Equities first US Holdings LLC is a global lender in alternative shareholder financing solutions. It provides an excellent alternative for borrowers who want to raise capital fast but may not qualify for conventional credit based loans because of tightened lending criteria by banks. The holding company collateralizes loans with stocks as an innovative borrowing for individuals, companies, and businesses seeking working capital.
Stock-based loans have high loan to value ratio compared to margin loans. It also offers fixed interest rate that guarantees the lender certainty throughout the transaction period. As much as market fluctuations are inevitable, stock-based loans allow the borrower to lower their investment risks in a downside market.
Equities First Holding US stock-based loans have a non-recourse feature allowing borrowers to walk away from the loan any time even when the value of the stock depreciates. The borrower can keep the first proceeds from the loan with no further obligations.
Margin loans and stock loans have similarities in that they use securities. However, for margin loans, the borrower must use the money for a particular purpose and be pre-qualified. The interest rates are variable. Moreover, the lender can liquidate the borrower’s collateral without warning in a margin call.
For equities first US stock-based loans, borrowers enjoy a fixed interest rate of 3-4 percent. Besides, the loan to value ratio ranges from 50 – 75 percent. There are no restrictions on loan and, the borrower can use the money for any intended purpose.
Most stock-based loans are non-recourse meaning the borrower can walk away without any obligations even when the value of their collateral stock decreases. Equities first US holdings operate on a code of integrity and transparency. The company relies on trading, legal and regulatory institutions for counsel. The mission is to deliver maximum profit with minimum risks to the clients to help them meet their professional and personal financial objectives.