International Business Loans

International business loans are available to you for the purpose of expanding your business to overseas markets. You can receive assistance from the Small Business Administration (SBA) and both domestic and offshore private lenders.

You will also need a well-written, detailed and accurate business plan to give prospective lenders the complete picture of your business objectives. Your business plan must address the aforementioned cultural differences that you may experience and how you will accommodate them.

Most lenders will also require you to have some of your own money at risk as well. Most private lenders may require a down payment of at least 20%.

You may also find it beneficial to seek foreign business loans in the country that you plan to do business. The value of foreign money will of course depend upon the money market and the value of the dollar at the time when you are seeking an international business loan. International funding often involves large project loans, sometimes called Mega Loans. In some cases, doing business offshore may have more inherent risks than your domestic business operations. The apparent increased risks may be real or perceived. Much depends on the reputation and political climate of the country in which you plan to operate. Whatever the case, you must make the prospective lender feel confident that their money will be returned.

Your credit score will be more important when you are applying for an international business loan. Lenders will place more weight on both your personal and business credit scores when their money is going overseas. If your business is in a strong financial position with an excellent credit rating, your personal credit score may not be scrutinized as closely. However, if your business has a questionable credit history, the lender may look for your personal credit score to be very good in order to make the deal work.

Be Sensitive to Cultural Differences In Your Business Dealings

Also, if you plan to seek assistance from the Small Business Administration for your overseas business expansion, you will have to show them that you understand and know how to develop the markets in the target country. This may mean that you may have to have working knowledge of the culture and customs. If you do not possess this knowledge personally, you will have to show that you will have employees and/or consultants who will be able to operate in a day-to-day business environment. You may also check with the SBA for assistance or training programs in overcoming the cultural nuances you may experience while doing business in a foreign nation.

If your financing requirements exceeds $38 Million or more, you may want to investigate the Capitalization Program offered by one of our business money sources.

Begin the conversation with our funding sources by filling out the short International Business Loans Form now.