It is increasingly becoming difficult for banking institutions to operate in the current economic climate. As a result, most banks have shut doors for those individuals seeking to borrow money from these institutions. Banks have increased their lending rates and toughened the lending criterion, which has locked out many potential borrowers who want to secure working capital for their businesses. As a result, more people are shifting their eyes to alternative shareholder financing solutions to look for the much needed financial services.
Equities first Holdings, a global lender and the leader of alternative shareholder financing has recorded an increase in the number of customers knocking their doors for financial services. Most of the people are moving to alternative shareholder funding. It is an ideal option to secure loans for those people who need to raise some quick capital, and they cannot qualify for the conventional loans.
According to Christy, Jr, the founder, and CEO of Equities First Holdings, loans that are collateralized by stocks are the new alternative for business people looking for working capital. The loans have a higher loan to value ratio than the marginal loans, and they offer fixed interest rates. It helps to provide certainty to the borrowers throughout the life of the loan and learn more about Equities First Holdings.
Whereas most people view marginal loans and stock-based loans as being synonymous, Christy notes that there is a remarkable difference between them. For margin loans, the borrower must be pre-qualified so as to access the credit and the money has to be used for a particular purpose. The vice versa is true for stock-based loans and more information click here.
About Equities First Holdings
Equities First Holdings was established in 2002 with a primary focus on offering alternative financing to their clients. The firm specializes in issuing loans against the publicly traded stock to enable their customers to achieve their goals. Individuals working with EFH have easy access to loan facilities, which come with low fixed interest rates and Equities First’s website.