Export Finance & International Payments

Having the right export trade finance in place can enable you to make the most out of international opportunities. Waiting for payment and covering the risk of non-payment are important issues for the UK exporter to take into account. It is very important to discuss your export trade finance plans with your bank as soon as possible. Where there is no provision in the private sector UK Exporters can seek assistance through UK Export Finance.

UK Export Finance (UKEF) is the UK’s export credit agency. They help exporters by sharing the financial risks of selling overseas, with support such as insurance and credit guarantees for their banks. They can also guarantee loans to overseas buyers of UK exports, or lend directly to buyers. UKEF can support exports of goods, services and “intangibles” (including intellectual property) to more than 200 countries worldwide. Click here to find out how to access UKEF

Export insurance

Exporters often require credit insurance to protect themselves against the risks of not being paid for the supply of goods and/or services under an export contract or of not being able to recover the costs of delivering that contract. UKEF can issue exporters with an Export Insurance Policy, giving them the protection and peace of mind that they require to fulfil their overseas contracts successfully. This can be done directly or through working with eligible brokers. 

For more information on the finance and insurance available to help support your business in exporting your goods and services visit UK Export Finance Products and Export Insurance Policy.

Payment method

As buyers often require time to pay, many exports of goods and services are sold on extended credit terms, sometimes as much as 180 days. This can have a significant impact on the exporter’s cashflow and introduce an additional working capital requirement. It also exposes the exporter to the risk of non-payment by the buyer.

Ensuring that businesses have the right international payment structures in place is vital to a successful export business. Our ‘Payment Method’ training course can help exporters explore their options, by giving:

• An overview of export payment methods
• Practical advice for working with payment providers
• Letters of credit and documentary collections
• Payment account opening

For more information about growing your business internationally, please contact our friendly International Trade team: international@suffolkchamber.co.uk