Pre Platform Request

AmeriFunding, Inc. is a licensed and registered U.S. Corporation.  Our Desk is in Washington, DC.   Our Phone Number is 571-501-6129.  More about AmeriFunding here http://amerifunding.net/about/ and our privacy policy is here: http://amerifunding.net/privacy-policy/ We have no motivation to sell or distribute your information, as we work in an environment of private banking, where disclosure of private information voids any agreement.   All of our files pass compliance or they are not submitted.

Preface about Pre Platform Requests

There are smaller programs available for the business person who wants to get into SBLC/BG monetization, but simply can never seem to get enough funds together to afford their own instrument.  AmeriFunding has programs to help the entrepreneur who only has $250,000 or so to spend.  If you qualify, then within 30 days, you will have a return of $2,500,000 or your principle is refunded.  This program is insured, and is managed by the same firm for over 40 years.  This program is NOT TO ENRICH CLIENTS!  A person is only accepted with the understanding that they are rolling the proceeds over into a $10Million or $20Million or $50Million Instrument.

Let’s start at the beginning, shall we?……………..

UN, IMF, World Bank (not to mention U.S. Treasury) minimums are $100Million.

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So what is a Client to do?  Most clients don’t have $6 to $10Million lying around in their bank accounts to obtain a $100Million Dollar Instrument.   Those just starting out in the SBLC/BG marketplace often can’t afford that large an Instrument.  Are they to abandon non recourse funding entirely? or Just give up on their dreams?

An entity or Project Manager or Entrepreneur will sometimes need a program or monetizing platform which will get them to the Industry Minimum.  This is why it is called a “Pre Platform Request”.   This is a level of monetization or funding which is only undertaken by AmeriFunding, Inc with the understanding that the client will be moved to the next level.  We as a group cannot afford to focus on Micro Funding without an expectation that the Client will eventually move to that next level.  There simply are not enough hours in the day, or week to devote to every small project.  Nor can we take on every single client who only has $500K to $1Million.   AmeriFunding, Inc would have to open up an entire Division to handle these MicroCap Projects, and cost us many man hours, and expenses to manage the Division.

Having said that, there are a few very attractive options available in the Pre Platform or so called: MicroCap arena that we can offer  the Client who only has a small amount of money to invest.

~The most logical way to move forward is for them to obtain or lease an SBLC which by it’s very existence, insulates the Client from loss.  A ten or twenty million dollar SBLC/BG would be enough to protect Clients investment, and at the same time protect their investment from catostrophic loss or failure.   Ask about our Pre Platform SBLC Lease or Purchase Program.  They can be obtained less than $100Million, for instance as low as $10Million.  A leased instrument CAN BE MONETIZED at about 65% of Face Amount.  Thus a $10Million Leased SBLC/BG would yield about $6.5Million for your project.  Not bad for a $1Million Investment.  In a lease situation, your Lease Fee is paid to Issuing bank, not AmeriFunding.

~A second option is more affordable, but has more steps involved than even the SBLC MicroCap Program.  It is the $250,000 Escrow “Swiss” Technique.  With this Pre Platform Request, the Client puts their money into Escrow  and receives 10 times return, or the escrow is refunded.  This program is Insured up to $10Million per transaction by an American Insurance Co, and the Program is Administered by a Manager with 40 years in the Business.  The return of $2.5Mil  is then put into Leasing a $10 to $20Mil SBLC.  Thus, after thirty days, the client is on their way to Industry minimum.

~Hybrid/Shared Instrument:  In this method, AmeriFunding, Inc, and our Directors do Pro Bono work for the clients (meaning we are not getting paid), and they are shared owners of a $10Million SBLC/BG, and they share the monetization (100% of Face Amount of Instrument) until each Client has their own $100Million SBLC/BG.  The advantages are almost all to scale:  The clients are contributing $250k each, and they are also sharing the proceeds.  Multiple Signatories shared risk investment, but backed by the SBLC, so it is low risk.  Exposes new SBLC/BG clients to the ways and methods of non recourse funding.

We do NOT want to take on a lot of these microcaps as a company.  We want to stress that only if the client is moving to the next level will we agree to take them on.  This is not for the risk averse or those who need to be coaxed.  A client should be ready willing and able to move forward and not be investing their operating capital in an instrument.  If we suspect a Business Owner is investing their only capital then we recommend that they wait until they are financially situated to proceed.

WHAT  is Non Recourse Funding?  Basically this means the Transaction itself is regulated by the Banks but the use of proceeds is NOT regulated.  AND the Project Manager/Signatory DOES NOT HAVE TO PAY THE MONEY BACK!  The Client is not held back by monthly interest payments like a Traditional Loan, or hard money loan.

 

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HOW MONETIZATION REALLY WORKS!

The Minimum ANY bank ANYWHERE for MTN (Mid Term Note) Issuance is $100Million.  Thus if Barclays or JPMorgan is underwriting a brand new issue of Bearer Bonds redeemable in ten years at full face amount with an annual Coupon of 5% the smallest denomination they can issue is $100Million.  This amount is set by the U.S. Treasury, and the rest of the world’s bankers in Europe and Asia follow suit.

This $100Million is also important to SBLC/BG monetization for that that very reason.  Because most of the Non Recourse Funding for your projects is derived from profits of these Bearer Bonds.

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Let’s give a simple example.

If you have a $100Million Asset:   Cash, Mid Term Note, Gold Certificates, WHATEVER, and you want to monetize that asset, then the Bank is able to draw down 1,000 percent against the asset they hold in receivership.   So to a Monetizing Platform like AmeriFunding and our Partners?  Your $100Million SBLC  is actually worth ten times it’s face amount!  Or $1Billion.

The bank will be able to draw down $1B at zero interest from the Treasury or Central Bank for a period of one year and one day.     IT IS NOT THESE PROCEEDS THAT MONETIZE YOUR PROJECT HOWEVER,  there is one more step.

With the help of a Licensed Security Trader (say a Series 7 regulated trader)  the Bank will allow that $1Billion to purchase MTNs at say 24 for Fresh Cut Bonds, hot off the Presses.  The Trader will have an Exit buyer, usually a well known hedge fund, or associate whom she/he trusts.    They will then exit or sell those MTNs at a 30 point markup at 54 to the so called “Exit”  meaning “exit buyer”.    Thus, your $100Million Asset will allow the bank within about two days, to make about $1.5Billion in profit from this Structured A,B Buy/Sell Contract.

This Structured A/B  buy/sell Contract goes on for about twenty days, usually twenty one days total.  Thus, you are looking at the Trader/Bank/Platform grossing about $21Billion with what started out as a $100Million Asset.   But wait a minute?  Everyone needs to get their money back.   The Bank and / or the Licensed Trader will want to make sure Treasury get’s it’s money back, so they pay off Treasury immediately.

Then, the Bank and the Trader will split proceeds, with the so called “Platform” who splits the proceeds again with AmeriFunding, who splits them with the Client.

This is how monetizing works, and far too few people ever realize this is even going on each day, or how it works, or why it works.  Frankly, the numbers are so far out of reach of the average person, that even bond traders don’t realize that the bonds they are buying and selling everyday at 103 were issued at 24!  So how would the average person understand how monetizing works.

You must understand a crucial part of what makes a Platform a so called Platform:   NON SOLICITATION LAWS.   Because a Licensed Trader cannot solicit he cannot ask you directly to take in your $100Million SBLC.  Nor can the bank.  AND then there is no vehicle in place for dispersing your funds to you for your project.

Thus a “Monetizing Platform” is really a phrase for the synergistic relationship between the Bank, the Trader who creates the Profit, and the Broker/Intermediary who both UNDERSTANDs how monetizing works, and is DIRECT to the Platform itself.  NO ONE PARTY IS RESPONSIBLE FOR MAKING THE PROFITS NECESSARY to Monetize your Asset.  A “PLATFORM” is a group of working pieces, and they all understand their roles within a Platform.

Many myths abound:  from, “oh, platforms don’t exist”  to:  “Mid term Notes are a myth”  Ha! As if Barclays Bank or Credit Suisse do not issue Bank Notes.  These kinds of blanket statements demonstrate how little the world really knows about the world of PRIVATE BANKING, and the tremendous wealth and sheer volume of debt floating around the planet each second  – as of this writing about $300 Trillion in gross paper debt, or about 300 percent of the Gross Domestic Product of the entire Planet!  There is a link to more information regarding platforms at the bottom of this page.

Just a few more points about monetizing.

Your SBLC/BG is NEVER in jeopardy.  When a bank takes in an asset, it is the RECEIVER.  Meaning there is no lien placed on that asset, it is never encumbered, and it is returned at the end of the program with no liens or encumbrances.  You remain the owner of that asset.

We underwrite to a higher standard than most people expect.   AmeriFunding, Inc. works with IMF, U.N. and World Bank N.G.O.s (Non Governmental Organizations) so much so that 85% of our projects meet their guidelines.  Thus we hold ourselves to these standards, even when we are not necessarily funding a project that has to meet those guidelines.   What this means is that we are going to make sure that the Project Manager/Signatory gets 100% of their funding needs met, and any fees incurred for commissions, broker fees, insurance, etc, will NOT deplete the amount of funding they receive.  The Platform will pay those fees from it’s proceeds.

All Funding is Non Recourse:  much more common in Europe and Asia since World War II,  the Non Recourse Funding method is very commonplace outside the U.S.   This means that the person OWNS their PROJECT!  Not the Bank!   There is no high monthly interest rate to pay, no monthly payment at all.  So the Project Manager has the freedom and flexibility to manage their project in a way that they see fit, and to execute their plan.

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