This is because during such times, banks and other financial institutions make it hard for individuals and firms to access loans. For this reason, Equities First established the Stock based loan to assist borrowers during harsh economic times.
Several persons can benefit from Equities First Holdings. Firstly, those in need of immediate access to capital and those high net-worth people. Other ideal candidates for Equities First include those disregarded by financial institutions because of maybe lack of collateral. In most of the banks and financial institutions, there are many loan options for people; however, such companies are filled with so many legal requirements before one can qualify for such loans. With Equities Holdings, Liquidity does not have to be expensive.
Other beneficiaries of Equity First include persons and firms that incorporate equities as collateral for a particular time duration, usually not more than three years. An individual with stock shares in a given company whose stock value is projected to appreciate in future can transfer such stock to Equities first. The stock will act as collateral and person can be awarded the loan money and what Equities First knows.
Lastly, other ideal applicants for stock loans from Equities First include those in need of cash to grow their businesses or repay an expensive debt as well as those borrowing money for personal reasons. All in all, Equities First are revolutionizing the finance industry by offering capital flexibility; hence, one needs to contact them for more assistance and more information click here.
Equities First Holdings Management has proclaimed that the issuing of stock-based loans is very rewarding for them as it offers a higher to value ratio as compared to other forms loans worldwide. The company has for ten years now offered approximately $2 billion in more than 2,000 transactions. Overall, Equities First Holdings is believed to be the best in the offering stock-based loans.
Equities First can give financial help when lenders fail. As a result of Hurricane Katrina devastation in 2005, the City of New Orleans, Louisiana was affected and a group of Catholic nuns referred as Sisters of the Holy Family living in New Orleans was greatly affected with their several social service institutions destroyed or damaged. The Sisters sought commercial loans from various institutions without success due to unfriendly economic atmosphere in addition to the chaos in the area.
Fortunately, a financial advisor introduced the group to Equities First and after the Sisters got in touch with the company, they were able to secure a collateralized loan by part of the congregation stock portfolio. Based on its experience and potential to manage every transaction, EFH has unique parameters enabling it usually provide financial help where other institutions may not.
After terms agreement, the Sisters’ loan transaction with the EFH secured a sum of $2.8 million USD to assist in rebuilding the damaged facilities with the loan being collateralized by several positions. Concerning the impact of the share price, the Equities First proprietary hedging strategies aim to ensure that every market-associated practice fit in the historical security trends. Hence, the company does not lend or short sell shares that belong to borrowers to third parties. The principle has empowered investors to access non-purpose liquidity without putting pressure on stock costs and learn more about Equities First.
For instance, in the Sisters’ Case Study above saw their loan increasing by an aggregate of 21%. One of the key EFH benefits in addition to non-recourse and non-purpose features is that all borrowers maintain all their economic rights of given collateral after ending of the loan cycle. Borrowers also reap when stock appreciates.