Category Archives: Equities Business

Taking A Loan Against Your Stocks

Most small business people do not realize that in hard times, it is entirely possible to keep your stocks and simply get a loan using them as collateral. Sometimes, things such as international events, a slow market, or natural disasters can temporarily hurt a small or medium-sized business. That is when a loan might be needed. Or, maybe it will be for a long-awaited expansion as well.

Most banks will lend against equities, but there are some catches to it. They will only lend only up to 40% of the value of the equities. Their interest rate on such loans are very, very high. Also, they will ask you to write a proposal describing in detail what your uses for the funds will be. In short, they want a business proposal. It will take a while to fund such a loan, as well. And worst of all, there are government restrictions on the use of some equities as collateral for a loan.

You may as well sell your stocks and get full value of the equities, right? Not quite. There is a better way.

First Equities UK will lend up to 80% of the value of the equities. They are a private lender, not an institutional lender, so they can lend against any equity they choose. Their interest rate is far lower than most conventional loans. They will not ask for you to write a proposal or let them know of your plans for the funds received. The equities, they feel, stand good for the loan, no matter what you want to do with the funds.

And, funding is right away. As you can see, talking to Equities First UK makes sense. You should try Equities First, first!