Global Success - Through Your Initiative & Available Resources

Should you go global?- Type of Co. / Products / Objectives

How will you do it?- Resources = people; products, patents, etc.

What are the metrics?- Process? Tried before?

What Stops Businesses From Exporting?

• “About 1% of US companies export, but of those that do, 58% export to only one country. I think it indicates a lack of awareness of the opportunities to export.”

• “Many companies may not know the language, customs, culture, law and logistical issues of exporting.”

• NEI – Double US Exports by 2015.

• Commerce Secretary Gary Locke – April 10, 2010 US

Confront Your Fears (Real or Perceived) with . . .

• Creative Strategies / Formulas - consult

• New Ideas / Procedures – based on what?

• Flexibility – listen . . . “meet in the middle?”

• Step out of Routine – “get on a plane”

• Accept Cultural Differences - (thinking, traditions, cultural routine, etc. – do not “Americanize”)

What Resources are Available?

• U.S. Commercial Service: The U.S. Commercial Service is the trade promotion arm of the U.S. Department of Commerce's ITA (International Trade Administration).

• Export-Import Bank: The Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States.

• The North Carolina District Export Council (DEC): Encourages exports that strengthen individual companies, stimulate economic growth, and create jobs. Coordinates activities with the North Carolina Export Assistance Centers and numerous trade assistance partners.

Making that first export can still be a daunting challenge for a small or medium sized business. USCS helps equip businesses with the knowledge and tools they need to meet that exporting challenge.

The U.S. Commercial Service helps companies enter new markets faster and more profitably with their worldwide network of 1,700 trade specialists located in more than 100 U.S. cities, and 150 offices in 77 countries, covering 96 percent of U.S. export markets.

They provide: - World class market research

- Trade events that promote your product to qualified buyers

- Introductions to qualified buyers and distributors through (Gold Key Service)

- Counseling and advocacy through the export process

U.S. COMMERCIAL SERVICE

THE PROCESS:

-Determining the Region/Market

-Contact Commercial Service representative in NC office who then contacts target area rep

-Send package (literature, pictures, samples, etc.)

-Target area Commercial Service Rep contacts potential distributors, agents, dealers, customers

-All interested contacts forwarded to you, for you to narrow down to best selection of potential choices

-Schedule trip to region, to visit best potential contacts, interviews (2 to 3 days)

-Make decision

U.S. COMMERCIAL SERVICEGOLD KEY SERVICE

Benefits and Perks

- U.S. Government represents and promotes your company (“U.S. Made” label)

- U.S. Government provides meeting place, often at U.S. Embassy

- U.S. Government provides language translator when needed

- U.S. Government provides transportation when needed

-U.S. Government provides government rate for accommodations

- Agency follow-up to assist in closing the deal

- Long-term relationship with agency reps

U.S. COMMERCIAL SERVICEGOLD KEY SERVICE

U.S. COMMERCIAL SERVICEGOLD KEY SERVICE

Benefits and Perks

- U.S. Government represents and promotes your company (“U.S. Made” label)

- U.S. Government provides meeting place, often at U.S. Embassy

- U.S. Government provides language translator when needed

- U.S. Government provides transportation when needed

-U.S. Government provides government rate for accommodations

- Agency follow-up to assist in closing the deal

- Long-term relationship with agency reps

COST: $750.00

EXPORT-IMPORT BANKThe Export-Import Bank of the United States (Ex-Im Bank) is the official export credit agency of the United States.

Mission - to assist in financing the export of U.S. goods and services to international markets.

Ex-Im Bank enables U.S. companies — large and small — to create export opportunities, with a goal of maintaining and creating U.S. jobs, contributing to a stronger national economy.

Ex-Im Bank does not compete with private sector lenders but provides export financing products that fill gaps in trade financing. They assume credit and country risks that the private sector is unable or unwilling to accept.

They also help to level the playing field for U.S. exporters by matching the financing that other governments provide to their exporters.

Ex-Im Bank provides: Working capital guarantees (pre-export financing)

Export credit insurance

Loan guarantees

Direct loans (buyer financing)

EXPORT-IMPORT BANKEXPORT CREDIT INSURANCE

THE PROCESS:

- Establish Customer & inform EX-IM Bank

- Set up “Receivable Requirements”

- Invoice Customer

- If customer violates terms of Receivables, document report to EX-IM Bank

- EX-IM Bank pays 95% of invoice / Not guaranteed twice, now cash-in-advance

EXPORT-IMPORT BANKEXPORT CREDIT INSURANCE

THE PROCESS:

- Establish Customer & inform EX-IM Bank

- Set up “Receivable Requirements”

- Invoice Customer

- If customer violates terms of Receivables, document report to EX-IM Bank

- EX-IM Bank pays 95% of invoice / Not guaranteed twice, now cash-in-advance

COST: 0.75% of invoice($75 per $10,000)

The North Carolina District Export Council:

Encourages export opportunities that strengthen individual companies

Volunteer time and expertise to educate and promote awareness of exports

Helps exporters in their local communities

Work with export U.S. assistance centers

Advocate for small & medium exporters

“Take the Initiative . . . . . . MAKE YOUR FORMULA ! ! !

The Slade Formula for Global Expansion:

Gold Key Service (U.S. Commercial Service)Customize your program to your product(s) or service

Export Credit Insurance (Ex-Im Bank)

Follow Up Process (Slade “Focus Formula”)Preliminary review, Same day E-Package, 1st response follow up, mutually acknowledge process, etc

Realistically Confront Your Fears / Objectives

• Create within yourself the ability to discern what benefits or favors your objectives

• Keep your Focus• You will – Meet Lots of People

– Good, Bad & Ugly / $$$ / Be Careful !!!

• Surround yourself with wise counselorsand reliable contacts

• Be Flexible yet Committed• Clearly understand your Goals

Questions & Answers