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In our new CEO interview series, Trade Finance Global's (TFG) Deepesh Patel sat down with James Daly, CEO of Allianz Trade - Americas, to learn more about how the trade credit insurance industry is changing to meet these complex challenges, especially within the United States. With the US elections just hours away, grappling with new economic uncertainty and volatility, the trade credit insurance industry is in a transformative phase.
How do you fund your early start-up business?In this podcast episode, host Rob Lawrence discusses with Justin Nevison-Grainger, a seasoned corporate finance expert, the importance of validating business ideas, seeking honest feedback, and understanding commercial finance for new business owners.Justin also explains funding options, including government loans and private investments, and introduces the "CAMPARI" approach for preparing funding discussions. He also emphasises the need for long-term planning, aligning business goals with personal ambitions, and the value of resilience and adaptability.In this episode you'll learn:Helping new businesses (00:01:15) Justin discusses how he assists new businesses, offering guidance on commercial finance and the challenges they face.Unique perspective and experience (00:02:59) Justin shares his unique perspective and the experience he has gained from helping various organisations and growing enterprises.Background and experience (00:04:38) Justin provides an overview of his 30 years of experience in corporate finance, including his roles at Barclays and Handelsbank.Starting and growing a business (00:06:53) Justin advises new businesses to seek honest opinions, test their ideas, and build support networks before taking the plunge.Questions for soliciting feedback (00:08:23) Justin suggests seeking feedback from support networks, and forums, and testing business ideas before starting a new venture.Services and finance support (00:010:02) Justin explains how his services fit into the start-up journey, offering philanthropic support and assistance with start-up finance.Startup funding opportunities (00:12:11) Justin discusses the initial funding options (the 3 Fs) and the government start-up loan scheme, before exploring other sources of finance.Preparing for funding conversations (00:14:59) Justin advises on preparing for funding conversations, emphasising the importance of character and the purpose of the funding.The Stress Test (00:16:57) Justin discusses how early-stage businesses should consider their ability to service interest rates and the use of tools like loan calculators to plan their borrowing.Ability and Viability (00:18:58) Justin explains the importance of demonstrating management skills and viability, including understanding profit and loss accounts and identifying key skills needed for the business.Repayment and Serviceability (00:19:51) Justin emphasises the importance of the ability to repay borrowed amounts and the concept of offering security to lenders for repayment assurance.Insurance for Security (00:20:47) Justin discusses the need for offering personal guarantees or assets as security to lenders and the benefits of doing so to reduce borrowing costs.Understanding Numbers (00:22:44) Justin explains the importance of understanding setup costs and making assumptions for business plans and projections.Cash Flow and Survival Budget (00:24:51) Justin emphasizes the need to consider personal survival budgets, cash flow, and working capital cycles when starting a business.Credit Insurance (00:28:19) Justin explains the concept of credit insurance, its benefits in protecting against non-payment, and the due diligence it provides on customers.Success Stories (00:30:21) Justin shares success stories of turning loss-making businesses profitable and helping entrepreneurs achieve their life...
In today's episode of the IC-DISC show, Eric Miller from the Export-Import Bank of the United States (EX-IM) provides valuable insights into how this 90-year-old institution supports American exporters through strategic financial services. I also learned that EX-IM is one of just two governmental agencies that is an actual profit center. Before joining EX-IM, Eric worked for a privately-held exporter that was a customer of EX-IM. His expertise both inside and outside of EX-IM sheds light on crucial products like export credit insurance, export financing, and financing for foreign buyers. These solutions can alleviate common hurdles inhibiting international trade growth. We also talk through some real-world examples of these various EXIM solutions. This is a must-listen episode for any company doing substantial direct exports. SHOW HIGHLIGHTS Eric Miller from the Export-Import Bank of the United States (Ex-Im Bank) discusses the role of the bank in aiding exporting companies with financial services, operating without costing taxpayers. We delve into how Ex-Im Bank and the Small Business Administration (SBA) offer loan guarantees and insurance to boost companies' borrowing capacity. Eric shares insights into export credit insurance and how Ex-Im Bank's products can help resolve common financial challenges in international transactions. The discussion covers Ex-Im Bank's new domestic project finance product, designed to support projects that have a significant export component. We touch on the requirement for a U.S. majority in product content, aiming to foster manufacturing and job growth in the United States. Eric explains the importance of services, like engineering and architectural services for foreign projects, requiring a U.S. majority for cost. We discuss government resources that can aid businesses in exporting, such as tax incentives and the Gold Key service provided by the U.S. Commercial Services. The episode highlights the STEP grant, a federal program managed by states to support companies with export-related expenses. Eric and I settle the Tex-Mex vs. BBQ debate with an appreciation for both, adding a lighthearted twist to the episode. Contact information for Eric Miller is shared for listeners who wish to connect and further explore export financing options. Contact Details Email (eric.miller@xmexim.gov) Phone Number (713-306-7969) LINKSShow Notes Be a Guest About IC-DISC Alliance About Export-Import Bank of the United States GUEST Eric MillerAbout Eric TRANSCRIPT (AI transcript provided as supporting material and may contain errors) Dave: Hi, this is David Spray. Welcome to another episode of the IC Disc Show. My guest today is Eric Miller of the Export-Import Bank of the United States, colloquially known by the acronym of XM. More useful takeaways for privately held exporting companies than any guest I've ever had. We talked about the history of the XM, its purpose and the four service offerings that they have for privately held exporting businesses. We also talked about three other governmental arms that can also be of value. The other interesting thing about Eric is he actually was a customer of XM early in his career when he was a minority owner of an exporting business. So Eric's a really dynamic guy. He's really passionate about serving exporting companies and he really understands what it's like to be in the shoes of their customers. I really recommend you take a listen to this one. It's really valuable hey good morning Eric. Welcome to the podcast. Eric: Thank you, Dave. It's a pleasure to be here. It's an honor. Thank you. Dave: Well, the pleasure is all mine. So where are you connecting from today? What part of the world are you in at the moment? Eric: The great state of Texas. I'm in the Houston area, born and raised in Texas and been all over the world, but this is home. Oh, that's awesome. Dave: In fact, I think you even stayed close for college, right. Eric: I did. I'm a Cougar alumni, so a proud Houston native. Dave: Awesome, so I'm really excited to have you on. You are with the Export Import Bank of the United States, correct? Correct so we also go by XM Bank, sorry. Eric: Yep. Dave: So tell me about XM, tell me about the kind of the history of the organization and why it exists, and then we'll get it. We'll see where the conversation goes. Eric: Yeah, no, it's a good question. I'm biased, of course, working here, but I think it's one of the most fascinating government agencies that exist. We're set up in the executive branch of the federal government. We've been around for 90 years. Most people haven't heard of us. We are small. We've got anywhere between 400 and 500 people as a part of the agency. Most are headquartered in Washington DC, but we do have a dozen regional offices scattered throughout the US and all the major cities. I cover the Houston office and in doing so, I work with exporters in the great state of Texas and help them export more US made products and services. That's really what we're about here at XM Bank is supporting our US companies that are exporting a US made good or service. We're on the finance side of that help. There's other government agencies. Throughout the whole process of a transaction, whether it's finding buyers, whether it's financing a transaction or even getting grant money to help you export. There's other support, but EXIM is specific on the finance piece. Dave: Okay, and so does EXIM. At the end of the day, you know, does this cost taxpayers, you know, billions of dollars to have this thing in place. Eric: Yeah, that's another good question. So you know, we're one of the few agencies historically that have actually built a surplus of money for the taxpayer. In other words, we're using less than we're making and we send money back to Treasury. It changes year to year, but historically, if you look over the past you the past 20, 30 years we're generating a surplus and sending that back to treasury, so costing taxpayers billions of dollars. No, we like to operate a little differently than a government agency. We are an independent government agency, which means we're not inside a cabinet, but we are set up in the executive branch and we like to say we run at the speed of business Internally, we're very efficient, we're very effective and we're very aggressive, trying to reach out to US companies and get them involved in helping them. Dave: Well, that is awesome. I think it sounds like just a win, right. It's a win for the taxpayers. It's actually a profit center, if you will, for the taxpayers. It's good for the exporters, it's good for the country. Am I correct? I think the only other government agency I've ever heard of that's a profit center is like the Patent and Trademark Office. Have you heard that too? Eric: I think you're right. Now, I haven't researched that myself, just in passing and conversations I've heard of the same and there might be one or two others out there. But yeah, it's an unusual feat of a government agency to kind of generate that surplus for a taxpayer and send it back to Treasury. We do charge, you know, fees and that's how the agency itself makes and brings in money. We charge fees for our different products and you know we have products like export credit insurance. To just kind of dive into what we do, yeah, let's do that In export credit insurance to just kind of dive into what we do yeah let's do that In export credit insurance. So let me take a couple steps back. When an exporter engages in international business, when they find a foreign buyer in a country and they say, hey, here's what I sell, whether it's a product or service, there's always a sticking point. If you will product or service, there's always a sticking point if you will in the negotiations, when it comes to money flow. And what I mean by that is the exporter will say, hey, I'll ship my product or I'll do the service, but go ahead and wire me money before I ship it. And then the importer, the buyer there's always a reluctance to say well, I don't want to wire you money, because what if you close your doors? I never hear from you again. So when there's a new relationship and there's a transaction that's trying to occur, money, the movement of money, is always a sticking point. Who sends it first? And exporters lose a lot of deals because of this. I speak to exporters on a daily basis and every week there's at least one that says I wish I would have known about this. It would have helped me with the last negotiation I had with a foreign buyer who said you know, ship me the product on open account and I'll pay you 60 days later. I wasn't comfortable with that as an exporter so I closed the door and lost the deal. So XM gets involved and we say no, go ahead. And you know, if they're asking for credit terms, go ahead and provide that to them and we will back you up on the payment. We will insure that receivable from default. So if something goes wrong and the foreign buyer doesn't pay back the exporter as intended, we will insure it. They put a claim into us. So when I say claim, just like any other insurance policy, right, you're driving a car and you get to an accident, you file a claim. Something goes wrong with the house, you file a claim with the home insurance provider. We're no different. We're an insurance provider on foreign receivables and the government gets involved in this space because you know, david, look at the trade deficit. Last year we're nearing a trillion dollars. Most years, from year to year in the last 10 years, it's getting worse and worse. So what I mean by that is we're bringing in way more than we're sending out, and what we have found through our research as a government agency is the number one reason more US companies are not sending more product abroad is the number one reason is fear. They are fearful of what that process looks like and the government gets involved. Then we say let's take away that fear. We'll put the risk on our shoulders as it relates to credit insurance. Go ahead and give your foreign buyer terms or open account. We'll shoulder the risk and if they don't pay you, we'll pay you. And we want to help the trade deficit. We want to as a government agency. We want to stimulate US manufacturing. We want to create jobs through exports. That's really what the mission is here at Ex-Im Bank. Dave: Okay, yeah, no, that's really good. And do you specifically underwrite each customer? You know each foreign customer, or is there just you guys? Just use some general parameters. Eric: Yeah, no, it's a good question, like what does that process look like? So we have four different credit insurance policies. We can do everything from hey, we'll underwrite every buyer if you're not comfortable with it. Or hey, we'll give you a policy where you can do your own underwriting according to our credit standards but give you that autonomy inside your company to do it without coming to us every time there's a buyer. So there's different approaches. Most exporters like the autonomy because they can approve a credit right then and there, rather than sending us the paperwork and then us process it and then get back to them. So it just depends on timeline. But yeah, we can do either. Dave: And does the policy insure 100% of the invoice or is there a co-insurance piece where your customer is taking some of the risk? Eric: So the coverage will be anywhere from 90 or 95%, depending on which policy. Most of them are in that 95% range, but some of them are in the 90. Okay, they have the option. Dave: Yeah. So it's enough that as long as the company's got decent margins right, if their margin's greater than 5% or 10%, then their risk is just if a deal goes bad. They didn't make any money on that deal. Eric: That's a fair way of looking at it? Dave: Yep, but they have enough skin in the game that they do want to make a profit on that transaction. They want to all that trouble. So they have a motivation to not, you know, sell to people who you know they have serious concerns about their ethics or integrity or ability to pay. Eric: Exactly, and that's really what it's all about. Hey, I've got a new relationship and you know, name a country. They're asking for open account. And open account, you know, most people are comfortable with that in the US. They have a recourse in mind. Hey, if I don't pay, here's the process where I can recoup. But that all goes away when you send it to a foreign country. Like you know, how do I even get my money if I don't? I'm dealing with a different legal environment, political currency, culture, I mean. The list goes on and on. So that's where, wherein lies the fear for the exporter. And there's government agencies, both local, state and federal, all of them. We want to surround the exporter, prop them up, take away the fear, shoulder the risk and get them comfortable in international business. Dave: Okay, so you may mention the one person you were talking to that said they wish they'd known about XM because they kind of lost this deal. Do you have another case study, if you will, or example and obviously you don't have to mention the specific company by name where everything did work out kind of a success story, where maybe they were not exporting much but with this credit insurance it really helped them materially increase their sales? Do you have any examples like that, just to help people further understand? Eric: Oh yeah, we have a whole list of resources on our website. There's a section dedicated to success stories of all the different companies and we like to diversify the industry and the product and we've got you name it and it's probably up there. One that just immediately comes to mind is a company and they've been kind of a strong advocate of Ex-Im Bank. They're called BuzzBalls and it's alcohol manufactured here in Texas in the Dallas area, and they were very successful domestically. I mean, you can find these little alcohol glasses basically in any kind of retail store in the US. But as they looked abroad they wanted to de-risk a lot of their open account with distributors and really I think the last I heard they either doubled or tripled the revenue by focusing on foreign buyers, distributing it to the distributors, the foreign distributors giving them credit to pay and Ex-Im Bank insuring the risk. I mean, it's just one interesting example that you know, if little cups of alcohol can move abroad, mostly anything can. Dave: Oh, that's great, I love that and thank you for that. Thank you for that example. So now let's say that a company is contemplating exporting and let's say they have this large potential order you know large for them, you say it's a $5 million company annual revenues and suddenly they have this pay for the materials from their supplier and they maybe don't have enough working capital to do that and maybe they're in a spot where you know a traditional bank loan or line of credit. They're maybe, just maybe what you'd call not bankable. What happens then? Does the whole process just fall apart? You know they've got the credit insurance but they don't have the cash to buy the goods. What happens then? Eric: Yeah, that's really the second big problem in international trade. So the US banking system in general is challenging to help US companies fill export orders, and what I mean by that is, in your example, a $5 million revenue company. It can even be bigger than that, it could be 20, 30, 40. The problem with a lot of US companies is when their foreign sales start to get significant and they go to the bank and say, hey, I need a line of credit, not just for my domestic business, I need it for my international too. There becomes a problem in the banking system. There's this view that it's high risk and, as bankers tend to be more conservative and shy away from risk, so most times US companies have problems getting the money they need to fill these export purchase orders. So government gets involved, Ex-Im gets involved and SBA also has a product similar to the Ex-Im bank. It varies according to the banker who wants to use the product, but the idea behind it is we become a guarantor of repayment to the lender. So in your example, $5 million a year company, $2 million foreign sale that we're going to insure they walk that over to the bank and they say, hey, I got insurance on the receivable. Great, it's a $2 million deal. Now I need a million bucks or whatever as a line of credit to build all this stuff or go out and buy it. The bank will say, okay, where's it going? Oh, it's leaving the country. I can't help you. But when you come back with a US purchase order, then we can get serious in our talks. The company is stranded and they can't get the money, the capital they need to fill these orders with working capital. So we get involved and we say, hey, if they're presenting financial statements and the financial statements merit the ability to borrow what they're asking for a million, whatever it is and you're only saying no because it's an export, go ahead and give them the money that they need that they're asking for again, as long as it meets the credit standards, and we'll co-sign, we become a repayment guarantor to that line of credit so they can have access to the money that they need to fill these foreign buyer purchase orders. Guarantees and insurance is really kind of what we're about here at Ex-Im Bank to enable this cross-border trade. On the finance piece, Now, with that line of credit that we guarantee, they could also use it to issue bid bonds or performance bonds or standby letters of credit. Because another problem in our banking system is when a exporter bids on a foreign tender, that tender sometimes will say hey, if you want to bid on this, you got to put up a performance bond or a bid bond and that kind of weeds out the non-serious suppliers versus the serious. And when they want to supply that bid bond and they go to the bank, put the equivalent amount of cash in your account, I'll escrow it and then issue the bond. And then the exporter you know has this confused look. And well, I don't want to pay for my own deal and block my own cash. So under the XM line of credit you can actually use borrowed money to issue those bid bonds, performance bonds, standby LCs at a reduced cash collateral, so you're not tying up your cash. Dave: Interesting. Eric: And what's the? Dave: typical I think the term like if you're factoring an invoice, it's called. I think it's called like the advance rate, like what percentage you could borrow, like on the you know the purchase order or the invoice that you create. What's that percentage? You know, through the XM financing. Eric: So we put it into two categories pre-export and post-export. Okay, pre-export is the working capital right, the inventory, work in process, finished goods. So under that you could borrow a 75% advance rate. Then post-export, once it becomes a receivable, you could borrow 90. So it's pretty generous advance rates and typically it helps exporters fill these purchase orders much easier if we weren't involved. Dave: Yeah, Cause I think I was a CFO of a company many years ago and we were growing rapidly and we're using factoring and the. It seems like the advance rate we were able to get on the factoring for domestic sales, let alone international, was only like 70 or 80%. So, and even I think I'm told that even if a company has a line of credit that they're backing with inventory and domestic receivables, that still a typical kind of advance rate is really only like I think, about 80. And so you're talking about an even higher, if I'm using the correct term, than what a traditional bank would provide to a traditional bankable customer for a domestic sale. Is that accurate, based on your knowledge? Eric: Yeah, very accurate. And sometimes you know I go back to the example of US banks don't like export orders, and they don't. Sometimes they will give an advantage. They've got a traditional line of credit set up for domestic. They may say we'll let you borrow 10, 20, 30% advance rate on the export stuff. With our guarantee we can expand that to 75, up to 90. So it could be that we expand the borrowing base or just let alone get them access to it for export orders, with our guarantee. Dave: Okay, yeah, this is really valuable and I can't wait to get the word out to our contacts. So, on the working capital piece so how does that work then? Is the process that they call up their bank and say, hey, do you guys do anything with XM and they just work purely through their banker? Or do they call you up and say, hey, we need some working capital? We don't really have a big banking relationship. Can you recommend somebody? Help me understand the logistics? Eric: of it, Absolutely. Yeah, it's a good question. We recommend starting with us. It's very easy to get lost in the banking system and trying to figure out who to talk to about getting the setup. A lot of time exporters will speak to their local relationship manager and they start talking about XM working capital and they're like you know who's XM? I don't, I don't even know what you're talking about. Slow down, so it's more efficient to start with us and if they're working with a bank that is in our lender network, we can go directly to the right person and connect them with the exporter to have those conversations. If they're working with a lender that is not inside our our network, we can still locate a lender to set up kind of a XM specific line of credit if that's something they want to pursue. Dave: Okay. Eric: Okay. Dave: Now this is really valuable. Does the bank have any other service lines besides the foreign receivables insurance and the working capital? Eric: We've got a couple others. One of them is called foreign buyer finance. Okay, this is a real interesting one. This is when a US company is selling capital equipment to a foreign buyer and when that capital equipment quotation gets to the foreign buyer, what we see often is they'll go to their bank. In some of these emerging markets, developing countries, the buyer will go to the bank and say, ok, you know, I got a quotation for, let's say, you know, john Deere equipment, ag equipment or Caterpillar, construction equipment or mining equipment, whatever. They go to their bank and they say I need to borrow to pay the US company for the equipment. And when they get a term sheet from their local bank, if you're familiar with international business and international finance, the cost can be much higher than what we're used to paying in the US as far as cost of capital Cost of capital I've seen even triple and quadruple in some of these developing markets. And then the buyer the deal falls to the wayside because the buyer can't afford to pay the bank all this cost associated with the capital. So in situations like that and kind of high cost capital markets, we can get involved and find a lender, as long as we've got good audited financial statements and they meet credit standards, we can find a lender to give that foreign buyer a term loan, a three to seven year term loan, of which we guarantee repayment of to the lender, to buy that US made capital equipment. So, in simple terms, we can finance a foreign buyer when the foreign buyer is buying US made equipment, and what we have found is the US companies that really know this product inside and out use that as a competitive advantage. They're saying, hey, sure, on one hand, here's my quotation for the equipment and on the other hand, I can get you finance if you need it. And I can get you finance if you need it. And the companies that do that well, I mean their sales shoot through the roof because now they become this finance facilitator for foreign buyers to access cheaper capital, which we've even seen companies where maybe they're 10% higher on the bid than some of the other countries, but they're saving them 15% on the finance. Dave: Yeah, I can see that. Yeah, I can see that that's really clever. I was familiar with the first two pieces, but I really was not familiar with that. I mean, yeah, that's a real competitive advantage. I mean it makes you wonder how a company in I don't know pick your country, brazil, that you know is trying to compete Like how do they compete when they can't? I'm guessing that they probably don't have the same type of capability to offer you know these, you know more attractive financing rates. Eric: So, yeah, that's a great point XM Bank we're also referred as an export credit agency, eca. So every developed country in the world has the equivalent of us. Out of, let's say, roughly 200 countries, there's 120 of us representing the nation of each country. So what we know is, as it relates to international business, there are, you know, foreign. When there's foreign competition in the tender, sometimes that foreign competition knows about their local ECA also. Right, so they could be offering the same thing. Hey, I can get you, you know, finance through my local ECA. You know name, a country, country. So we want companies in the US to be aware of how we can help them and support them, just like other member countries of partner ECAs do, because it's a competitive advantage and if they're not aware of it, it's a loss really for the exporter. And I mentioned four products. So we went over export credit insurance, the working capital getting the foreign buyer a loan, and then the fourth one. It came out about a year and a half ago. It's a new product that we're super excited about and it's really domestic project finance where there's an export nexus. And what I mean by that, david, is let's take an industry, let's take LNG. When an LNG liquid natural gas. When liquid natural gas projects in wherever let's call it Texas, when they go live and you've got a solid entity set up for the purpose of building an LNG plant maybe there's corporate shareholders, maybe there's individual shareholders, whatever it may be when banks take a look at this and they see that it's a domestic project finance structure meaning the off of any kind of contract will repay the loan Bankers don't like that. Bankers don't like project finance. If we look at a project where there's an export nexus and what we define as an export nexus is 25% of the sales will be exported we could potentially be a lender or a loan guarantor to that domestic project as long as there's going to be 25% foreign sales, and we could go down to 15% if it's a small business, so we can involve oh, that's really cool. Dave: Yeah, because I mentioned the bank is going to say, yeah, it sounds like a great opportunity. Go find some investors to fund this and then, once you start exporting the LNG, give us a call. We'll give you some working capital and you'll work with XM to ensure the receivables, but until then, hey, it's on you. Eric: That's it. That's the problem. That's where a lot of these projects get stuck in the banking system as it relates to traditional banking. They can't get the money they need to lift this project up, and it could be a great project, but yeah, banks like to see history right. I want to see your balance sheet income statement, cash flow last three years. Let me underwrite it Well, there is none. It's a new project and we're building it. Well, we can't help you Go find some investors, and that's typically the conversations. So, instead of these deals disappearing, as long as there is solid offtake agreements, we can look at that, potentially to repay the loan, and we do that on the foreign buyer side too. Dave: Yeah, and to be fair to the bankers I know many bankers and have great relationships If a bank is paying 5% for a deposit and they're lending it out at, say, 8%, by the time they pay their fees and stuff they really don't have a lot of margin left. So you know they have an imputed default rate. You know that they can tolerate of like half a percent, right, maybe 1%, right. I mean, that's just their model. Eric: Margins are thin, you're right. Dave: Yeah, and they're probably even I'm guessing even prohibited from saying okay, yeah, we'll finance this deal for you, but this is high risk. So instead of a 7% loan, it's gonna be 30%. I mean, the banks probably aren't even allowed to do. There's probably usury laws or something. Am I correct in that? Eric: Yeah, yeah. So they would definitely view the risk differently as a domestic project finance. But I would say, even more so, the regulatory issues involving domestic project finance probably prohibit the lenders from doing that. Dave: Even oh yeah, yeah, that's right. I never thought about that. Eric: There's definitely some challenges in that space. I never thought about that. There's definitely some challenges in that space. Dave: Yeah, that makes sense because really, from a holistic perspective, you would say hey, bank, this isn't your sweet spot. This is like venture capital, risk capital. Let them find a lender, like a hard asset lender, that'll charge a much higher rate, or let them raise equity capital to finance this. This isn't what you're designed for, mr First National Bank, Exactly. Eric: Okay. Dave: What are some of the limits, minimum maximums for these different products? Let's start with the credit insurance. Is there a minimum size that you all have insurance? Is there a minimum size like that you all have? I mean, I'm guessing if somebody has a hundred dollar foreign receivable that they want to insure, probably doesn't really make sense for everybody. So is there a minimum size? Is it a hard minimum or kind of a soft minimum? Eric: Yeah, that's a great question. So we don't have a minimum per se, documented minimum, but yeah, it's got to make sense right To go through the process. So I mean, we've insured receivables as low as a couple thousand bucks, so that's for credit insurance. For working capital we also don't have a minimum, but that's set by the lender. So we say hey, as long as the lender will do the loan, we'll take a look at the guarantee and most lenders that we have spoken to we probably would say that the minimum with most lenders is around a half a million for a working capital line of credit. And then on the foreign buyer side, again it's got to make sense to the lender. We don't have a minimum. Most lenders, I would say the minimum I've seen where a US lender would give a loan to a foreign buyer is also around a half a million. Maximum, no maximum, but anything above 25 million has to go to our board. The largest we did in the bank's history was in Mozambique, for an LNG facility was 5 billion. Oh wow. Dave: And then are there limits on the working capital and credit insurance, similar limits that require board approval. Eric: Anything above 25. Yep, it's the same 25 number, correct, which it's. You know it's not prohibitive, it just adds another layer to the process. Yeah. Dave: And even again, even if XM wasn't involved, I know a lot of banks, just you know, when loans get above a certain amount they want to syndicate them with other banks, just for their own risk. And I think a lot of times those syndication amounts for a medium-sized bank will start in that 10 to $25 million, as I understand it. And then what about the domestic projects that have 25% export expectations, any minimum or maximums there that you've seen? Eric: So I would say there's no hard set minimum, but the soft minimum I'm seeing is probably 5 million plus and the reason for that is the SBA, the Small Business Administration, also a federal government agency. They have similar products that go up to five, so this will take it past five and we don't want to compete with another government agency. They have similar products that go up to five, so this will take it past five and we don't want to compete with another government agency, so it's five below. Sba might be a better fit. Five above we're probably the only game in town. Okay, zero to five, taking some notes on this Five plus. Dave: You know, one of the other interesting things is we've had this conversation that if you think people have never heard of XM, they're even, I think, less likely to have heard of the ICDISC program. You know we specialize and what's interesting is how is the number of parallels? I mean, the thing that I can't, you know that blows me away is how logical everything is with XM. Like you know, there's a, you know there's a perhaps a belief that some government programs, agencies that there's no real logic to it. It was just it was some negotiation in Congress and they had just some arbitrary rules. But you know, as I kind of look at these, they just all seems very logical, right? And you know, like you know, above a certain amount you need board approval Again, just like in a bank, right, when they're doing a $25 million loan, it's probably got to go to a loan review committee or something. But the other thing is there's some similarities between XM and the ICDISC and one of them is the 51% US content. Can you explain how that works with XM, because I think it's pretty much the same as ICDISC. Eric: To my knowledge it is also yeah. So it goes back to really the mission right Creating jobs through US exports, and we want to stimulate US manufacturing. So we can't support a trade where you know Houston companies buying from China and sending it down to you know name a country in South America. There's no value add for the country. So Congress basically put a policy to the agency that says anything that we support has to be greater than 50% US content. So another way of saying it's just 51%. Right, majority of the product has to be US content, and the way that we calculate that is we look at the cost. So if they're selling a widget that they sell for $100, but it costs $70, we're going to look at the $70 and say $30 of that, 70 needs to be US content. So that's really we look at the cost and the majority of the cost needs to be US made, whether it's product. Dave: Or another way of saying it is no more than $36 foreign cost Yep, that makes sense. Eric: And if it's a service, by the way, sometimes we get these service questions, by the way, because sometimes we get these service questions where, hey, you know, I'm an engineering company designing, you know, a refinery plant for a foreign buyer. How do I look at that as far as US content? So what we do is we say, okay, start with your invoice. Right, whatever you're billing out, if it says engineering services or CAD drawings or whatever, take that and then look at the cost and greater than 50% needs to be US citizens or green card holders as part of that cost for services. So we basically look at the citizenship of the provider for evaluating US content and the cost. Dave: Yeah, and that's somewhat similar to the ICDISC really only includes two types of services that are eligible engineering services and architectural services for foreign construction projects or services that are an integral part of the sale. You know, like if you sell a product for a million dollars and there's a $200,000 installation service, as long as that's an integral part of the, you know the project that qualifies, you know that service does. But yeah, that's interesting. So let's say somebody says hey, you know, eric, I really like the sound of this and I'd like to talk to you. But you know, I just feel like you know, you're probably a lifelong government employee. You probably want to work right out of college. You don't know what it's like to sit in my shoes. You don't know what it's like to have been on the private side. You know having these foreign customers. What would you say to them? Eric: Yeah, so being a government employee is new to me also, yeah, so after college I started at a company and worked there for a decade, grew into sweat equity. I was a part minority shareholder and I was a customer of Ex-Im Bank for 10 years. Yeah, we were a company that exported capital equipment all over the world, but with a concentration in Sub-Saharan Africa. Okay, and we grew rapidly with the help of Ex-Im Bank. We used all the products of credit insurance, the working capital, getting the foreign buyer a loan and that really became a competitive advantage to the company. Because we looked at ourselves saying, hey, we're an equipment supplier, but so is the other hundreds of companies around, if not thousands of companies. How do we make ourselves different? And the finance became very important to that conversation, because you can Google, search equipment companies in the US and you're going through thousands of pages trying to find an equipment supplier. But not everybody is saying, hey, we have financial solutions too. If you need them, we can get you a loan. We can sell to you an open account with our insurance. We can get the capital we need to fill these export purchase orders. We can get the line of credit that we need to send bid bonds and performance bonds to some of these large tenders. So, going back to your question, I've been at Exxon for seven years, but the majority of my career was in the private sector and being a minority shareholder of a company that used the bank that I work for now to grow a small business. Dave: What a great story, like it would seem like you have the perfect background for your role I mean, you're actually a customer for your role. I mean you're actually a customer. So the private companies that you're trying to help you really do understand what it's like to be in their shoes. Eric: I think most employees that work here at ExxonMobil found we're very service oriented. We like to help. We like to help. It's fun for us to help. It's fun for me to help. The best part of my day is meeting small business exporters, helping them become aware of all the resources that are available to them to become more competitive and grow, like we did when I was with that company. Dave: Yeah, it's just amazing how similar our days are. That's also the favorite part of my job is when I get a phone call from somebody and they say hey, you know, bob said I should call you. You know we're. Our exports have really grown a lot, and there's this thing called ICDISC and you know, tell us about it, are we the right fit? And it's great to be able to help them. Oh, I was just going to ask you something. Oh, what about indirect exports? Do they qualify under an indirect export? Eric: Great question, yeah, so under the working capital it does. So if you have an exporter that's selling to you know name a major company, let's say a major oil and gas company who in turn is exporting that out, we call that an indirect export. That does qualify them to get the capital they need to fill that order. Dave: Yep, Another parallel with the IC disk. The IC disk is the same way. Yeah, Most of our clients are actually indirect exporters. So some of the products would not be as beneficial, you know, like the credit insurance, for example, because they don't have any foreign receivables. But you know, they don't have any foreign receivables, but they still may have use for some of the other products. Okay, so I've got just a couple more questions. Eric: Well, first off, is there anything we didn't cover that you wish I had? I would say there's other government resources that every exporter should know. Dave: Okay, what are those? Eric: Yeah, so one of them is the US Commercial Services. They're a part of the Department of Commerce and they've got an office in every major city in the US. I think there's a hundred, if I remember right, a hundred US Commercial Service offices scattered throughout the US. If you're in Houston, there's one in Houston. Great folks, we work with them closely. They've got some really good products as well for exporters. One of them is called the Gold Key, and the Gold Key it basically connects buyer and seller. So once the agency understands the company, they met with them. They understand the company, they understand what they're selling. They have to be what's called export ready. So an existing business that's already selling, let's say they're successful here domestically and they want to export. You know, let's say that to the, to our closest neighbors, first Canada and Mexico. But they're like hey, I don't, how do I even do that? How do I find a buyer, how do I find a distributor in these countries? That's really the first step in kind of the. The maze of exporting is first you got, you have to have a buyer. We're kind of second to that right. Once you have a buyer, then it's money talks and then we get involved. But even before us. The commercial services can get involved and under the gold key they can find distributors, partners, buyers in foreign markets. Wow, yeah, under the gold key. So they basically, once they understand the business, they work with the embassy in that country and say, hey, I've got, you know, bob, here's his company, been around for 10 years, successful in the U? S, but they want to start with Mexico. And can you find them buyers, can you find them distributors? And they try to play matchmaker. So they generate a list and they recommend going to the country that you want to export to shake hands, stare them in the face, sit down with them physically, because that's another important thing in international business you can't just stay behind the phone or email. You really have to go to these places. Dave: Wow, so that's amazing. Now the bad news, Eric, is you and XM may have just dropped to number two as far as my favorite government agency. I mean, depending on where a company is, that might be even more valuable, right? Because without the customers, they don't even need the other products of XM. That's really cruel. Eric: That's right yeah. I mean they need a buyer before they come to XM. They need a foreign buyer and commercial services can help with that. Dave: So be careful. You're about to list some other agencies and may further knock you down on the priority list, so be careful there. Eric: That's OK, we're here to help. So you know. Another problem with small businesses you know I'm selling domestically. You know successful I'm selling domestically. You know I'm successful. Maybe I'm running on thin margins. I don't have the capital that I need to go into all these countries and spend all this money and cross my fingers that I get business. And I just don't want to spend that kind of money and risk that kind of money because I need to keep my lights on and pay employees first. So there's something called the STEP grant S-T-E-P grant. Dave: STEP grant. Eric: It stands for statewide trade export promotion, so most states participate in it. It's federal money given to the states who in turn give grant money to companies who are looking to export, and they can use that grant money for travel you know, hotel, stay, airfare. They want to do website translation on their website from you know English to Mandarin and Spanish to. You know capture half the world. They want to. You know create design, create print flyers. You know any kind of marketing collateral that will aid them in promoting their company to foreign buyers. This is a reimbursable grant, which means you apply for it. You can say, hey, I want to go to Mexico, my airfare is going to cost this, my hotel is going to cost this, conference in Mexico is going to cost this, and all together it's going to be $10,000. So you apply for it and then, once approved, you can get up to 75% of that back. Dave: So you have to actually spend the money. Eric: First you got to spend. That's the key thing there. You got to spend the money, but you got to get it approved. Once it's approved, then you spend the money and then you come back and give them your receipts. Dave: Wow, that's pretty cool. Does that fall under one of the federal agencies? Is that kind of the ultimate umbrella, or is it really more of a state by state program? Eric: In Texas the Department of Ag is administering the fund and I think it does vary state by state on who holds the money and approves it and disperses the money, and I may be wrong, but I think it goes up to $10,000. It's either $7,500 or $10,000 max amount that can be approved. Okay, you can apply every year. Some companies do that. Okay, and what else? Are there some other? The SBA, small Business Administration Sure, most people know them for domestic business, but they also have an export arm called the OIT, which is Office of International Trade. So they have export finance products just like we do. They're not competitive to one another. They're slightly different in various aspects. They can get you working capital, usually for smaller loans, or they can get you something called an international trade loan and what that is used for is like, hey, I need to buy some capital equipment to go into my factory and it's going to cost a million bucks and it's going to generate export sales, that kind of finance structure. Dave: Is the structure kind of the same, or does the borrower have to put up a bigger percentage? Or do you know? Eric: For the international trade loan. I think it's similar. They guarantee the lender just like we guarantee the lender. The international trade loan I think it's similar. They guarantee the lender just like we guarantee the lender and lenders. You know, we like to say the lender makes the decision because our guarantees are slightly different than one another. So some lenders will say, hey, I'm more comfortable with XM, or hey, I'm more comfortable with the SBA, or hey, this is above $5 million. The only one you could do is XM Bank. So it's really up to the lender to evaluate the guarantee and what fits them best. Dave: Well, that is awesome. Any other government agencies that you tend to work with regularly those are the big ones. Eric: They'll always be in the same circles the SBA, the commercial services, and ourselves in the same circles, promoting as much as we can to our communities. Dave: That's awesome. Well, this has been so informative. I really appreciate the time. I just have two more questions, and they're really kind of fun ones, okay. So the first one is if you could go back in time and give advice to yourself, like right, when you were graduating college, what advice might you give to yourself? You know, with the benefit of hindsight, you know, if you kind of go back in time. Eric: What advice might you? Dave: give to yourself. You know, with the benefit of hindsight, you know if you kind of go back in time what advice might you give to yourself, you know? Things to do instead, or do sooner, or what comes to mind. Eric: That's a really good question, you know, going back in time, I would say, for the company that I worked for and some of the things that I don't like to say did wrong. But if we could repeat it and how we would do it differently. When the business grows and we grew fast our operational costs also grew fast and I think if we were better controlling the operational cost when there was a dip in revenue, there wouldn't be so much growing pains or slowing pains. I think getting a better grasp operationally on a business when it's going through the growth phase is key to its long-term success, because a business is not always going to accelerate up. There's going to be peaks and valleys and as long as you manage the operational cost of the company, it can get through. You know look at COVID right Nobody predicted that how many businesses went through all kinds of painful experiences. So that, going back in time, just from a business standpoint, I think that would have been super helpful in our judgment and assessment of looking towards the future. Dave: Okay, I really like that. Well, we just have one left, and this one's even more fun. Don't think about this, I just want. It's kind of a snap answer. Okay, so you're a native Texan, right Native Houstonian, tex-mex or barbecue. Eric: Oh, I got to go with Tex-Mex. I love barbecue, barbecue. Oh, I gotta go with tex-mex. I love barbecue, but you know the chips and queso and salsa and guacamole. Dave: I don't think everything competes with that. Yeah, I, I asked this question of all my guests and and I had two answers that were interesting. One answer was if it's, if I know that the food is going to be average, I, I absolutely would take the Tex-Mex, because Tex-Mex has more tolerance for averageness. Ok, they said. But if it's going to be world class, then they would take the barbecue. But they don't want mediocre, tough, dried out brisket. Ok, so I'm like, well, that's a good one. And then I had a guest telling me about I forget the name of the place, but it was a place that had like brisket tacos or brisket enchiladas, and they basically said both, they'll take both. Eric: There you go. I like that. Dave: Yeah, I am with you. If people want to get ahold of you, what's the best way to reach out? I know you're on LinkedIn. Are you very active on LinkedIn? Eric: Not super active on LinkedIn, but I'm very accessible Cell phone, email, office phone. You can always get ahold of me. Dave: What's the email address? Eric: So ericmiller M-I-L--LE-R X-M-E-X-I-Mgov gov. Dave: So eric.miller@xmexim.gov and if they want to just call you, what's the best number to reach you? Eric: at 713-306-7969 awesome. Dave: well, thank you so much for taking the time to come on here. This may be the most information dense episode I've ever done for an exporter. Usually it seems like we've got one or two good nuggets, but we may have a dozen takeaways, so thank you so much for making time out of your day and this has really been fun. And don't be surprised when this goes live if you don't have a few folks reaching out to you. Eric: I look forward to it. Thanks for having me. It's been an honor. Special Guest: Eric Miller.
In finale episode of The Cut's 2023 season, host Simon welcomes two guests, Luke Whiffen from Hilton Bradley Lawyers and Terry Watson from Watson Trade Credit. They discuss trade credit insurance and the winding up process for companies. Luke provides insights into taking legal action against companies that owe money, while Terry shares his experience in the trade credit insurance industry. Tune in for valuable insights into the importance of aligning with clients and offers a no-win, no-fee approach. What you'll learn about: (00:00:22) Lawyers and client alignment. (00:07:23) Insolvency in the construction industry. (00:10:57) Reducing DSO with trade credit insurance. (00:13:58) The community factor. (00:16:09) The collection process begins. (00:20:39) The impact on businesses. (00:24:10) Lawyers prioritising bottom line. (00:30:02) Quick debt collection strategies. (00:33:00) Uninsurable solar industry. (00:37:28) The winding up market. (00:42:36) Victoria's upcoming insolvencies. (00:44:30) Impact of interest rate rises. Links: Hilton Bradley Lawyers Luke Whiffen Linkedin Watson Trade Credit Terry Watson Linkedin Cathro & Partners Simon Cathro Linkedin
In this episode, Doug Hoyes is joined by Ted Michalos as they discuss the importance of doing an annual financial checkup. Doug explains the importance of having a plan and touches on various topics such as updating your will, insurance, investments, bank accounts, taxes, passwords, and debt. Now is the time to review your finances and make a plan for the new year so you can set yourself up for success! Time Stamps 00:00 Introduction 01:20 Self Assessment 02:03 Review and Update Your Will 02:57 Power of Attorney for Personal Care & Power of Attorney Over Property 04:18 Insurance 04:24 Life Insurance 05:16 Term Insurance 06:15 Mortgage Insurance vs. Life Insurance 08:15 Medical/Disability Insurance 09:23 Asset Insurance (Car Insurance, Homeowners Insurance) 10:31 Credit Insurance 11:32 Investments 11:39 Do Investments Still Make Sense? 13:53 Bank Accounts 14:41 Should You Have More Than One Bank Account? 18:30 Big Banks vs. Virtual Banks Interest Rates and Fees 23:41 Should You Reconcile Your Bank Account? 25:36 Passwords 26:30 Taxes 26:58 Debt – Make a Plan Related Links: Why You Should Bank at More Than One Bank https://www.hoyes.com/blog/why-you-should-bank-at-more-than-one-bank/ Why Do I Need To Switch Banks? I Love My Bank. https://www.hoyes.com/blog/why-do-i-need-to-switch-banks-i-love-my-bank/ How to Open a New Bank Account For A Bankruptcy or Consumer Proposal https://www.hoyes.com/blog/opening-a-new-bank-account-bankruptcy-consumer-proposal/ RRSP, Registered Savings Accounts and Bankruptcy Laws https://www.hoyes.com/blog/rrsp-bankruptcy-laws-canada/ Power of Attorney: Can I Deal With My Parents' Debts? https://www.hoyes.com/blog/power-of-attorney-parents-debts/ Income Taxes and Bankruptcy – What You Need to Know https://www.hoyes.com/blog/income-taxes-and-bankruptcy-what-you-need-to-know/ Crushing Debt. Why Canadians Should Drop Everything and Pay Off Debt https://www.hoyes.com/blog/crushing-debt-why-canadians-should-drop-everything-and-pay-off-debt/ What is a Debt Free in 30 Debt Assessment? https://www.hoyes.com/about-hoyes-michalos/debt-free-in-30/
Linklaters – Payments Monthly – Our view on payments law and regulation
Episode 2: Credit Where It's Due In episode two, our hosts, Leanne Banfield, Ruhi Patil and Christy Tsui are delighted to have Tom Russell, a lead underwriter from Liberty Specialty Markets discussing the evolution and current shifts in the credit insurance market with us. Ashley Rowlands will, in Ash's Newsflash, update all viewers on the planned changes to the UK securitisation rules.
Episode 2: Credit Where It's Due In episode two, our hosts, Leanne Banfield, Ruhi Patil and Christy Tsui are delighted to have Tom Russell, a lead underwriter from Liberty Specialty Markets discussing the evolution and current shifts in the credit insurance market with us. Ashley Rowlands will, in Ash's Newsflash, update all viewers on the planned changes to the UK securitisation rules.
Raja AlMazrouie is currently the CEO of UAE Etihad Credit Insurance. Prior to this, Raja was one of the founding leaders of the DIFC Fintech Hive, the MENA region's first fintech-focused startup enabler, at a time when fintech wasn't yet "sexy."Raja has repeatedly challenged the status quo in her career and we discuss many example of this, including being one of a handful of females majoring in the IT space during university in Abu Dhabi. Raja is drawn to opportunities that she feels will challenge and push her, and she believes this is a fundamental attitude to driver her self development. Passion, intuition, a learners mindset are just some of the topics we delve into during this discussion.
Tuvimos el honor de intrevisar a nuestro cliente, Marcos Sierra que tiene una poliza de seguro de crédito con Meridian Finance Group como su corredor. Hablamos de su experiencia sobre el proceso y la utilización de seguro de crédito.También fue un honor hablar con una de nuestras representantes del Export Import Bank de los Estates Unidos, Elena Méndez para discutir cómo el programa de EXIM difiere de otras compañías de seguros de crédito y los beneficios del programa respaldado por el gobierno estadounidense. Más sobre Marcos Sierra:Marcos Sierra, Ingeniero Electrónico, egresado de la Universidad Simon Bolívar, Caracas, Venezuela, se especializa en el área de instrumentación y control de proceso, siempre enfocado en el área de la Industria de Gas y Petróleo, empresario desde el año 1996 en Venezuela y desde Octubre del 2012 Fundador y Socio de Texpetrol, Inc.; Empresa dedicada a la venta y distribución de prestigiosas marcas de Valvulas, equipos de instrumentación y Sistemas de Detección de Fuego y Gas combustible para las industrias petroleras de Texas, Louisiana, y también exportando para Latino America y África, que es la parte que lo trae como invitado a esta entrevista.Más sobre Elena Mendez:Elena Méndez se incorporó a la oficina regional de Export-Import Bank en Miami desde el 2012 y es la principal responsable de ayudar a los exportadores estadounidenses en Florida, Alabama, Mississippi, Puerto Rico y las Islas Vírgenes de EE. UU. Antes de unirse a EXIM Bank, la Sra. Méndez había dedicado la mayor parte de su extensa carrera bancaria al comercio internacional, el desarrollo de nuevos negocios y la banca institucional y corporativa, trabajando para varias instituciones financieras globales. Su diversa experiencia incluye trabajar en colaboración con empresas nacionales y extranjeras; las sucursales y filiales en el extranjero de corporaciones multinacionales; instituciones financieras extranjeras; bancos centrales y gobiernos extranjeros. Desde el inicio de su carrera con Exim Bank, ha estado involucrada en los programas de préstamos que ofrece EXIM Bank.
On this episode to the TradeSecurely podcast we discuss how to mitigate your risk and collect on your receivables in way that maintains the business relationship.
Alex Gray, Head of Trade and Transaction Banking at LIBF, talks to James Cook and Jonny Carruthers from BPL Global, and Ozlem Ozuner from Allianz Trade. In this in-person podcast recording at the LIBF offices, our industry experts provide a background and history of Trade Credit Insurance, discuss technological advancements and embedded finance, delve into E-Commerce innovations, and look forward to the future. Learn more about our trade finance qualifications and get involved in the conversation by following us on Linkedin, Twitter and on Facebook. Follow us on Twitter at @studyLIBF
Risa Lovell, Director of Property and Casualty Customer Service at Farm Bureau Insurance joins us from the MSU Hotel and Conference Center at the first in-person episode of The Delighted Customers Podcast. Risa shares some helpful insights: How Farm Bureau Insurance lives their mission to give back to the community How she broke down silos and looked through the customers lens to improve CX in the contact center Why she chose to pursue her Masters of Science in Customer Experience Management at MSU Risa LovellRisa Lovell is a servant leader driven by her passion for the employee and customer experience. She is currently the Director of Property and CasualtyCustomer Service for Farm Bureau Insurance of Michigan. She is a graduate student in the inaugural Customer Experience Management Master's Degreeprogram at Michigan State University. Her goal is to create a frictionless and sincere customer experience while adding value and purpose for the employee.In her personal time Risa enjoys camping with her family, cooking, baking, playing guitar and watersports. You can reach her on LinkedIn:https://www.linkedin.com/in/risa-lovell-1962b350/Thanks for listening to the Delighted Customers Podcast
Ryan Babeu, Alliant Trade Credit speaks with Christina Montes de Oca, CCO, Allianz, to discuss the current state of the economy and evaluate the potential risks of a global recession. Christina reviews lessons learned during the pandemic and what precautions should be put in place to best manage risk.
It's amazing to see companies' resilient workarounds for some wins that maybe people [in] foreign markets would find insurmountable obstacles. South Africans are remarkably innovative and inventive: Credit Guarantee CEO Charles Nortje.
Decision Vision Episode 173: Should I Purchase Trade Credit Insurance? – An Interview with Janelle Foy and Carlos Garcia, Allianz Trade On this episode of Decision Vision, Janelle Foy and Carlos Garcia of Allianz Trade joined host Mike Blake to discuss the ins and outs of trade credit insurance. Janelle and Carlos explained how this […] The post
Decision Vision Episode 173: Should I Purchase Trade Credit Insurance? – An Interview with Janelle Foy and Carlos Garcia, Allianz Trade On this episode of Decision Vision, Janelle Foy and Carlos Garcia of Allianz Trade joined host Mike Blake to discuss the ins and outs of trade credit insurance. Janelle and Carlos explained how this […]
This month we speak to Bill James of Creditsafe about how companies use credit reports in conjunction with credit insurance to automate and compliment their internal credit decisions.More about Creditsafe: Creditsafe are the world's most used provider of business credit reports, having been founded in 1997 in Europe, Creditsafe now has 23 offices across 3 continents with over 110,000 customers. Creditsafe has been operating in the US for 10 years and can deliver US businesses over 365 million business credit reports instantly through their platform.
En honor al Cinco de Mayo, nuestro último episodio de Meridian Minutes está en español. Este mes, nuestros corredores bilingües se reúnen para discutir varios temas de seguros de crédito, como cómo y cuándo se usa, cómo se estructura y qué sucede cuando hay un reclamo. También invitamos a Eduardo Pieck, un corredor de seguros de crédito con sede en México para compartir su perspectiva.Más información sobre Pieck Credit Risk Managment: Eduardo Pieck director de Pieck Credit Risk en México y operamos como brokers especializados en seguros de crédito desde el 2002 sinedo uno de los principales participantes en el país. Trabajamos con las diferentes aseguradoras del mercado Solunion (Euler), Atradius, Coface y Cesce Mèxico, conocemos a detalle sus programas y mantenemos relaciones fuertes los que nos da la capacidad de suscribir en las mejores condiciones disponibles en el mercado mexicano.In honor of Cinco de Mayo, our latest episode of Meridian Minutes is in Spanish. This month our bilingual brokers get together to discuss various credit insurance topics such as how and when its used, how it is structured and what happens when there is a claim. We also invited Eduardo Pieck, a Mexican based credit insurance broker to share his perspective.More about Pieck Credit Risk Managment: Eduardo Pieck director of Pieck Credit Risk in Mexico and we have been operating as brokers specialized in credit insurance since 2002, being one of the main participants in the country. We work with the different insurers in the Solunion (Euler), Atradius, Coface and Cesce Mèxico market, we know their programs in detail and we maintain strong relationships that give us the ability to underwrite in the best conditions available in the Mexican market.
When a business is looking for financing there are a number of things a bank must consider to determine their credit worthiness and having a receivables insurance policy can be very beneficial. On this episode of TradeSecurely we look at the benefits a trade credit policy can provide to both the business and the banker […]
Hussein Al Amine, Head of Business Development & Global Strategic Alliances, Fineon ExchangeIn a survey for trade finance marketplace Fineon Exchange, a resounding 100% of those asked said they believe that digital networks could improve trade finance transaction processes. The survey found that funder appetite and quality deals do exist, suggesting that the difficulties SMEs face could be due to a lack of channels where borrowers and funders can connect effectively. The survey's findings are examined in detail in Trade Finance Optimisation: Connecting the Right People at the Right Time. Robin Amlôt of IBS Intelligence discusses the trade finance gap's pain points and potential solutions with Hussein Al Amine, Head of Business Development and Global Strategic Alliances at Fineon Exchange.
This week, we speak with Tanya Moroka, trade credit business development manager at Marsh about trade credit and trade credit insurance.
What a Generalist Broker Wants to Know About Receivables Insurance Greg Rozdeba, President of DundasLife is guest host on the TradeSecurely podcast to ask John Middleton, RIAC Chair & V.P. Complex Risk and Trade Credit at Hub Intl. questions about Receivables Insurance from a Generalist Broker's perspective. He asks questions to find out how generalist […]
The Funding University | Where Business Learns About Funding
Tate Parker is the Vice President of Sales for CoFace North America. He is a credit insurance expert who has been helping businesses grow and prosper for well over thirty years. He started off as a lender and then moved into the credit insurance industry. About The Funding University: The mission of The Funding University to Enable Funding around the world. Hosted by Seth Block, CPA. Visit The Funding University: https://www.thefundinguniversity.com Get Access To: 1. Blog: https://www.thefundinguniversity.com/blog 2. CPE Courses & Modules: https://www.thefundinguniversity.com/cpe 3. TFU Masterclass: https://www.thefundinguniversity.com/masterclass 4. Funding Expert Certification: https://www.thefundinguniversity.com/certification
Like many products within trade finance, trade credit insurance has endured serious volatility during the last 12-18 months, thanks to the COVID-19 pandemic. But while some products have struggled to bounce back - as evidenced by the growing trade finance gap - trade credit insurance has ultimately emerged from the pandemic stronger than before. And perhaps one of the best witnesses to that recovery is Richard Wulff, executive director of the International Credit Insurance & Surety Association (ICISA). Full transcript here: https://www.tradefinanceglobal.com/posts/podcast-s1-e75-u-shaped-recovery-icisas-richard-wulff-on-trade-credit-insurance-its-bounce-back-from-the-pandemic/(opens in a new tab)
As the trade finance industry shifts towards more digitalised ways of doing business, new niches are opening up within the market. One such niche can be found in digitalised trade credit insurance and surety markets, of which one of the largest players is Tinubu Square. Tinubu Square considers itself the leading B2B software-as-a-service (SaaS) provider for trade-related speciality insurance, namely credit insurance with short-term, medium-term, and political risk, bonds and surety, working with 60 insurers, 218 brokers and over 1000 obligees based around the world. Full transcript here: https://www.tradefinanceglobal.com/posts/podcast-s1-ep74-getting-saas-into-surety-and-credit-insurance-tinubus-co-founder-talks-insurtech/
In today's daily round-up of export, trade and commodity finance news, TXF's Max Thompson covers the latest stories and trends across the market: British Airways has agreed to a five-year committed credit facility worth £1 billion with UK Export Finance and a syndicate of banks The Japan Bank for International Cooperation has announced that it will stop financing new unabated coal power projects by the end of this year to to align with an agreement made by the Group of Seven nations earlier this year. Etihad Credit Insurance, the UAE's federal export credit agency, has signed an agreement with First Abu Dhabi Bank and Crediti Fintech to help boost funding for UAE exporters. Like what you hear? Hit subscribe to stay up to date and for all the latest news online visit www.txfnews.com today.
2021 – Year Two: Canada in a COVID World In 2021 we have seen rising inflation, global supply chain bottlenecks and disruptions, as well as ballooning public debt. Though the world is getting back to work, COVID continues to morph into new variants offering more uncertainty. On this episode of the TradeSecurely podcast, three economists […]
The View from the Credit Manager & the Underwriter If you have ever wondered how a credit manager or an underwriter evaluates risk have a listen to this podcast. Long time credit manager Dave Lundrigan and Damian Di Perna, AVP of Risk Underwriting at Euler Hermes, share how they view risk and endeavour to find […]
In today's daily round-up of export, trade and commodity finance news, TXF's Max Thompson covers the latest stories and trends across the market: The EBRD and trade credit insurer Euler Hermes have signed a master risk participation agreement to boost cooperation through the bank's Unfunded Risk Participation programme to support investments in green bonds. Saudi Aramco has hired a large group of banks to arrange its inaugural issuance of US dollar-denominated sukuk as the company seeks cash to fulfil large commitments to its major shareholde Coface North America has unveiled a new trade credit insurance offering Like what you hear? Hit subscribe to stay up to date and for all the latest news online visit www.txfnews.com today.
#InsurTechTalk by @InsurTechLAEpisode 31 In this episode, James Bowen, CEO and Co-Founder of Energetic Insurance, joins Gilad Shai to talk about Credit Insurance in the renewal energy industry, the gap in underwriting loans, having great investors and paper providers.
EFCIS are a leading and key business in the Specialist Trade Credit Insurance sectors. As they state “Your relationship with a Specialist Trade Credit Insurance Broker is important. A competent, experienced Broker will secure challenging credit limits, ensure your claims are paid in full and assist in the smooth running of your policy. Unlike many classes of Insurance, Trade Credit Insurance is fluid. It's aligned to your sales ledger, which can change on a daily basis. Your Broker must have the skills and expertise to ensure you derive the maximum benefit and protection. Clients that make the move to EFCIS are very pleasantly surprised with the improved credit limits we negotiate, the competitive premiums we secure and the ongoing assistance and expertise offered at no additional charge. It's all part and parcel of the service we would like to offer you.” The team at Beanstalk believe that the Credit Insurance offering for the Fresh Produce and Fresh Food sectors are fragmented with no clear brand names or direct conversation/advice on offer. We wish to assist our contacts with the direct introduction of EFCIS and their award winning teams to assist you and your businesses. We have secured Andy Moylan, CEO of EFCIS to give us all is expert advice in this critical business area. He is one of the UK's most influential and respected credit insurance practitioners. He has played an active role in establishing best practice for this sector and his expertise is frequently sought by global brands. Andy began his career at one of the UK's largest credit insurers. After working at a senior level for several broking houses he established EFCIS in 2000. His aim was to build a team that would offer a service to clients that was “far and above the service being offered by the traditional credit insurance broker.” As the sole UK founding member of the ICBA Andy is proud that “As a team we have the capability to place global credit insurance programmes with a local service with 70 offices in 38 countries.”
In today's daily round-up of export, trade and commodity finance news, TXF's Max Thompson covers the latest stories and trends across the market: The UK has ruled out billions of pounds in public finance for oil and gas projects, including a $3.5 billion pipeline in East Africa. Canada’s First Cobalt Corp has entered into a deal with Glencore's unit under which it will repay an existing loan of about $5.5 million by issuing shares Greenlight Re Innovations (GRI) has invested in London-based TradeCrediTech (Nimbla), a digital managing general underwriter focusing on the small and medium-sized enterprise credit insurance market Like what you hear? Hit subscribe to stay up to date and for all the latest news online visit www.txfnews.com today.
This week I am delighted to welcome Vincent LePore and James Bowen from Energetic Insurance. Energetic Insurance have created a first-of- its-kind credit insurance policy covering payment default risk on commercial solar energy projects..Now if that sounds like a mouth-full, don't worry because all will be explained...What really impressed me about Energetic is how the business was born out of an unsolved problem in the solar energy section. As they went to figure this out, they realised that insurance was probably the most appropriate solution. In our conversation, we talk about how Energetic are creating real value for their customers, and about the challenges of getting capacity for a brand new underwriting concept...
The tussle between landlords and non-paying tenants continues, with some drastic government measures introduced last night. Jo and Nick also discuss trade credit insurance - how confident will businesses be to continue trading on credit terms? And will the fashion industry survive...
Every year Atradius releases a Payment Practices Barometer survey which shows the international behaviours for payment practices in countries around the world. This year’s findings, released in early July, show the impact thus far of the COVID-19 pandemic. Though it will take time to determine the full impact of the pandemic on the Canadian economy […]
Asset-based lending is one of the best ways for mid-sized companies to get to the next level. And the role of credit insurance, which has vastly improved since the days of the Great Recession, is often overlooked… yet will be vital to recovery after countries – and the companies in them – exit lockdown.
In this week’s Business Finance Bulletin podcast, we open the episode by considering what type of economic recovery you should be planning for. Which scenario best fits your plans? The ability of businesses to confidently trade among themselves is key to re-building the economy. We look at a new scheme launched by the government to ensure the continuance of Trade Credit Insurance. To close, we take our regular look at the numbers behind the Bounce Back Loans and the Coronavirus Business Interruption Loan Scheme.
In today's daily round-up of export, trade and commodity finance news, TXF's Max Thompson covers the latest stories and trends across the market: OPEC leader Saudi Arabia and non-OPEC Russia have agreed a preliminary deal to extend existing record oil output cuts by one month, while raising pressure on countries with poor compliance to deepen their cuts, sources said. The UK government said it will guarantee up to £10 billion ($12.5 billion) in trade credit insurance schemes which protect businesses hit by the coronavirus against defaults or payment delays The Export-Import Bank of the United States has extended several relief measures for exporters and financial institutions affected by the COVID-19 pandemic through to 31 August, 2020 Like what you hear? Hit subscribe to stay up to date and for all the latest news online visit www.txfnews.com today.
In this episode, Dan and David discuss the effect that Covid-19 has had on the trade credit industry, how government schemes are on their way to help, and David explains how Prophet Group works closely with CoCredo to enhance their product offering. This interview has been conducted via Zoom.
In today's daily round-up of export, trade and commodity finance news, TXF's Max Thompson covers the latest stories and trends across the market: ADB's 2019 operations reached $33.74bn China is set to speed up purchases of US farm goods and will implement the Phase 1 trade deal with the US, state-owned agriculture trading house COFCO said The European Commission has approved a Danish guarantee scheme to support the trade credit insurance market in face of the coronavirus outbreak Like what you hear? Hit subscribe to stay up to date and for all the latest news online visit www.txfnews.com today.
Kick starting the latest Business Finance Bulletin podcast we take our regular look at Bounce Back loans and CBILS progress. The Bounce Back loans have proved to be popular, but some concerns remain among businesses still struggling to access the Scheme. Aldermore Bank have surveyed businesses to understand the impact the lockdown has had on business sales. However, the survey reveals that businesses have taken bold and swift steps to safeguard their future. Closing the Bulletin, looking ahead to post-lockdown the government has pledged support to the Trade Credit Insurance sector. The support package will ensure firms can confidently continue offering credit terms.
After leaving public company CEO life, I chose to dedicate my time to helping senior leaders get unstuck on tough challenges. I’m so passionate about sharing this process with other leaders because I’ve seen the success it can produce first hand. When I took over Atlanta-based Assurant Solutions in 2005, it was a $2 billion purely domestic business focused almost entirely on a dying industry: Credit Insurance. It didn’t take long realize I was stuck. For years, we had been on a roll, stacking one success atop the next. Then, we learned some hard lessons about the digital divide that was yawning in front of so many leadership teams. Thankfully, right as I was facing this dilemma, I was presented with a new learning model that caught my attention - that is learning from others who have gone before you. It may sound simple, but these external experts came alongside our team and quickly transferred their knowledge and experience to help us go faster and execute a digital transformation strategy. Today, Assurant (NYSE: AIZ) is a dynamic, high growth, digitally-astute global provider of protection products and other innovative digitally-focused risk management solutions. I was so blown away by the results, I decided to join GXG, the firm that shared this model with me. We’re committed to solving traditional consulting’s execution problem by curating intentional, focused conversations with expert operators who share the advantage of their knowledge and experience. These insights empower our clients to activate the best-fit solution and demonstrate measurable success, just like we did at Assurant. This learning model has applications within corporations as well as organizations like nonprofits, universities, and community groups. To learn more about GXG: www.gxg.co To learn more about his speaking services and upcoming book publications: www.craiglemasters.com
In this episode of Education and Application, I chat with Clay about his experience with being an insurance sales agent. Enjoy, and please subscribe to the show. Contact Information for Clay: (979) 255-1618 Show Website: EducationandApplication.com http://educationandapplication.libsyn.com/website Links related to Insurance Sales: https://www.bls.gov/ooh/sales/insurance-sales-agents.htm Social Media: https://twitter.com/Edu_and_App
In this special Episode of The kisscapades Podcast we feature Julius Kibera the Managing Director of Reliable Consultants Insurance Agency, RCA are an Insurance & Investment Agency. They offer a variety of insurance packages from their Partner Companies which include: Jubilee Life Insurance, Britam, Liberty, First Assurance, UAP, Old Mutual, APA Insurance, CIC Group, Kenya Orient, Madison Group, Resolution Insurance, Heritage Insurance Company, AAR Insurance, PACIS, AIG Corporate Insurance, GA Insurance & Sanlam. RCA offer the following products on behalf of their Partner Companies: Life Cover,Education Funds,Unit Trusts, Wealth Management, Savings/Investment funds,Retirement/Pension funds, Medical Cover-Corporate & individual, Personal Accident Cover, Travel Insurance, Group Life Insurance, Motor Insurance, Marine Insurance, Fire & Perils, Burglary Insurance, All risk insurance, Public Liability, Money Insurance, WIBA, Group Personal Accident, Employer Liability, Contractor All Risk, Golf Insurance, Animal & Crop Insurance, Credit Insurance, Fidelity Guarantee, Performance Bonds, Goods in Transit Cover, Bid & Performance Bonds, Professional Indemnity Insurance and much more. Contact: Julius Kibera the Managing Director, Reliable Consultants Insurance Agency Kampus Towers, 5th Floor – University Way Office : 0722-642257 / 0732-380047 Mobile : 0722-761811 / 0733-761810 E-mail : jkibera@reliableconsultants.co.ke Website : www.reliableconsultants.co.ke Follow our Social Media Platforms @thekissbandit @kisscapadespodcast Watch the Podcast Videos on YouTube: https://www.youtube.com/thekisscapadespodcast
$19 Trillion US was the total of world merchandise exports in 2018 and Canada played a big role ranking #13 on the list of largest merchandise exporters. If you are considering a move into exports this year there are a number of things to consider and investigate. John Middleton, President of GCRM will outline how to get started down the exporting path and how to finance your export venture.
If you are considering a move into exports this year there are a number of things to consider and investigate. This month on TradeSecurely we look at how to get started down the exporting path and how to finance your export venture. Full show coming January 15.
Entering new foreign markets brings in new challenges and a wealth of unknowns. On this episode of the TradeSecurely podcast credit insurance specialist Mark Hall discusses how to gain insight on the credit worthiness of potential customers in other countries.
Credit Insurance Specialist Mark Hall explains how Canadian businesses can use receivables insurance to gain insight on the credit worthiness of their potential customers in other countries.
TXF Political Risk & Trade Credit Insurance is a uniquely interactive forum where banks, corporates and traders meet the CPRI market to forge new and deeper partnerships for distribution, capital relief and risk mitigation. TFG are delighted to be Media Partners of the TXF Political Risk & Insurance conference in London on the 4th December, and to ensure you’re up to speed with this ever-changing environment, we caught up with leading experts in CPRI ahead of the conference. We are joined by Sean Edwards, Chairman, ITFA & Head of Legal at SMBC, Peter Sargent, Head of Transaction Banking at DNB Bank, Rudolf Putz, Head of the Trade Facilitation Programme at the EBRD and France-Anne at Tinubu Square.
Credit Insurance is an important risk mitigant in international trade. So much can go awry, from political issues to non-payment. Both corporates and banks are now using credit insurance as a risk mitigant when financing international trade. But what actually is credit insurance, how can it be used to facilitate trade finance as a risk mitigant, and what are the key watch outs a corporate or bank should consider when using credit insurance? We talked to two credit insurance experts about security, policy wording, obligations and what happens when things go wrong. See the full transcript here: https://www.tradefinanceglobal.com/posts/podcast-s1-e18-moving-forward-with-credit-insurance/
WTCBN Podcast interview with Ed Arnold, President of Trade Credit Insurance Agency. Join host Craig Turner, World Trade Center Buffalo Niagara President, and Ed for their discussion on credit insurance, how it not only helps mitigate the risk of non-payment when doing business internationally, but can be a important tool for securing financing, stronger terms and new business. 0:39 - About Trade Credit Insurance Agency 1:44 - What is credit insurance? 2:34 - What competitive advantages do credit insurance provide? 6:22 - Credit insurance as protection from current uncertainty 8:13 - Peace of mind 9:34 - Trends in global trade risk 12:31 - WTCBN Global Business Administration (GBA) Program - Fall, 2019
In Episode One, Scott sat down with Tom Klausen, President of First Vancouver Financial Services Inc., and had a great discussion about asset based lending and factoring arrangements for small businesse, credit insurance, cost of capital, counter-party risk and a host of other related issues. Learn more at www.sinclairrange.comFollow on Twitter @MartinisWScottFollow on LinkedIn https://www.linkedin.com/in/scott-sinclair-7b09681b/
Lenders often suggest including credit insurance with your loan. Since it’s optional, here are 9 questions you should get the answers to before you agree to pay for credit insurance on your loan.
Amid potential changes to PRA regulations, IFRS accounting standards, and sovereign risk exposures, the trade credit insurance landscape will have to evolve. Gary Lowe, head of the credit insurance desk at Standard Chartered, gives his take on these regulatory constraints and what buying trade credit insurance in a post-Brexit world will look like.
Grow your business by protecting the downside risk of non-payment! Robin Carkett spoke with us about how credit insurance protects businesses from non-payment of commercial debt. It makes sure invoices will be paid and allows companies to reliably manage the commercial and political risks of trade that are beyond their control. Capital is protected, cash flows are maintained, loan servicing and repayments are enhanced, and earnings are secure from these events of default. Contact LinkedIn: https://www.linkedin.com/in/robincarkett/ Website: http://www.eulerhermes.ca/en/euler-hermes-canada/Pages/default.aspx Phone: 604 340 9335
Despite many reasons for small businesses to feel uncertain about prospects, we open this Bulletin with a review of the latest Business Barometer Report from Hitachi Capital which reveals that business confidence has remained steady over the last 12 months. One source of finance which continues to see growth is Asset Finance. Figures released by the Finance and Leasing Association shows strong growth in the use of Asset Finance in 2017 with certain types of asset purchases leading the way. To close the podcast, we share news that Marketinvoice, the online invoice discounter, has announced a tie-up with trade credit insurance provider Euler Hermes. The partnership will benefit those Marketinvoice clients who wish to protect themselves against non-payment of discounted invoices.
Despite confidence levels amongst many small businesses being muted, we open our latest podcast with a look at news from Hitachi Capital Business Finance that SMEs are seeing opportunities coming out of Brexit. Also, the latest Lloyds Bank research reveals that confidence is up in terms of production output across the regions. So not all bad news. Dealing with late payment is bad enough but when late payment turns into no payment then that can be a bitter pill to swallow. That’s where trade credit insurance comes in and we have news of a new streamlined policy from Atradius designed for small businesses. To close we take a look at the latest statistics from the Finance and Leasing Association which reveal that the industry continues to see strong growth in leasing and HP when it comes to purchases of plant and machinery and business equipment.
В этом выпуске: -Категории страховок (group, personal, credit insurance) -Преимущества и недостатки каждой -Как покупать: самому в страховой компании или с независимым брокером -Требования к брокерам/страховому агенту MoneyInside.ca – ваш подкаст о деньгах, экономике и личных финансах. Оставить свои комментарии или задать вопросы вы всегда можете под этим выпуском или в группе "Финансы с Артемом" в Facebook - https://www.facebook.com/groups/CanFinanceInRussian/ Спасибо, что слушаете MoneyInside. Успехов в деньгах!
В этом выпуске: -Зачем нужно делать страховки -Как определять сколько нужно -Мифы и реальность - будут ли мне платить в случае происшествия? -Банкротство страховой компании -Какие виды страховок бывают (страховки, связанные с людьми, не имуществом): group, personal, credit insurance Assuris - огранизация, которая предоставляет страховку в случае банкротства страховой компании MoneyInside.ca – ваш подкаст о деньгах, экономике и личных финансах. Оставить свои комментарии или задать вопросы вы всегда можете под этим выпуском или в группе "Финансы с Артемом" в Facebook - https://www.facebook.com/groups/CanFinanceInRussian/ Спасибо, что слушаете MoneyInside. Успехов в деньгах!
In this Business Finance Bulletin podcast, we kick off looking at Trade Credit Insurance with news from the Association of British Insurers on how the sector performed in 2015 in respect of the amounts paid out. The Small Business Enterprise Bill has now been given Royal Assent and we look at what we can expected in terms of tackling late payment. A survey from Amicus Finance has looked at demand amongst business owners for sources of alternative finance. The findings reinforce the trend that alternative finance is going mainstream In the Business Finance Tip of the Week three tips on how to choose the right Accountant for you and your business.
New entrants into Fintech need a twist. ArchOver has an innovative (a word oft used but rarely accurate) and very interesting innovation of combining Credit Insurance with Secured SME marketplace lending. Additionally they innovate by not just using single invoices as security (which is common) but by the whole set of invoices (ie "accounts receivable"). This model they call "secured and insured" - a real belt and braces. In a marketplace which, post Lending Club IPO has been characterised by a dash for asset growth it is very refreshing to see a P2P that is focused on minimising Lender Risk (as subject I have written about a lot this year - see eg my columns for AltFi News). So I am delighted to be joined on the show by Angus Dent CEO of ArchOver to discuss how "secured and insured" lending works. It's certainly a fascinating crossover of insurance, banking and the new digital Fintech worlds. In this episode we discuss: - Aston Martin club racing [and whether there is a car racing masonic lodge at the heart of UK P2P [see eg LFP021 where Zopa's CEO Giles talks about racing Caterham's inter alia]] - Aston Martin Club Racing and crowdfunding - how insurance works in the world of racing Aston Martins - the comparison between invoice-based finance and ArchOver's model of using the whole invoice pool as the security - how invoice discounting works by way of contrast; when it works well and when it doesn't - asset-based finance as extended to include these intangible assets [cf property, machinery] - the role of credit insurance in insuring the value of the payments - the benefit of the credit insurers processes around operational management of the invoices - the situations when credit insurers are reluctant to pay out and how to avoid those - the benefit to the lender in having a belt and braces approach to lowering their risk - both the security of the invoices (with a haircut) as well as being insured - the benefits to the borrower in lowering the cost of funds and not touching any other assets which they can still use as sources of security for finance - the benefits to all of two layers of credit checking - ArchOver's analysis and the credit insurer's - credit insurers having a good reputation; their origins in export business; a well-established model - the reactive nature of companies raise funding and need for speedy turnround - ArchOver's average loan being £220,000 (far larger than the average UK P2P loan) - typical borrower rates are 8.25% , 2yrs period and lender rates 6.75% - ArchOver as one of the few P2Ps who disclose borrower rates - ArchOver have a number of lenders lined up to fund loans so that a firm offer can be made to the borrower [cf other platforms which have a more "publish for an auction" process]; why it's important to provide borrowers with certainty - credit insurance as a de-risking device compared to internal provision funds in P2P - "high levels of security" versus "low levels of risk" - ArchOver's approach to getting the word out about their innovative approach And much much more :-) Enjoy!
This podcast talk about credit insurance and why you consumers should avoid it.
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