The SBA Export Working Capital Program

The Small Business Administration's Export Working Capital Program (EWCP) is designed to help small businesses obtain working capital to carry out their export sales. The EWCP encourages lenders to "bank" small business exporter deals by reducing the associated risk.

Under the program, SBA can support single transactions or multiple export sales, guaranteeing up to 85 percent of a private sector loan up to $750,000. Small businesses can use proceeds to:

1. finance labor and materials for manufacturing goods to be exported;
2. purchase goods or services for export; and
3. finance accounts generated from export sales.

Guarantees can be extended for pre-shipment working capital, post shipment exposure coverage, or a combination of pre- and post-shipment financing. In 1994, the Small Business Administration made 1,161 loans for more than $481 million.

The SBA will utilize the program to promote new joint ventures between companies in the U.S. and Ireland and to create new jobs in both counties by sharing new technologies and by entering into new export markets.

http://www.sbaonline.sba.gov/business_finances/export/all.html