You know, you take the big leap into the unknown, put all of your time, talent, treasure, blood, sweat and tears into a startup... and then fall in with the wrong crowd. Sure.. it looked good at first.. Here is another ImExBank "success" story:
And no one needs bank financing to expand a business. You need customers. If you have customers, you need no bank financing. You can get customers without bank financing, and it is often the case that bank financing does nothing to get you customers.
In my seminars I show how to find food and beverage business overseas in a few weeks organically, all prepaid, for less than $100 max. No government programs, no paperwork to fill out, no bankers nor compliance, just what the vast majority of small businesses do to get business overseas. If there is real business to be had, it can be just as easy and every bit as profitable as a domestic sale, with no more effort. I've got the happy past participants in my seminars to prove it.
Here is that scene from Goodfellas, NB bad language, first the help...
then when they gotcha...
Feel free to forward this by email to three of your friends.
The brewery recently partnered with a Swedish company, Spendrups Bryggeri AB and is moving beer to Europe. Spendrups orders 1800 cases of Hilliard’s Amber per shipment. Spendrups moves about one-third of the US craft beer in Europe. Hilliard said that in 2015 they hope to ship to Sweden the same volume of beer they sold in the US last year.Sounds great, right, for a four year old Seattle craft brew start-up?
Hilliard’s Beers started up with Spendrups through the Brewers Association Export Development Program. The EDP was started in 2004 through a grant from the Department of Agriculture’s Market Access Program. Their aim is to inform international markets of the beer brewed in the US to increase distribution.OK, keep following this, in essence Uncle Sam will find you customers, of a sort. Next Uncle Sam will finance your exports:
Many US small businesses trading internationally work with the Ex-Im Bank, which is the official US credit agency that provides working capital, export credit insurance, loan guarantees and direct loans for companies. The agency reports that no transaction is too large or too small. Basically Ex-Im takes the financial risk from US small businesses by backing transactions that private banks wont touch. The bank reports 85 percent of their transactions directly benefit small businesses in the US. The Ex-Im Bank works closely with the US Small Business Association to determine which small businesses get federal funding.Now the above is copy and paste journalism, straight from the EXIMBank press releases, mendacious where not a lie. Zero fact checking there. Almost zero USA small businesses trading internationally have ever even heard of the ExImbank let alone work with them. Why use the word official, (in the sense of "licit means") as though any of those services need be government provisioned? The ExImBank gives credit to private companies overseas to buy USA products. (The ExImBank funds deals banks won't touch, guess why?) The USA banks lend the USA small businesses credit to make the deal happen on this side, so the USA banks make the same profits with zero risk to themselves, the profits are privatized while the risk is socialized upon the taxpayers. The 85% figure cannot be verified, and where it can, it ends up being divisions of Warren Buffet investments. And these deals that would not be in a free market steal from those who can sell to solid customers overseas by financing deals that should not happen. At any rate 85% of near zero is still nothing worth mentioning. And I would not mention it, except, it is collectively billions down the drain, and billion here, and billions there.... it all adds up. Utterly unnecessary. But far more important, users end up losers. So far we have Uncle Sam finds customers, of a sort, and Uncle Sam finances... and next...
Incidentally, the same day Murray visited the brewery, Hilliard opened a letter from his bank that said he would not be authorize for the Ex-Im working capital he needs to grow his business. Why? The letter said that Hilliard does not have a record of capital that qualifies the business for the loan.What does that mean? Let's not be naive... Taking criticism for being the Patty Murray, D, Boeing; or Patty Murray, D, War. (Which is sad since she was one Dem to vote against the stupid war a dozen years ago...) and then here. Gotta look like she is supported by small folks... Get it yet?
And no one needs bank financing to expand a business. You need customers. If you have customers, you need no bank financing. You can get customers without bank financing, and it is often the case that bank financing does nothing to get you customers.
The political limbo worries Hilliard. He said he has invested a lot just to make the beer for the contract with Spendrup, and is disappointed in how things are moving with the SBA. He hopes that speaking with Murray about the problems will help. Murray shared a similar sentiment.I bet she did! And there is the thing. You get this "big order" all dependent on "government help" and then when it goes "poof" you are in debt for an infrastructure for a business that is not there. You end up like the guy who goes into business with Pauly in Goodfellas. Now you know how Guatemala feels.
In my seminars I show how to find food and beverage business overseas in a few weeks organically, all prepaid, for less than $100 max. No government programs, no paperwork to fill out, no bankers nor compliance, just what the vast majority of small businesses do to get business overseas. If there is real business to be had, it can be just as easy and every bit as profitable as a domestic sale, with no more effort. I've got the happy past participants in my seminars to prove it.
Here is that scene from Goodfellas, NB bad language, first the help...
then when they gotcha...
Feel free to forward this by email to three of your friends.
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