A new agreement aimed at aiding small business exporters was announced Wednesday.
The signing of the Strategic Alliance Memorandum (SAM) with the International Trade & Forfaiting Association (ITFA) was announced by the U.S. Small Business Administration (SBA). The memorandum will formalize relations with the Trade Association.
The ITFA and SBA will seek to educate explorers and lenders on financing methods and risk mitigation solutions necessary to facilitate global trade.
Associate Administrator of SBA’s Office of International Trade Gabriel Esparza said the joint effort seeks to build capacity for exporting through education and technical training for lenders and small businesses and will help leaders in the ITFA and SNA grow support for export finance.
“By doing so, this partnership helps deliver on the Biden-Harris Administration’s commitment to create opportunities for small businesses and strengthen our economy for all of us,” Esparza said in a statement.
The new agreement between SBA and ITFA looks to build capacity for exporting through education and technical training for lenders and small businesses. The SBA’s Total Addressable Market Study lists more than $1.3 million small business exporters and a potential export market of 2.6 million.
The joint agreement formalizes SBA’s relationship with ITFA, a global trade association representing the interests of banks, financial institutions, and service providers involved in trade risk and asset organization and distribution.
“This milestone joint effort opens doors to immense opportunities, offering greater access to education and global resources for Small and Medium Sized Enterprises (SMEs) in the U.S., which may be unaware of alternatives to better manage their credit risks and satisfy their credit needs with the help of our members from around the world,” ITFA Chairman Sean Edwards said.
“By leveraging our combined efforts, we are propelling economic growth and creating a thriving ecosystem that benefits both our members and the SMEs they serve. Together, we will forge new paths, unlock fresh avenues of collaboration, and usher in a new perspective for SMEs looking to expand globally.”
The SBA works to support small and midsized exporters, the goal being to increase the number of businesses exporting and the dollar value of those exports. SBA offers access to education and technical assistance, access to capital, and trade policy to support market access for small businesses.