Do You Want To Learn About RMG’s Ascent Business?

After we established the RMG's Corporate in 2014, from the providing and selling of financial services to funds and assets management, What we have learned about Growing and Nascent Business to 8 digits? As A CEO and President, I decided to pack for your knowledge and information, with a value that is worth a lot: <img width="800" height="543" src="http://www.ram-finance.com/wp-content/uploads/2021/06/SOFE-1024x695.png" alt="" loading="lazy" srcset="https://www.ram-finance.com/wp-content/uploads/2021/06/SOFE-1024x695.png 1024w, https://www.ram-finance.com/wp-content/uploads/2021/06/SOFE-300x204.png 300w, https://www.ram-finance.com/wp-content/uploads/2021/06/SOFE-768x521.png 768w, https://www.ram-finance.com/wp-content/uploads/2021/06/SOFE.png 1344w" sizes="(max-width: 800px) 100vw, 800px" /> ...
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Why there are many failures in SBLC Transactions?

A client ordered a licensing SBLC, we are ready to option No 3 and ready to make the deposit of the 2.5% in IOLTA escrow, for registration and send first the 799 Pre-advice. RMG: Ok, is your bank going to receive the 799/760, and give you support and undertake to pay the balance?  Client: No, we have a funder/monetizer, kindly send directly to the funder Bank account. RMG: Then you need to nominate a new Beneficiary, moreover, and that new Beneficiary needs to give respond with 799 undertake to pay the balance on your behalf, please provide their full CIS.   Client: we agree, send us the Term Sheet and Escrow agreement. At this point, all going well, the client sign the term sheet and escrow agreement and do the wire deposit, and submitted the nominate a new Beneficiary agreement. We have registered the transaction with HSBC UK as issuing bank with our investor's liquid assets, after the bank did their DD, the bank found out the...
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What is a better way to leverage funds? SBLC vs Debt

What is a better way to leverage funds? SBLC vs Debt

Let’s start with Financial Leverage Definition: Financial Leverage is the use of debt (borrowed capital) results from using as a funding source when investing to expand the company's asset base and generate returns on risk capital. Financial Leverage is an alternative investment strategy of utilizing Debt borrowed funds specifically, the use of various financial instruments to increase the potential return of an investment. Financial Leverage can also refer to the amount of debt a company uses to finance assets. The financial leverage ratio is one of several financial measurement analyses that calculate the risk of how much capital comes in the form of debt or assesses the ability of a company to meet its financial obligations. How Financial Leverage Works: When purchasing assets, four main options are available to the company for financing: using equity, debt, leases, obtain IPO's. Besides equity, the rest of the options involve costs that should be lower than the income that the company expects to earn from the asset/project. The...
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What is a Private Placement Program?

Let’s start with Private Placement Definition: A private placement is a sale or funding of securities, stock shares, bonds, Guarantees,  Promissory notes, and more to pre-selected Hedge Funds, Private equity (PE), Venture Cap (VC), qualified Accredited Investors, and Institutions on the Secondary market rather than on the Primary market called Stock Exchange. It is an alternative to an Initial Public Offering (IPO) or Bond's like Medium-Term Note (MTN) for companies seeking to raise equity/capital for expansion, funding project, cash flow, working capital, etc. Investors invited to participate in private placement programs (PPP) include wealthy individual investors, banks,  Hedge Funds, financial institutions, mutual funds, insurance companies, and pension funds. One advantage of a private placement is its relatively few regulatory requirements. Actually, PPP’s are not well known publicly, and only a very small group of investors that own significant funds, Instruments, Assets have access to them. Most programs can be joined by invitation only. These programs have been issued for the past 60 years. We, R.M.G....
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What is the better Non-Recourse vs Non-Refundable Debt

First, we need to know the Difference between Recourse Debt (Loan) to Non-Recourse Debt: In general, Recourse debt (loans) are secured by collateral. If the borrower fails to refund their obligation and default on the payment schedule, the funder can go after the borrower's other assets. A Non-Recourse debt (loan) does not allow the lender to pursue anything other than the collateral. For example, if a borrower defaults on a Non-Recourse Securities debt, the Funder can only foreclose on the said securities. The Funder generally cannot take further legal action to collect the funds owed on the debt. A Non-Refundable debt means, funds used to describe as income profits that paid to the client/investor and can't get back. For the benefit of our clients/Investors, who are interested utilize owned Securities (Assets and instruments) from the Secondary Markets, and participating in our Private Structured Placement Program (PSPP), the first stage is to active credit facility upon the Securities. Two methods, 1. Monthly payments. 2. One payment...
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Why raising equity for projects fails?

Establishing a new project => learn more If you are an Entrepreneur or Developer, one of the required skills is deep knowledge in finance, and economy in addition to the other skills required for the project. Moreover, surround yourself with the right counselors. The developer company from Chicago, the project is a commercial combination of luxury hotels and residences in one of the coveted areas. The client request for licensing Standby Letter of Credit (SBLC) 100M USD, in order to be qualify, the client needs to provide BCL from his bank, therefore, the client submit a request to the Bank - credit committee to issue BCL that includes payment of fees 13% and undertake to return the SBLC 15 days before maturity. His bank refused. Why did the bank refuse?  What is the type of project? Why you need SBLC? Who is your adviser? The client answer, we are Real Estate Developers, our project about 200M USD, the bank give us approval for Senior debt 150M USD, so we...
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Guarantees and Surety Bonds

Every Guarantee/Surety Bond must be carefully examined to determine its legal significance and viability. Guarantees and Surety Bonds By issuing a guarantee/surety bond, the bank or the insurance acts as the guarantor for an obligation owed by the debtor. What these two instruments have in common is the bank’s/insurance’s promise to stand in for the payment of a debt or performance of service should the debtor fail to fulfill his or her contractual obligations. With this promise, the bank/insurance undertakes to pay a maximum specified amount when the conditions of the guarantee/surety bond are met. Difference between a Guarantee and a Surety Bond Guarantee A guarantee is a distinct promise to pay and is not dependent on the principal obligation. The guarantor (the bank) may not raise any objections or defenses based on the underlying transaction. This means the guarantor pays upon the first written demand (claim) on the part of the beneficiary, i.e. on the presentation of the confirmation specified in the guarantee text...
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What is better? SBLC vs CPN

To obtain Deferred Purchase/Acquisitions SBLC the price is 115%, the client pays only 15% within 5 days and the balance 15 days before maturity, so he can utilize the SBLC during the year and renew for another year, the bank can give credit facility usually between LTV 75% - 85%, an interest rate of about 3%. Example: obtain SBLC in the amount of $100 million, the price is 15% must be paid within 5 days after delivery of the swift MT760. then you need to submit the project/business to the credit committee of the bank, in order to get the credit request, in the end only the credit committee will approve the LTV 75% to 85%, assuming you get the maximum credit then the credit will be $ 85 million, most likely the interest rate about 3% on the $ 85 million. (When we deduct 15% already paid a payment of the SBLC, and receiving bank fees of about 2%, therefore, bank the...
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