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By Nancy Lynn

The next time nature calls, you may want to thank ChemPro Inc. for helping to keep your backside ultra-soft. The electrostatic softening agent used to keep toilet tissue and other paper products pliable is just one of the specialty concoctions this small chemical company is cooking up in their laboratory

Inside their 23,000 square-foot Point-Claire manufacturing facility, ChemPro’s team of scientists creates formulas for commercial and industrial products such as adhesives, agri-chemicals, cleaning materials, softeners and lubricants for a wide range of industry sectors around the globe.

Along with the tissue, pulp and paper industries, ChemPro’s diverse client list includes the Water Technology Centre, an applied research centre located in Montreal where they are working to develop a formula for reverse osmosis systems. The company also manufactures products for the gas and pipeline industry, like an odour neutralizing formula that destroys molecules in a chemical compound called Mercaptan, a harmless but pungent‑smelling gas used widely to make it easier to detect natural gas leaks. ChemPro can even scale its manufacturing processes to produce single purpose chemical products such as a degreasing agent it created exclusively for a specific machine used by the automotive industry.

Formula for success

Creating specialized solutions for niche markets like these is ChemPro’s formula for success, says ChemPro’s Vice-President, Business Development Alex Moussa. With fewer than 10 employees, and no sales rep on staff, the company relies mainly on word-of-mouth to generate sales in the range of $1 million a year. “Clients call on us from referrals,” says Moussa. “Our facilities can produce, mix and blend or even repackage any specialty product a company needs. What we do is R&D work. That’s our strength.”

Operating since 1997, ChemPro exports its specialty products and services across North and South America and into Western and Eastern European countries. More recently, the company has been tapping into new markets such as Lebanon, South-East Asia and Africa. This year, ChemPro expects to increase its sales outside Canada by 100 per cent, says Moussa.

But thriving in competitive foreign markets can present challenges for a small business. Accustomed to asking domestic customers to pay upfront, ChemPro needed a way to establish credit so it could compete for contracts outside of Canada on net 30- or net 60-day terms without risk of non-payment. 

Business on the go

That’s when it turned to Export Development Canada’s (EDC) credit insurance solutions. “For a small company to compete on the world stage, we needed to ensure we were able to collect our revenues from international sales,” says Moussa. “To increase our sales outside Canada and decrease the risks associated with exporting, we approached EDC for credit insurance coverage which allowed us to start talking to distributors in markets like Africa. It opened up a lot of new doors.”

In 2014, when EDC launched Trade Protect, a new online-only select cover credit insurance product, ChemPro was one of the first businesses in Canada to take advantage of the self-serve, pay-as-you-go portal. Trade Protect is designed specifically for small businesses, covering sales to international customers up to a value of $500,000. The online process typically takes less than 10 minutes from start to finish.

“When you’re on the move, it’s nice to have the option to choose when and where you do business,” says Moussa. “Getting coverage online with Trade Protect for our Mexican client was easy. This process was very simple to complete and saved us a lot of time.”

Visit EDC’s online magazine Exportwise.caFor more information about Trade Protect, visit edc.ca/quickinsurance. 


Looking to increase your international sales?
5 Ways Trade Protect Can Help

If your company exports, then using credit insurance such as Trade Protect can protect your bottom line if you don’t get paid for your foreign receivables — and it may also help your business succeed in a number of other ways:

1. Pursue new customers with confidence
    With secured receivables, you have more funds and confidence to pursue new business.

2. Be nimble with fast turn-around times
    Trade Protect lets you apply, get your quote and pay through an online service with transactions that can take as little as
    10 minutes to complete.

3. Protect even small contracts cost-effectively
    Trade Protect credit insurance is designed for Canadian companies who want to insure a small number of international
    customers (five or less) against the risk of not getting paid. It’s possible to insure as little as $5,000 for $30 and
    or amounts up to $500,000.

4. Win more deals by offering attractive terms
    When backed by Trade Protect, you may be able to offer more open payment terms to your customer,
    helping to win more contracts.

5. Free up cash flow
    When your bank knows you’ll get paid for a US or international contract secured by Trade Protect,
    it may have more confidence to provide you with additional cash.

To learn more about Trade Protect, view our video at edc.ca/quickinsurance or call 1-888-998-2896.

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