SHORT TERM DEALER

Available to

U.S. entities and Non U.S. entities domicile outside USA.

Exports Supported

Equipment, spare parts and consumable.

Program Description

• For companies out side USA
• For exports held by the dealer out of U.S. for resale to end users

Best used by

Foreign entities and exporters.

Coverage and Terms

• This a combination of short- and medium-term financing.
• Cash payment by the dealer of at least 15% of the net contract value.
• The dealer will receive 180-day credit terms to finance the acquisition of U.S. capital good.
• If the goods are resold and payment is received in full by the dealer by the end of the 180-day credit period, then the financing related to those goods must be repaid.

Otherwise, provided certain conditions are met, the original financing can be refinanced as follows:

• If, at the end of the 180 day credit period, the goods have been resold on dealer credit, the dealer may refinance its debt obligations to the insured lender on either: i) a short-term basis (i.e., for an additional 180 days) or ii) a medium-term basis (i.e., generally up to 3 years from the date the original loan was made — including the initial 180-day credit period), depending on the term extended by the dealer to its customer); or
• if the product remains unsold at the end of the initial 180-day credit period, the dealer may refinance its debt on either: i) a short-term basis or ii) a medium-term basis (up to a limit of 2 years from the date the original loan was made including the 180-day credit period).