AVAILABLE FOR ANY BUSINESS OR REAL ESTATE PROJECT WORLDWIDE

Equity Business Trust acts as a lender for viable business and real estate projects as well as the facilitator of guaranteed credit enhancement facilities for lending institution and investors.

Our guarantee financing concept is actually quite simple: The lending bank or Investor, upon looking at the borrower's assets and earnings, may not feel completely assured that the borrower can pay off the loan when it becomes due.

The normal Barriers when applying for a business or real estate loan:

The lender/investor first looks at the size of the loan request, your monthly income, the amount of security offered, the business or real estate project, and its financial risk and reward. Based on that information, he determines whether it fits within his guidelines. Then, most likely, the lender will require third party endorsement and/or collateral assignments. The third party provides the lender with assurance that the borrower's mortgage will meet the repayment terms.

Banks - and governments, for that matter - have been providing such guarantees for many years to eliminate the perception of risk. For example, a bank's irrevocable Letter of Credit and standby Letter of Credit, as well as 90-Day U.S. Treasury Notes, are instruments that support a wide variety of debts. Industrial Revenue Bonds, Economic Development Bonds, and much of the foreign government debt are additional examples of credit-enhanced debt instruments. The amount of this type of debt in the world today is estimated to exceed $1.8 trillion annually.

How do we cut through the red tape?

Equity, as the guarantor, issues a irrevocable Trust Debenture, in effect promising to repay the loan at maturity in the event that the client defaults.

Using a similar approach and applying it to business projects and real estate funding eliminates a major perceived risk. Equity Business Trust will provide credit enhancement and principal repayment guarantee facilities for our clients and their business as well as real estate projects.

How do we secure these loans?

We usually secure our loans by Real Estate Trust Deeds and/or Government Bonds, CD's.

By advancing the client an additional amount to be transferred into a blocked Trust Account, where it will earn and compound to the total principal amount over the term of the loan, thus insuring repayment at maturity. Equity Business Trust requires this instrument to be held in our safekeeping.

Each of our Investor is 100% protected through a guaranteed and secured Trust Account with a Triple A rated bank, irrevocable Trust Debentures and Government Bonds or Bank CD's, which are issued by "A" and "AA" rated countries or banks. The secured trust account has as beneficiary's the names of each Investor to secure their capital to 100%.

In other words: Your business is responsible to pay the annual interest rate to each Investor and probably a profit share based on your Investor agreements. However, your business is never liable for the repayment of the Investment Capital, because the Bond or CD issuer and the Trustee Bank guarantee the full repayment of your Investors Capital at maturity.

Here is how the Investment in your Company is broken down:

Seventy percent (70%) of the Investment Capital will be placed into your Project Development Fund. The remaining thirty percent (30%) of the Investment Capital will be placed into a secured trust account with a Triple A rated bank. The return on this blocked trust account is a guaranteed interest rate of 13% per year and is secured by purchasing high yield Bonds or other securities as a collateral assignment for a maximum of ten years.

The blocked trust account will earn and compound to the total principal amount over the term of the investment agreement, thus assuring investors of repayment at maturity even in the unlikely event that your company would default.

The annual rate of return on the blocked trust account is 13% and is secured by purchasing high yield Bonds or other securities that have been underwritten to the standards of the lender.

Example calculation based on a guaranteed 13% return per year:

Example: Your Company receives $10,000,000 (ten million) Investment Capital and agrees to invest $3,000,000 (three million) as a collateral assignment for our Investor protection into a secured trust account for 10 years with one of our Trustee Banks.

The original investment of $3,000,000, which has been placed into the secured trust account on behalf of each Investor, would be worth $10,183,702 after 10 (ten) years. With a guaranteed interest rate of 13% per year the repayment of the Investor’s capital will occur in year 10.

The result?

If you are looking to expand your business and/or invest into real estate projects anywhere across the globe, and you have our irrevocable Trust Debenture in your hand, lenders will feel much more secure about your loan proposal, knowing that Equity Business Trust is willing to back you up. You will feel secure as well in knowing money is available to pay off your loan. And best of all, of course: you are granted the loan.

Our commitment: Confidence you can take to the bank

Imagine you have found the business project of your dreams or you simply want to purchase a real estate project with only 5% of your money down. You are ready to set the project in motion; however without the necessary funds you are unable to move forward. Your lenders present all sorts of reasons, but the bottom line is that the lenders lack confidence that you will be able to meet the dual requirement of repayment of maturity and interest rate.

Our Mortgage Department evaluates each application through a quick screening process. After meeting our preliminary requirements you will be offered an engagement, which begins the process of Equity issuing a Non Recourse Commitment Letter to arrange a principal repayment facility.

Once a mortgage engagement has been accepted, an in-depth review is undertaken to determine the viability and economic realities of the project. Upon positive completion, Equity Business Trust issues a irrevocable Trust Debenture to provide a loan guarantee on behalf of your property purchase.

With the finance guarantee of Equity Business Trust on your side, which is backed up by high yield Bonds or other securities, you are ready to approach lenders with a new real estate package that includes our credit enhancement guarantee. Lenders will look more favorably upon the prospect of funding your real estate project. By eliminating one of the major risks of real estate funding, you and the Investor can concentrate on the projects merits.

Please contact us for all your finance requirements.