Small and medium sized business owners sometimes need emergency loans. Things happen. Weather, a bad storm, a down market, even a downed electrical line can at times hurt a small business. Some small business owners have equities — stocks in other companies.If things are not going right and you need an emergency loan, you might think of taking out a loan and using the stock as collateral.
Banks will lend against stock, and so will conventional lenders.However, their lending practices need clarification before you go and talk to them. If it is an emergency, remember that you will need the funds pronto.A conventional lender will probably lend up to 40% of the present value of the equities. That is not very much. They will do so at a very high interest rate. Then they will want a business proposal and they want to know the purpose of the loan. Banks will be the same way about a loan. They are prohibited by governments to lend against certain.You can also visit:http://www.equitiesfirst.com/ to learn more.
That is where Equities First AU comes into the picture. They are not a conventional lender, nor are they a bank. They are a private company, so they are not beholden to any overbearing government regulations. They will lend up to 80% of the value of the equities. That is a much higher loan to value ratio. Their interest rate is lower than conventional lenders and banks. Plus, this is what they do all the time. They will not ask for a business proposal, and they will not ask you the purpose of the loan. Their funding is nearly immediate. They are experts at what they do, so the best thing to do is to see them first. That just might be why they are called Equities First AU.