Lectrosonics Inc. is a small business based in Rio Rancho, New Mexico, that sells wireless microphone systems and audio-processing and routing equipment. Its products are used in diverse settings ranging from television, film and broadcast production to courtrooms and theaters. Founded in 1971, the company currently employs 160 people, and most work at the headquarters and manufacturing facility in Rio Rancho. Company sales now approximate $30 million, with 30 percent export-related.
Although exports are a great source of wealth for many small businesses, international sales provide an array of threats to a company's financial health. International distributers often expect to but on open-credit terms; while these can allow a seller to be more competitive, global customers do not always pay on time for the products they bought. This results in a loss of working capital for the U.S. -based seller.
After receiving helpful guidance from the Department of Commerce, Lectrosonics approached EXIM in 2012 and applied for much needed credit protection. The export credit insurance enabled the company to expand into Romania and outfit the country's entire national court system with its audio-processor product.
Since working with EXIM, Lectrosonics Inc. has expanded into new markets across the world and seen some of the largest deals in their history!