The process is simple and quick – total time to funding is approximately 15 business days

1) Submit a Request for Quote

2) Once we receive the request, a Term Sheet (commitment letter) is issued, usually within 48 hours.

3) Along with acknowledging acceptance of the loan terms, the borrower completes a loan application. No questions regarding income, credit, reserves, etc. are asked.

4) The Loan Agreement and Pledge Agreement are sent to the borrower to sign; the securities are then transfered to the Lender's custodian.

5) The Lender tracks the closing price of the shares for 3 days to obtain an average price, aka “the strike price”, prior to funding of the loan.

6) The funds are wired directly to the borrower's bank account.

7) The Borrower makes quarterly interest-only payments. Any dividends or interest from the securities are credited toward the quarterly loan payment, thereby reducing it.

8) At the end of the loan term the principal is paid off and the original number of shares are returned to the borrower. Borrower realizes all appreciation of share values.