Banks have been known to tighten their lending criteria by increasing the interest rates and loan qualifications. Equity First Holdings has been the frontline in the provision of substitute shareholder financing solutions. Recently EFH has experienced a growth in the distribution of their services and products such as the margin loans and the stock-based loans. T5he organization is benefiting individuals who would like to raise capital promptly or those who may not reach the required standards needed by banks. The CEO and the founder of Equity First Holdings Al Christy perceive the stock loan collateral as an excellent borrowing substitute for the borrowers seeking working capital.
In a typical three-year loan term, the financial market experience fluctuations, but on the other hand, the stock-based loans have been known to be providing a hedge as the borrower is lowering their venturing risks in downside market. Christy mentioned that the stock-based loan has a non-resource characteristic that offers the borrower the ability to walk away from the stock loan at any time, even in the situation when the worth of the stock devalues. Christy said that most individuals are not able to differentiate between a margin loan and a stock-based loan. For an individual to obtain a margin loan, they must be qualified for a conventional bank loan and the borrowed money must be used for a particular purpose. The interest rates for a margin loan varies. For stock loans, on the other hand, there are no regulations how to use the cash borrowed, and the interest rates are fixed.
Equity First Holdings was established in 2002 with a responsibility to provide an alternative financing resolutions for lenders, and the supply of capital against the publicly traded stock to helps its customers meet their specialized as well as particular objectives. EFH is an international company, and it offers money against the shares traded on public exchange worldwide. It has been offering the lowest interest rates on their clients and has seen the completion of more 650 transactions that valued over $1.4 billion since its establishment.
Equity First Holdings has its Headquarters in Indianapolis in India with other offices in New York City, Sidney, Hong Kong, Perth, London, Singapore, and Bangkok. The primary Purpose of founding EFH was to specialize in the development of products that will enable them to efficiently distribute liquidity at affordable terms using a safe and a reliable process. The financial institution is committed to supplying goods and services that will meet the customer’s satisfaction.