In this paper I analyze the e§ects of Önancial and labor market frictions on exporting Örms. My contribution is twofold. First I incorporate labor market frictions in the form of hiring and Öring costs to an heterogeneous Örms model with Önancial frictions based on Manova (2013). The model predicts that labor market frictions will increase exporters total variable costs and as a result their demand for external funds. But if these exporters also face Önancial frictions in the form of borrowing constraints, they will not be able to obtain all the credit needed to produce at their optimal level. That will end up a§ecting their probability of exporting (extensive margin) and their exporting volume (intensive margin) even more. Second, I test these predictions using the World Bank Enterprise Survey data for 92 countries surveyed between 2006 and 2014. My preliminary Öndings corroborate that Önancial and labor market frictions have a negative impact on exporting decisions. Moreover, they conÖrm that the e§ect of labor market frictions under the presence of Önancial frictions is negative on the extensive and intensive margin of trade. However, the signiÖcance of this interaction term is very sensitive to the proxies used.