Plan B – Funding Options welcomes new accredited Investors and Lenders to join our team.
What type of Investors/Lenders does Plan B Funding Options, have and look for.
• Private equity investors
• Hard money investors
• Private investors/lenders
• Angel investors
• Venture capital (V/C)
• Direct Lenders
* NON-Bank Lenders
There are many great ideas coming from people worldwide who are seeking funding for a wide Variety of needs from starting up a new business, expanding an existing business, personal loans, alternative energy projects, entertainment industry, health care industry, and inventors, even movie ventures, on and on. These ventures present an Investor/Lender a chance to get in on the ground floor. Agreeing on terms with the funding seekers gives them a chance to take advantage of these great ideas well ahead of other Investors/Lenders.
*If you and or company would like to be a part of our team please contact us at email@example.com or Skype: plan-b-funding, please leave your contact info to discuss terms and polices.
All Investors / Lenders must be (accredited). A past investment(s) record maybe subject for review prior to acceptance to our team.
The term Accredited Investor is defined in federal and state securities laws. By definition, it can apply to an individual as well as an organization provided they meet one or more of the following criteria:
1. Any bank as defined in section 3(a)(2) of the Securities Act of 1933, or any savings and loan association or other institution as defined in section 3(a)(5)(A) of the Act whether acting in its individual or fiduciary capacity; any broker or dealer registered pursuant to section 15 of the Securities Exchange Act of 1934; any insurance
company as defined in section 2(a)(13) of the Act; any investment company registered under the Investment Company Act of 1940 or a business development company as defined in section 2(a)(48) of that Act; any Small Business Investment
Company licensed by the U.S. Small Business Administration under section 301(c) or (d) of the Small Business Investment Act of 1958; any plan established and maintained by a state, its political subdivisions, or any agency or instrumentality of a state or its political subdivisions, for the benefit of its employees, if such plan has total assets in excess of $5,000,000; any employee benefit plan within the meaning of
the Employee Retirement Income Security Act of 1974 if the investment decision is made by a plan fiduciary, as defined in section 3(21) of such act, which is either a
bank, savings and loan association, insurance company, or registered investment adviser, or if the employee benefit plan has total assets in excess of $5,000,000 or, if a self-directed plan, with investment decisions made solely by persons that are accredited investors;
2. Any private business development company as defined in section 202(a)(22) of the Investment Advisers Act of 1940;
3. Any organization described in section 501(c)(3) of the Internal Revenue Code, corporation, Massachusetts or similar business trust, or partnership, not formed for the specific purpose of acquiring the securities offered, with total assets in excess of $5,000,000;
4. Any director, executive officer, or general partner of the issuer of the securities being offered or sold, or any director, executive officer, or general partner of a general partner of that issuer;
5. Any natural person whose individual net worth, or joint net worth with that person's spouse, at the time of his purchase exceeds $1,000,000;
6. Any natural person who had an individual income in excess of $200,000 in each of the two most recent years or joint income with that person's spouse in excess of $300,000 in each of those years and has a reasonable expectation of reaching the same income level in the current year;
7. Any trust, with total assets in excess of $5,000,000, not formed for the specific purpose of acquiring the securities offered, whose purchase is directed by a sophisticated person as described in Rule 506(b)(2)(ii)
8. Any entity in which all of the equity owners are accredited investors.
*Below are definitions of the types of Investors (this is mainly for your own knowledge)
*Private equity investors:
When a company wants to raise money for its operations it has some ways, 1. Taking a loan from bank, 2. Accepting public fixed deposits, 3. Issuing debentures or loan bonds 4. Issuing preference and/or equity shares.
Within these when the company wants to issue preference or equity shares it can do so either by a. doing an IPO, b. issuing rights shares or c. private placement.
Private placement means that if the amount the company wants to raise is comparatively low and company does not want to incur cost of issue then it may approach a few wealthy investors to invest their money in the company. So equity or preference shares are issued to a few people at a minimum cost. This is called private placement. And those who are these wealthy investors are called Private Equity Investors.
*Hard Money Investors:
Hard money lenders (HMLs) are typically private individuals or small groups that lend money (Hard money) based on the property you are buying, and not on your credit score. Usually these loans cost (percentage-wise) much more then an average mortgage, often times up to twice what a regular mortgage does, plus high origination fees.
Who Needs Hard Money?
Developers and house flippers, amongst others, will use it to fund deals because you can often borrow up to 100% of your purchase price! On the other hand, hard money lenders will frequently require you to back up your loan with real assets. If you know you can buy a property and turn it quickly at huge profit, and you can't get a standard mortgage, it might be one way to go. Some investors use hard money to get into the property, do some quick fixes to raise the property value, and then get a new loan (based on the properties new, improved value) from a bank to pay off the hard money lender.
An angel investor or angel (also known as a business angel or informal investor) is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. A small but increasing number of angel investors organize themselves into angel groups or angel networks to share research and pool their investment capital.
(Also known as VC or Venture) is a type of private equity capital typically provided for early-stage, high-potential, and growth companies in the interest of generating a return through an eventual realization event such as an IPO or trade sale of the company. Venture capital investments are generally made as cash in exchange for shares in the invested company. It is typical for venture capital investors to identify and back companies in high technology industries such as biotechnology and ICT (information and communication technology). Venture capital typically comes from institutional investors and high net worth individuals and is pooled together by dedicated investment firms.
A loan by a lender to a customer without the use of a third party; direct lending gives the lender greater discretion in making loans.
Non-Bank Lenders located throughout the country that obtains their funds, Not from deposits but rather from the sale of notes and bonds on Wall Street and through private investors. They are, therefore, able to take on more risk and provide financing for tougher transactions that do not qualify for bank financing. This includes companies that are in Chapter 11, that have losses or a negative net worth or that may have a tax lien.