Export-Import Trade Finance can present considerable challenges to America's small and mid-size business owners.  Typical export-import transactions may include requirements for letters of credit, purchase order finance, international credit insurance and more.. 

International factoring may represent an easier way.  A typical transaction includes four parts.  First:

•     The exporter signs a factoring contract with an export factor in its own country.  The exporter assigns all export receivables to the export factor. An advance is made.

•     The export factor selects an import factor in the country to which the exports are going. The receivables are then reassigned by the export factor to the import factor.

•     The import factor will establish credit lines for each of the importers.

•     After the exporter ships the goods, the import factor collects on the receivable and forwards payment of the proceeds to the exporter's account at the export factor.