With the first changing global economy, banks and other lending institutions are increasingly reviewing their lending policies, most of them reducing the borrowing options for borrowers. In other cases, banks are opting to add more clauses to their lending policies, adding more loan qualification requirements and raising the interest rates. These banks aim at keeping conventional credit-based loans in check. Equities First Holdings, LLC (EFH) is, however, appearing to be swimming against the tide. The global lending firm introduced a lending option for its clients where they can use stock as loan collateral for a three years period. Consequently, EFH has in the recent past tightened its grip on margin loans and stock-based loans. According to the man behind this clever move, CEO Al Christy, stock-based loans will go a long way in assisting individuals in need of working capital and who do not meet the threshold for credit-based loans.
Benefits Associated With Stock-based Loans
Using stock as collateral has many advantages on the borrower’s side. Stock-based loans have a relatively higher LTV ratio of about 50 to 75 percent compared to that of margin loans which range between 10 and 50 percent. Secondly, unlike in margin loans where the borrower is required to specify the purpose for which the loan is intended, stock-based loans gives the borrower the freedom to use the loan for any purpose of their choice. Thirdly, if the stock value depreciates during a down-market, the pledged collateral is not affected. Additionally, with borrower’s shares used as loan collateral, investment risks involved during a down-market are minimal. Read More https://beta.companieshouse.gov.uk/company/08120457
About Equities First Holdings
EFH specializes in offering alternative shareholder financing solutions. Through their nine subsidiary offices, the firm gives capital to their clients against publicly traded stock around the world. BusinessWire News For EFH.
For the past 15 years, EFH has helped many people to achieve their goals, having done over 650 transactions. The firm is mostly respected for its honesty in their loan recovery process and their high LTV ratios.
Madison Street Capital is an investment company that works with international clients. The company values integrity and working with diligence. Their mission is to always strive for excellence. Madison Street Capital delivered expertise in the fields of merging and acquisition and proved advisory work in the fields of corporate finances and valuation for both private and public businesses among the many other services it offers. The goal of the Madison Street Capital company is to make sure that their clients are well on the road to success in the global market place. The Madison Street Capital reputation is one of strong trust between the company and their clients.
Because of the excellent results they can provide and their trustworthiness, Madison Street Capital was the exclusive financial advisor for their client ARES Security Corporation. Madison Street Capital took care of the arrangement of minority equity and overlooked debt investment. ARES Security Corporation has its headquarters in Vienna. The company is a leader in its line of work of providing risk management through software solutions for world class information and institutions such as governmental institutions for example. ARES Security Corporation has the responsibility of protecting critical assets. Madison Street Capital partnered up with ARES Security Corporation to find the most suitable financial partner for the risk management company. They decided upon Corbel Structured Equity Partners who provide minority recapitalization. Corbel Structured Equity Partners was formed in the late months of 2013. The company makes investments in startup businesses that prove to be highly promising. The companies that Corbel Structured Equity Partners invests in are usually from the range of the lower middle market.
Senior Managing Director of Madison Street Capital Reginald McGaugh spoke very favorably of the partnership between the two giants. He stated that Madison Street Corporation was thrilled to provide ARES with what they need as best as they possibly could. Due to ARES being so strong in their line of work it had been a bit of a challenge to find the best finance partner for them but Madison Street Corporation always enjoy taking on a new challenge, and in this case, they tackled it perfectly. The President of Ares Security Ben Eazzetta readily confirmed that they are, in fact, extremely pleased with the result of their partnership with Madison Street Capital. Mr. Ben Eazzetta also added that they were extremely excited about their new capital structure that Madison Street Capital helped them establish.
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This world is full of innovations technology industry being the best place to exercise technology. However, there are many other places where the brightest minds always spot an opportunity to exercise their freedom to innovate. Equities First Holdings, on the other hand, has worked to become one of the most innovative companies when it comes to the introduction of the stock-based loans which are now gaining traction on a massive scale due to become one of the most acknowledged companies in the world of finance. For the company, nothing has more value to their business than to ensure their clients get what they are looking for with the lowest rates of qualification criteria.
During a financial market fluctuation, stock values always degenerate in value. Moreover, they always work to ensure that the use of credit based loans as a way of solving people’s problems in an economic crisis is never an easy way to achieve. Financial crisis moments are also characterized by the increased loan interest rates have the lowest traction in use.
However, there is a company which keeps on sustaining itself through the harsh economic crisis. This is the only institution which offers the lowest interest rates on all their loan products in the world. Equities First Holdings has gained traction as one of the best sources of working capital using stocks as collateral.
For the stock-based loans, there are many characteristics which separate he two. With Equities First Holdings, you will always get the best quality of loans with low-interest rates. The stock-based loans also have a non-recourse characteristic which works by lending the borrower disengage his loan capabilities from the lender automatically without anyone coming after the asking them to pay back the loan. For this reason, you will also work to get the best practitioner methods to have you secure the loans.
Laidlaw & Company is an investment banking firm registered in the United Kingdom with over 170 years of finance and trading experience. They are currently on the grow with more than 150 employees in the United States of America.
The company refers to itself as a “boutique” investing company, which classifies them as a small investment firm. Small can be good when an individual investor is getting started and needs to have someone explain what is happening in the high anxiety field of finance and investing. Laidlaw & Company also specializes in “alternative investments” those investments outside the realm of stocks and bonds. Alternative investing venues have been popular since the critical banking collapse of 2007-2008.
The company is headed by Matthew D. Eitner and James P. Ahern.
Whenever selecting a financial services company to handle your investments, it is important to spend time researching the firm and meeting with representatives if at all possible. Laidlaw has a long, proud history both in the United Kingdom and now here in the states. Their approach to alternative investing while interesting could also be risky. But remember, “No risk, no reward.” Having a smaller firm to handle a person’s, or a firm’s, or a family’s investments can be a good thing but having peace of mind and being able to sleep at night is most critical when large amounts of money are being invested.