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Collateral Loans Available Costing Less Than Traditional Financing
Posted by: Mark Yuen on 8/25/2010 2:16:10 PM
Funding Available:
Above $1mil
Category:
Accounting & Financial Services
Website :
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Location :
All Countries
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Description:
We work closely with our clients and we offer them the best service according to their individual business needs.

We offer:

* Film/Movie Financing with no equity positions
* Collateral lending
* Joint Venture Partners

One of our most popular lending program is called Collateral Lending. The borrower receives a net amount of capital that it needs to implement its project at a cost lower than traditional loans.

Does your project need 10 million or more and it will be cash flowing now or in the next 6 months we have Joint Venture or Debt Equity Loans.

We offers personalized services you can trust and feel confident you're getting the best service.


Collateral Lending

Project principals are not required to be monetarily invested in the project nor are they required to cross-collateralize to get the funding they need.

All required collateral is provided by investors.

Principals stay in control of their projects without giving up equity positions.

This is a non-recourse loan with interest-only payments made over a ten-year period.

Principals may have a deferment option for up to three years upon approval.

No prepayment penalty is imposed at any stage.

We consider all types of projects with a stated funding amount greater than ten million dollars in the business plan.

Project financing is available throughout the world.

When your project is accepted and an approval has been issued, there is a 100% success rate.

The first step to have a project considered for the Collateral Lending Program is to submit a completed business plan and a five-year proforma.

We can assist you with finding a Joint Venture or placing you with a debt equity loan. Your dollar request must be 10 million or more with your project cash flowing now or within in the next 3 to 6 months.

How to move forward:
Email us the following items enclosed in a Business Plan. After careful review and interest, we will call and schedule a conference call, visit and work toward a closing date. Closing times vary.

* Company History
* Market Research
* Concept of the Commercial Project
* Feasibility Study
* Marketing Plan
* Five year Financial Projections
* Management Team Resumes
* Executive Summary

Main Challenge of Film Finance

It is difficult to predict with any accuracy the revenues that any one film will generate. The main factors determining the commercial success of a film include public taste, artistic merit, competition from other films released at the same time, the quality of the script, the quality of the cast, the quality of the director and other parties, etc. Even if a film looks like it will be a commercial success "on paper", there is still no accurate method of determining the levels of revenue the film will generate.

In motion pictures, Gap financing is a form of mezzanine debt financing where the producer wishes to complete their film finance package by procuring a loan that is secured against the film's unsold territories and rights. True to its mezzanine nature, in the pecking order of recoupment of investment, generally, gap loans are subordinate to (recoup after) the senior/bank production loan, but in turn, the gap loan will be senior to (recoup before) equity financiers.

A gap loan becomes a supergap loan when it extends beyond 10-15% of 100% of the production loan required to shoot the film (or in other words, when the percentage of the gap required to complete the film's financing package becomes greater than a bank is willing to bear, which is traditionally 10-15%, but can sometime be a flat dollar threshold like USD$1,000,000.)

Gap/Supergap lending is a very risky form of capital investment and accordingly the fees and interest charged reflect that level of risk. But at the same time it's not unlike buying a house: nobody pays 100% of the purchase price with cash; they pay about 20% in cash and borrow the rest. Supergap financing works by the same principal: put down 20-30% cash/equity and borrow the rest.


Why rely on us for film and movie financing?
Here's why:

* Our investors will not take an equity position
* Non-Recourse
* No collateral needed

Please kindly send us your email address so that we can forward program information to you for your review and best regards.


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