A Chinese manufacturing company exported construction materials to a company located in İstanbul/Türkiye. The export credit insurer (ECI) covered the export contract. Upon failure to collect on the due date, ECI indemnified 90 percent of the invoice to the insured Chinese company, received the assignment, and passed the file to us. During our visit to the company headquarters, we saw that the company was established on paper, a small office was rented in a business center, and the office was vacated. Thereupon, it was reported to ECI that spending money to collect the file was pointless, and the file was closed.
The benefit of working with a local consultant is that it is evident at the beginning that collection procedures will be useless, and expenses will be avoided.