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Supplier Credit Guarantee
Woman working on industrial machine
Supplier Credit Guarantee

Offer your customer long-term credit while guaranteeing your money

When you offer your foreign customers financing, they are more likely to order from you. Long-term credit is a strong selling point. If your cash flow situation is good, you can offer the customer credit without involving a bank. With a Supplier Credit guarantee from EKF, you can be sure of getting your money. If your customer does not pay as agreed, you are compensated by EKF.

What we offer

Offer your customer long-term credit without facing risk.
Competitive edge.
Compensation if your customer fails to pay.
Risk cover for interest on your customer's credit.

Requirements for your business

Your customer is from a foreign country.
The customer must be creditworthy.
You must sell facilities, equipment and machinery or other goods that can be financed via a long credit period of minimum six months.
Your business must be conducted on an environmentally sound and socially responsible basis.
Your company must help to generate economic growth in Denmark.

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.

Illustration of Supplier Credit Guarantee
Case

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.

The process

How to get a Supplier Credit Guarantee

Kvinde arbejder med industrimaskine

You want to offer your customer credit

Ikon af kreditvurdering i EKF's rød og blå farve

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.

Ikon af finansiering i EKF's rød og blå farve

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.

Ikon for Købsaftale i EKF's rød og blå farve

The paperwork

You conclude the transaction with your customer. The credit can be documented in the commercial contract or via bills of exchange.

Mand ved industrimaskine

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.

The small print and relevant documents

Contact an advisor
Chief Underwriter Nicolai C. Frank

Any questions about Supplier Credit Guarantees?

If so, call or write to Chief Underwriter Nicolai C. Frank on telephone +45 3546 2695 or e-mail ncf@ekf.dk.
Find the contact information here

The Supplier Credit Guarantee does not meet your needs?