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export Financial, LLC

Merchant Trade Finance

Export Financial provides financing services and working capital to Export Financial provides financing services and working capital to import and export companies in the food sectorimport and export companies in the food sector

Our strength is based on relationships with quality customers Our strength is based on relationships with quality customers

WWe react quickly to critical financing requirements and concentrate on e react quickly to critical financing requirements and concentrate on products with lower risk and higher yieldproducts with lower risk and higher yield

We factor and invoice discount receivables from high quality, credit We factor and invoice discount receivables from high quality, credit worthy companies, and can credit insure them for investment safetyworthy companies, and can credit insure them for investment safety

WHAT WE DO

HOW WE DO IT

We finance trade in three ways:

Domestic Accounts Receivable Financing/Factoring

International Accounts Receivable Financing/Factoring

Purchase Order Financing

export Financial, LLC

We buy unpaid invoices and supply companies with immediate cash

Quick access to working capital without creating liabilities on a business's balance sheet

Accounts receivable collection and follow up services

Ability to pay suppliers early

Increase sales volume

Improve credit risk management

Working capital factoring is an incredible useful business tool for any company

FACTORING Factoring is the process whereby a company sells its account receivable at a discounted rate to a factor for exchange for inmediate cash.

It is a financing tool that offers companies the following benefits and advantages:

Purchase Order Financing When clients have a purchase order and insufficient cash to deliver

the product or render the service, Export Financial will finance the operation by providing the necessary funds and collecting payment from the client's customer

Purchase Order Financing is an effective form of business in which money is advanced against purchase order for finished goods. Funds are sent directly to the suppliers to buy the materials or goods necessary to ensure that the final order will be fulfilled in a timely manner

Opportunities:The NAFTA provides great opportunities to expand the volume of trade finance between the US and Mexico, have a very safe basis for appropriations and provides a secure base for growth

Currently this type of financial service is offered by few institutions in the Valley

The trade continues to grow in both directions, north and south

Transactions financed and repaid in a term of 30, 45 and 60 days

Initial funding:

Our relationships with importers and wholesalers in Mexico and the United States of meats, fruits, vegetables and frozen foods generates leads for funding

Transaction Financial Security Features:

Security lien on product purchased

Sales customer is credit insured for repayment of sales invoice amount. ef is named as the loss payee

Cargo insurance in place for US and Foreign freight haulers

Storage warehouses approved and insured. Security agreements executed with warehouses

Sales Invoices and product delivery acceptances verified with sales customer

Customer payments are made directly to a ef controlled bank account

EXAMPLE TRANSACTION:EXAMPLE TRANSACTION:

1. Sales Confirmation and Purchase Order established. Expected profit margin determined.

2. Day 1 Product purchase cost advanced by eef with wire to supplier.

3. Day 4 Product delivered to the border warehouse by truck

4. Day 5 Sales invoice issued by client to Mexican customer.

5. Day 6 Additional funds advanced to client

by eeff to equal 90% of sales invoice.

6. Day 35 Customer pays eeff the sales invoice amount.

7. Day 40 eeff deducts principal and interest costs and remits balance to client

Example Transaction Financial AnalysisExample Transaction Financial AnalysisEXPORTING FROM THE U.S. TO MEXICOEXPORTING FROM THE U.S. TO MEXICO

Per Truckload Pork Fat

Margin analysis (estimated)  

BuyerMexican

Customer 

SellerTradexport

International 

tl's /week 1 

lbs. 42000.00

kgs. 19047.62

Sales price per pound.- US$ $0.545

Invoiced sales price- US$ $22,890.00

Purchase price per lb. $0.470

COST OF GOODS SOLDCOST OF GOODS SOLD 

Delvd McAllen Price $19,740.00

Gross Profit Margin $3,150.00

Margin % 13.76%

Cold Storage $175.00

Customs $900.00

Freight to Monterrey $731.00

Cargo Insurance 45.78

Receivable Credit Insurance $68.10

ef - PO Financing and Factoring- 60 days $457.80

ef Processing Costs $105.12

Total Transaction Costs $1,646.68

Net Profit $1,503.32

Pct (%) Net Profit Margin 6.6%

export Financial, LLCMerchant Trade FinanceHouston-Mcallen,Texas

This term sheet is presented for discussion purposes only. The terms contained herein are subject to the final approval of all parties and the execution of legal documents. Nothing contained herein should be construed as an offering of securities under the laws of the United States or any other applicable jurisdiction