Without front fees for clients of substance
This transaction is completely free of any advance payments and the delivery of the financial instrument is on the basis of payment against delivery and verification, if the BORROWER’s own company will receive the BG or SBLC and if it is of substance, with an active commercial business, audited accounts and annual revenues in the past fiscal year, equal to the face value (or more) of the guarantee instrument that is requested. If a BORROWER proves to be of substance accordingly, and through relevant audited accounts, the INSTRUMENT RESERVATION FEE (as to PARAGRAPH 6.03 of the Business Support Contract) is being advanced and paid by the FACILITATOR for the BORROWER. This makes this facility an absolutely no front fee transaction for any qualified BORROWER.
Retainer requirement if the client is not of relevant substance
If there is no bank confirmation provided, or audited accounts issued by a major firm provided to qualify the clients for a no front fee transaction, the client would have to commit and place a fully refundable retainer of Euro 30,000 to start the transaction. This retainer would have to be paid against invoice directly to one of the facilitator companies’ accounts here in Ireland. The receipt of the funds would automatically trigger validation of the contract by the Facilitator and provide his confirmation. Alternatively, if the client does not want to pay the funds directly to the Facilitator, the client has the option to open a new account in selective world banks and countries, fund his new account and provide a waterproof undertaking of payment release in case of default from his new bank.