An innovative financing concept, which allows governments and entrepreneurs to benefit from a financing loan by the pack, from 50 Million USD to 250 Million USD.
The opening of the file requires a commitment on the part of the client, he is required to advance reimbursable costs after 4 months (deadline for loan validation, see details below)
A. Details:
This is a financing loan of 50 to 250 million US dollars, or more, depending on the customer\\\’s request, this loan is the result of a specific partnership between an international organization, and European banks, under the legal supervision of our law firm in Canada.
Why Canada: This country is characterized by a vast legal arsenal, recognized around the world for its credibility and impartiality towards any local or international body, whether governmental or private, regardless of its economic, administrative, or political status.
B. Loan characteristics:
- The loan is intended to finance public and private social-economic development projects preferably in the field of health, environment, and education, other themes to be studied.
- The term of the loan is 20 years, including the grace years.
- The grace period depends on the nature of the project and its realization (in general it is 1 to 3 years)
- The Borrower undertakes to pay quarterly operating, monitoring, and management costs which are 0.333%/month during the first year and 0.125%/month from the second year until the end of the term of the loan.
- The loan interest rate is 0%
- Loan processing time: between 12 and 16 weeks
- Upon validation of the loan, and the financing granted, the client will receive monthly payments of 25 Million USD until the requested and contracted amount is obtained,
If the file is accepted for the loan:
- An amount of 5,000 USD must be deposited in our law firm in Canada for the official opening of the file and the start of the process (see details in the procedure \\\’Point C\\\’).
- A deposit of 1,250,000 USD, repayable over 4 months, will be requested after the signing of a contractual agreement (see details in the procedure \\\’Point C\\\’).
C. The procedure for taking advantage of the loan
- The Borrower is requested to send us the following documents:
- A letter of intent to formalize his loan request in which he confirms his acceptance of the loan conditions (see the previous paragraph: Loan Characteristics in point B).
- A summary of the project with the amount requested (minimum 50 Million USD)
- and a simplified financial plan
- Upon receipt of this file, a selection committee gives its favorable or negative opinion on the possibility of granting the loan or not. (processing time: one-week maximum)
- If the file is favorable for the loan, a contractual agreement is sent to the applicant (future borrower) that the latter must return to us signed and sealed, attaching his business plan and his feasibility study of the project. (processing time: depends on applicant)
- Upon receipt of this contractual agreement and the other documents, the international organization sends an invoice of 5,000 USD that the applicant must transfer to the trust account of the law firm in Canada for the official opening of his file. (processing time: 5 working days)
- After examination of the file by a committee of financial experts, lawyers, and specialists in the field of the theme of the project, the committee gives its final report. (processing time: 5 working days)
- If the report is positive, the file is sent to an organizing committee to begin preparations for the loan application. And if the report is negative, the client will be reimbursed and his file will be canceled. \\\”NB: The 5,000 USD will be refunded to the client only if the file is rejected by us, the client will not be refunded if he decides to abandon the file himself. (processing time: 2 business days)
- After validation of the file by the committee of experts, a final contract will be drawn up by the law firm and sent to the client with an attached performance bond of 1,500,000 USD in his name to guarantee his initial deposit of 1,250 .000USD. \\\”N.B: The performance bond will only be activated upon receipt of the wire transfer in the lawyer\\\’s account\\\”. (processing time: one-week maximum)
- The customer requesting the loan must return the signed and sealed contract to us, attaching the receipt of his transfer of 1,250,000 USD to the trust account of the law firm. (processing time: depends on applicant)
- Upon receipt of the lawyer of the amount of 1,250,000 USD, the official assembly of the file begins with the specialized experts with the exchange of further documents if necessary. (processing time: between 2 and 3 months)
- From the 12th week, (sometimes from the 16th week if the assembly of the file coincides with the month of vacation of the summer), the lawyer responsible for the file, returns to the borrower his initial deposit of 1.250.000 USD and pays him the first installment of 25 Million USD, plus 25 Million each month until the requested amount is completed. (Management fees will be deducted from each tranche of 25 Million received by the borrower).
- At the end of the grace period, the borrower begins to repay his loan as agreed in the final contract.
D. Guarantees:
Before the client deposits his advance in the lawyer\\\’s escrow account (account domiciled at the DesJardins global banking group), the lawyer will make available to the client a mortgage guarantee worth $1.5 million, this guarantee is supervised by the Supreme Council of Quebec.
E. This means that the fees deposited by the customer are insured in both cases.
- Upon approval of the loan, the client will be refunded his initial deposit of 1.2500.000 USD plus his receipt of installments of 25 Million per month
- In the event of failure of the program (which is rare or almost impossible), the lawyer pays the client 1,500,000 USD subject to the performance bond issued by the law firm.