Export Finance

Export Working Capital Line of Credit

Maximize Your Borrowing Potential with Pre-Export Financing

Dependable sources of working capital are the key for a company’s financial stability and expansion. City National Bank’s Export Working Capital Line of Credit is designed to provide U.S. exporters with the liquidity to produce U.S.-originated goods or services for export, accept new business and compete more effectively in the international marketplace.

Benefits

If your business has export potential, but you need the funds to buy or produce goods and services, we are here to help you:

• Receive up to 75% advances to acquire export-related inventory
• Finance export-related work-in-process, raw material and finished goods inventory
• Obtain up to 90% advances for export-related accounts receivable
• Use guaranteed financing on a revolving or transactional basis to:
  • Purchase finished products for export
  • Pay for raw materials, labor, and overhead to produce goods and services
  • Cover stand-by letters of credit
  • Cover retainages and warranties
  • Finance foreign receivable

Speed

Obtain working capital faster with our local expertise:

• Your application is qualified in-house (with our Delegated Authority status)
• We can commit Ex-Im Bank’s guarantee upon our credit approval (up to $7.5 million)

International Buyer Credit Program

Through the International Buyer Credit Program, creditworthy foreign buyers in emerging markets can secure term financing for the purchase of U.S.-origin capital goods and services. City National lends directly to foreign buyers without any balance sheet impact to the seller (our client). The loans we make through the program are backed by the Export-Import Bank of the United States (Ex-Im Bank) and provide foreign buyers with competitive financing when access to credit or favorable terms are not otherwise available in their home country.

Expand Your Sales and Provide Financing

If you are negotiating the sale or bidding on a project involving capital goods and services to an emerging-market foreign buyer, City National is here to help you win the deal by financing the purchase transaction for your foreign buyer:

• Foreign buyers may obtain medium- and long-term financing (from 2 to 15 years)
• Most often, no collateral is required from the foreign buyer
• Fixed and floating interest rates are available
• There are no transaction size limitations
• No balance sheet impact to the U.S. exporter

What can be financed for the foreign buyers?

Ex-Im Bank’s guarantee of City National’s loan to the foreign buyer may be available for:

• Up to 85% of the U.S. contract value for capital equipment and services
• Certain banking and legal fees associated with the buyer’s credit application
• In some cases, interest capitalization and some local costs associated with the US contract
• Note: Military, defense and nuclear-related items are generally not eligible nor are some sales to military buyers

Benefits

• Expand project bidding and sales of products and services into new markets worldwide.
• Win offshore contracts where providing financing is a condition of winning a contract.
• Financing for your foreign buyer may be structured as an additional source of working capital for you outside of your standard credit lines.
• Expand core competencies and evolve into a more vertically integrated enterprise.
• Generate larger orders from buyers abroad with stable U.S.-dollar financing.

Getting Started

City National’s export finance specialists are experienced in Ex-Im Bank loan programs including unique expertise with environmental and green-energy projects. Our seasoned experts can provide comprehensive assistance for international transactions. We provide clients with expert knowledge and customized international financial solutions to meet their needs.

For more information on any of our Export Finance services, please contact us or call (213) 673-8614.