Offer your customer long-term credit while guaranteeing your money
What we offer
Requirements for your business
How a Supplier Credit Guarantee works
The Supplier Credit Guarantee enables Danish export companies to offer a customer in a foreign country long-term credit for a specific export order without running the risk of the customer failing to pay.
With your risk of loss at a minimum, you can offer credit both to customers you know well and to new customers for whom you do not know the entirety of the risk. This allows you to sell more and concentrate on succeeding in the export markets rather than worrying about potential losses. The Supplier Credit Guarantee covers you in situations where your customer is either unable or refuses to pay, it is impossible to transfer money out of the country, or if war or civil war breaks out in the country.
With a Supplier Credit Guarantee, you are the lender and can therefore add interest to the loan.
SKOV A/S works proactively with EKF financing
SKOV, a company based in Glyngøre, Denmark, sells ventilation and management systems for livestock production across the world. With their proactive use of competitive financing from EKF, they are often one step ahead when closing orders.
How to get a Supplier Credit Guarantee
You want to offer your customer credit
EKF runs a credit rating check on your customer
You contact EKF to obtain a Supplier Credit Guarantee. We assess the customer's credit rating and the political risk in the customer's country.
You offer your customer credit
If EKF is able to approve the customer and the country, we issue an offer to you. You can now offer your customer credit with a guarantee of payment from EKF.
You conclude the transaction with your customer. The credit can be documented in the commercial contract or via bills of exchange.
And we’re done
EKF issues a Supplier Credit Guarantee, and you can deliver the order. The customer then starts servicing the credit. If the customer does not pay, you receive compensation from EKF.