients achieve exceptional success in their missions, the skies are safer to fly …” A working capital loan guarantee gave TATI the capital the company needed to win. Export credit insurance provided protection in the event that the customer would not or could not pay the bills. And we may all be safer for it.
Visit the Greater Washington Hispanic Chamber of Commerce to register for the event and contact an EXIM representative to learn more: