After your bank reviews your business plan, and supports it for the loan, we need to know this through a signed LOI/LOC from your bank.
The collateral being offered to your lending bank is an AA rated Euro bank issued 10-year Zero Coupon Bond.
A business might use a self-liquidating loan to purchase extra inventory in anticipation of the holiday shopping season.
The revenue generated from selling that inventory would be used to repay the loan.
This bond matures in 10 years to the face amount of the “gross” loan amount, and at maturity pays off the principal of the loan for you.
These loans are intended to finance purchases that will quickly and reliably generate cash.There are also a number of scams that call themselves "self-liquidating loans".See Also: Loan Agreement Collateralized Debt Obligations When is an interest rate not as important in selecting a loan?After you read the report please tell Freedom Offshore what you think about the report and we will tell you how you can find the resources and tools we use to set up a self-liquidating loan. - What professionals really put together genuine Self-Liquidating Loans?We will not recommend anything to you but simply tell you where you can find the resources and tools we use. Get his Self-Liquidating Loan Report after contacting us by email. - Could you put together a smaller Self-Liquidating Loan and have more chance for success?Calling a loan self-liquidating is just a complicated way of saying that it eventually gets paid off. For example, the popular 30-year fixed rate mortgage is a self-liquidating loan.While a self-liquidating loan might cost a little bit more than a mortgage with a balloon or a loan with interest-only payments, in the long run it's the best choice for most situations.Borrower will e-mail their full business plan, executed Letter of Intent, (LOI - form available upon request) on borrower’s letterhead with signatures showing Proof of Funds to set up their escrow account for 2.2%, their lending bank’s LOC (Letter of Commitment) and a signed & notarized fee agreement for 1%.All of our transactions are closed through Sterling Bond Ltd., a Neutral Stake Escrow Co., located in Interest may be figured at approximately 7% to be safe.Moreover, bank presidents, and state and federal government officials are scammed and quite regularly appear on the lists of unsuspecting victims who were fleeced by con-men offering to set up loans that self-liquidate.Each year millions of dollars are spent by law enforcement agencies around the world ( that does not include the money lost by the victim borrowers) in investigating and prosecuting the scammers who purport to offer such loans.