American Bancshares Corporation, its officers and employees has been aligning investors, lenders with Entrepreneurs, companies, and organizations for over 38 years. Having started in 1974 by underwriting loan proposals, writing Business Plans and Private Placement Memorandums for Entrepreneurs and brokers, we have gained a great insight and immeasurable experience into the debt lending, private equity, and venture capital arenas. Our senior management has combined over 50 years experience in corporate (mergers and acquisitions), healthcare, manufacturing, general business administration, real estate and finance with real world application.
Our principal function is to assist you, from beginning to end, in completing Financing through our individual, corporate, institutional, angel investors and VC Firms, companies looking for Joint Venture opportunities, Investment and Merchant Banks, Trusts as well as other reputable lending and investment sources.
Our Consortium of Accredited Investors consists of all of the above including but not limited to the Top 100 Eligible Guarantor Banks, Top 100 Investors that are actively seeking investment opportunities, soft and hard moneylenders, the Top 100 Banks in the United States and Worldwide. These entities have been developed over a 40-year period as well as thousands of Contacts with Lenders and Investors worldwide. This provides our clients with the best opportunity to capital, investments, and Joint Ventures approved at favorable terms and rates regardless of whether they qualify for financing otherwise.
» Our investors, lenders and VC firms contact us with the criteria they need as well as the types of investments and industries in which they are interested. We then match our clients with the particular interested investors.
» Our investors, lenders and VC firms assist us in expediting the investing and lending process to higher risk clients with a strong potential that may not otherwise qualify elsewhere. High-risk clients includes but not limited to Chapters 7 and 11, DIP (debtor in position).
» Knowing what the lenders and investors are looking for, we assist you in the preparation of the necessary documentation to satisfy these requirements.
» AS Equity partners, investors, VC firms and lenders want to assist you in growing your company and will usually make additional funds available if initial criteria is met. Most of our investors prefer their clients return for their 2nd and 3rd rounds of funding. Some will even make that stipulation as part of the 1st round.
» Our many lenders and investors provide the entire range of funding including Asset-based, Cash Flow, Working Capital, Bridge Loans, Unsecured loans, Lines of Credit, Mezzanine, MBOs as well as international Real Estate loans to name a few.
» Whether you are applying for your 1st round of funding, equity, debt or combination, or your 4th round, try us first for fast funding and reasonable rates.
We specialize in Raising Capital for growing businesses and assisting you in helping that business grow.
||Management & Leveraged Buyouts
| Unsecured Loans and Lines of Credit
|Hard Money Loans
||Soft Money Brokering
|Purchase Order Financing
||Real Estate Lenders
|Debt And Equity Capital
||Raw Land Acquisition
We have an extensive background drawing from invaluable experience in marketing, advertising, financial planning, strategic alliances, development projects, corporate management, loan processing, investor and corporate communication.
We have ongoing relationships with loan officers, underwriters, asset management firms, investment bankers VC firms, Private Equity firms; guarantor banks, angel investors, and the like to assure timely and efficient processing of your project once you have met the criteria and agreed to proceed.
Available from Euros €30 million. No maximum. For this service a retainer is required.
We have direct contact with numerous international and offshore Commercial lenders, and investment banking firm, angel investors, and private equity groups ready to meet your funding needs. Unlike some investors and lenders, we do not have to wait until the money is placed into an account to be invested the money is already there.
» Because the funders are not regulated or managed by the same entities that traditional lenders are, they are free to invest in projects and businesses on the viability of the project and their willingness to invest or lend.
» Our investors and lenders are actively seeking viable projects at all times and notify us as to what areas of investment and stages of investment to send them.
» Most international loans have fixed interest that is usually based on LIBOR plus a margin. Most domestic loans have interest based on Prime plus a margin.
» Our investors and lenders can and do invest up to 100% of the project with a term of 5,7,10, 15 or 20 years. In some instances, hard money loans have a term of four years or less depending upon the borrower and the position of the project.
» Grace periods for repayment are negotiable and depend upon the type of project. In many instances, the borrower has the option of Interest Reserve whereas interest on the loan is built into the loan amount for payment quarterly until the project can support payments. This is an option not a requirement.
» Terms and conditions are subject to alteration and depend greatly upon the current market situation.
INTERNATIONAL PROJECT FINANCING
For this service a retainer is required.
Ranging from Euro € 30 million and upward – No Maximum – Funding is available for Acquisition, Construction, Development, Existing and Joint Ventures. Up to 100% LTV loans and equity.
||Hotels and Motels
Above are listed some of the types of projects being funded at this time. No restriction on type of projects as we have only rejected unrealistic project which is based on our professional opinion. Generally the project must be able to generate good returns or project good returns.
REAL ESTATE SECURED LOANS
A Retainer is required for this service. This type of financing is possible in many situations, including Bridge financing; Land Acquisition, Development and Construction. Foreclosure and Bankruptcies, Including DIP financing.
Loans from €500,000 Euros to €1 Billion Euros worldwide.
Loan term: 1 – 5 years. No prepayment penalty.
Borrower Collateral: Loans are made for business purposes only. In some cases, personal guarantees are required. Collateral must be real estate or other fixed assets.
LTV: Loan to Value: Loan amounts can be up to 95% of the QSV of most real estate collateral and up to 100% on income producing properties. If the loan is used for construction or renovation, the loan will be funded in tranches as needed up to 75% of the improved properties. More in special situations.
Interest Rates: Interest starts at 12%. Rates from international transaction may be higher.
Immediate response – flexible loan structures, 7-10 day closings.
A new and exciting financing option for owners of free-trading securities that require an alternative to the standard stock margin loan.
Your free-trading securities become collateral that you can hedge, delivers up to 92.5% of the value of your stock portfolio in a no-margin loan with no interest or principal due until maturity and no liability to you beyond this collateral should you walk away from your loan obligation.
We require at least €10,000,000 up to €250 million worth of securities trading freely on one of the major U.S. or European stock exchanges. If you feel you qualify for this type of transaction, contact us for further information.
RETAINERS AND FEES
As with any professional service we work on a tariff and charge a retainer to cover our initial expenses and time. In contrast to many other International Financiers, our fees are very modest. Our retainer starts at €19,500 Euros. Retainer for project funding starts at €50,000 Euros depending upon the exclusivity and complexity of the project. This retainer includes but not limited to ongoing consulting, processing of the loan application, reviewing your Pro Forma, due diligence, and negotiating the term sheet and final commitment, out-of-pocket expenses, legal and administrative fees. Site inspection expenses are payable in advance. Please do not ask us to waive our retainer. We are NOT interested in owning a piece of your company or any stock therein in lieu of the retainer. Also do not ask us to accept a higher commission upon closing to waive the retainer. The Commission or Finders Fee range from 4-10% which is paid at closing. We require that the retainer be remitted per the instructions in the Agreement. Please do not request an agreement unless you are prepared to proceed. No matter how good a project is, no lender or investor is going to wait for you, you wait for them.
Also, a deposit maybe required of 1% of the project depending on the complexity of the project. This deposit is paid upon acceptance of the term sheet and is fully refundable. In some instances the deposit can be made in two (2) payments or added to the loan amount.
MAJOR REASON PROJECTS DON'T GET FUNDED
Presentation – unprofessional or weak proposals. Most borrowers tend to think they can write their own proposals and do so without even knowing what the investors are looking for in a proposal. (Please do not ask us to send you a proposal outline.)
Management – lack of seasoned management.
Strategy – Poor or unrealistic strategy, market penetration, timing, unsubstantiated projections. The investors are not interested in how you can “sell an ice cube to an Eskimo.”
Economics – lack of compelling economics and market size that is based upon the state of the economy and a project's financial projections.
FACT OR FICTION:
Control of your company – False. Venture capitalists and/or investors typically do not want control of your company or small business. Their equity position is dependent upon the valuation of your company.
New Technology only – False. Leading edge technology can be very expensive in terms of development and marketing, which makes them difficult to finance. Venture Capitalists are interested in the potential for high growth and can be specific to several industries. After all, it's their money.
Satisfied with reasonable returns: False. When making a high-risk investment, a high rate of return is expected. This will be in the form of interest or equity participation.
Quick to Invest – False. Most businesses are in the 11th crisis by the time they are seeking funding. The time span from the moment the proposal is received, and approved and funds are distributed can be lengthy. It can take up to six (6) weeks for a positive response from investors. Longer if your proposals, projections, etc. are not in order. Very few investors are willing to wait until you revise your business plans or proposals.