Avoid the risk and receive your money immediately
What we offer
Requirements for your business
How a Financing Guarantee works
EKF provides a guarantee to your bank for the credit extended to your foreign customer. In doing so, we assume most of the risk. The credit extended by the bank to your customer is financed by bills of exchange. This enables the customer to place the order with you.
You receive payment on delivery, even though your customer pays via credit.
How to get a Financing Guarantee
You want security of payment and to receive your money quickly
Your foreign customer wants credit for the order and uses a letter of credit or a bill of exchange as payment for the order. Conditions in the country are unstable and involve a risk of loss. Moreover, you would like your bank to finance your customer's credit, so you will receive payment for the order that way.
Your bank requires security in order to assume the credit risk
Your bank is hesitant to be involved, as there is a risk that the payment from abroad will not be made as agreed. Your bank therefore requests security for the payment.
We run a credit rating check on your export transaction
Your bank asks EKF to assume the risk in the form of a Financing Guarantee. However, we must first run a credit rating check on your customer and possibly the foreign bank to establish the extent of the risk. This includes a CSR screening. If the guarantee amount is above DKK 25 million, a more in-depth CSR assessment will be required.
The paperwork
Once we have agreed to assume the risk, we send a few documents for your bank to fill out and sign.
Offer
We send the bank an offer setting out the coverage, price and conditions.
And we're done
We then issue the Financing Guarantee, which covers up to 95 per cent of the risk of political and commercial losses related to the payment from abroad. This gives you the peace of mind to focus on your company's exports.
