For many Micro, Small & Medium-sized Enterprises (MSMEs) in Jamaica, exporting goods and services is the next big step toward scaling their businesses. But that step often feels like a leap. And for some, an impossible one.
The reality is that going global can be a costly venture. From upgrading production equipment to meeting international packaging standards, export readiness demands capital. And its access to capital that continues to be one of the biggest hurdles for MSMEs.
Traditional banks typically require collateral that many small businesses simply do not have: land titles, machinery, or other high-value assets. Without these, loan applications are denied. What results is a financing gap, one that stalls innovation, traps businesses in domestic markets, and limits Jamaica’s broader export potential.
This is where targeted financial and developmental support becomes critical.
Laying the Groundwork
Before an MSME can access export financing, it must be export-ready. That means having the structure, standards, and systems in place to compete beyond local shores, and the Jamaica Business Development Corporation (JBDC) plays a vital role in getting businesses to that stage.
JBDC provides the groundwork: helping entrepreneurs formalise operations, improve packaging and product quality, meet regulatory standards, and understand export market requirements. Through its business diagnostics, capacity-building programmes, and technical support, JBDC helps MSMEs transition ‘From Concept to Market’, whether local to global.
“Financing is only one piece of the puzzle,” says Harold Davis, Acting Chief Executive Officer at the JBDC. “We work as JBDC on the entrepreneur side to make sure that they understand their business, that they are at a structured state, the MVP [minimum viable product] has been sorted out, and they are in revenue, with bookkeeping up to speed and all those kinds of things,” Davis shared.
This strategic support makes MSMEs more attractive to financial institutions like National Export-Import Bank of Jamaica (EXIM Bank) and increases their likelihood of success when entering foreign markets.
Bridging the Financing Gap
Once a business is export-ready, financing becomes the next big hurdle. An agency of the Ministry of Industry, Investment & Commerce, EXIM Bank addresses this with solutions tailored specifically to MSMEs.
One such offering is the Uncollateralised Loan Facility, developed in partnership with the Jamaica Manufacturers and Exporters Association (JMEA). This loan is geared toward small businesses looking to expand their footprint beyond Jamaica.
Under this programme, eligible MSMEs can access short- to medium-term financing of up to J$3.5 million at interest rates up to 12% per annum. The funds can be used for critical areas such as:
- Working capital to fulfil export orders
- Purchasing raw materials
- Upgrading light equipment
- Financing receivables to manage cash flow
These kinds of investments can determine whether a business can meet international demand or simply stay afloat.
A Different Kind of Loan
What sets this facility apart is that traditional collateral is not required. Instead, the focus is on the viability of the business and its ability to repay. Required documents include:
- Current financial statements
- An up-to-date Tax Compliance Certificate (TCC)
- Personal guarantees and supporting financials from business principals
This model makes funding more accessible to small businesses that have strong potential but limited assets.
Who Can Apply?
To qualify, MSMEs must:
- Be a registered member of the JMEA
- Be assessed as export-ready with capacity to scale
- Operate in the tourism or export sectors
- Employ fewer than 50 permanent staff
- Demonstrate creditworthiness and a viable growth plan
Export as a Growth Strategy
Financing works best when paired with business development support, access to technical resources, and a strong foundation. All areas where JBDC continues to prepare MSMEs for export success.
Institutions like JBDC and EXIM Bank are making it possible for more Jamaican businesses to make that leap by building them up and then backing them financially when they’re ready.
DIGITAL JAMAICA TRAINING
The JBDC is on a mission to train 2700 MSMEs to use digital technologies in their businesses under the European Union (EU) and Government of Jamaica’s (GOJ’s) Digital Jamaica Project. With over 800 entrepreneurs already trained, the JBDC is on the hunt for the next set of MSMEs who are ready to learn real world digital skills. Register now for upcoming trainings in your parish.
