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Galactic binary systems that contain a black hole candidate emit hard X-raysin their low luminosity mode. We show that this emission can be understood asdue to the Compton scattering of photons from the companion star and/or theaccretion disk by relativistic electrons in a jet. The same electrons are alsoresponsible for the radio emission. Two sources -- XTE J1118+480 and Cygnus X-1-- are modelled as representatives of black holes with low and high luminositycompanion stars respectively. We further show that the ultraluminous compactX-ray sources observed in nearby galaxies have the properties expected ofstellar mass black holes with high luminosity companions in which the jet isoriented close to our line of sight.Comment: Submitted to A&A letters, Oct 16, 200

External Compton emission from relativistic jets in Galactic black hole candidates and ultraluminous X-ray sources