Global Lender Equities First Holdings Sees a Growing Trend Among Borrowers Who Use Stock as Loan Collateral to Secure Working Capital

Posted on December 14, 2016

Equities First Holdings is a worldwide leader and lender of the stock-based loans. This is one of the best companies that provide the non-recourse loan. For the company, it is thrilled to announce that the world has sought the alternative financing solutions fur to the bad economic situation in the world. According to the enterprise, there is an increased traction among the stock-based loans in the world. In this era where the economic climate is not favorable for credit0based loans, large financial institutions and commercial banks have tightened their lending criteria. As a matter of fact, they have also increased the interest rates to scare away most people. For the borrowers whose main aim is to acquire fast working capital to continue in business, the stock-based loans provided by Equities First Holdings is one of the next best options for you. Stock-based loans have gained popularity in the recent past.

While there are numerous opportunities for the borrowers to acquire fast working capital for their business or projects at hand, these banks and financial institutions have cut down their lending criteria, for this reason, they have developed a new strategy to tightened loan qualification criteria. The credit-based loan, in the recent past, has seen an increase in the interest rates. The Founder and President of Equities First Holdings, Al Christy, say that the loans that use stocks as collateral have been adopted on a massive scale among borrowers seeking capital. The loans are also determined by the non-recourse feature that allows you to secure a loan without stating the intended use as a way of qualification.

For the stock-based loans, they also have a higher loan-to-value ratio than the credit-based loans, for this reason, they allow you to enjoy the proceeds without a struggle. The stock-based loans are also better that margin loans. For you to secure a stock-based loan, remember that Equities First Holdings has gained popularity as one of the top lenders in the world. For this reason, you will have certainty throughout the life of the transaction.

There is always an inevitable market fluctuation during a three-year loan term. For this reason, the stock-based loans provide a better hedge between you and your loan. According to Equities First Holdings, these loans allow you to walk away from the loan at any point of the transaction and proceed with the profit. According to Christy, there is a non-recourse feature in the stock-based loans that allows the borrower to cut off the purchase.