ETR Overview
Credebt Exchange® was founded in 2011, specifically to address two important issues in the economy: 1. liquidity in the micro-medium business sector; and 2. providing a strong, stable, cash equivalent alternative to bank deposits for Investors. Trading commenced in July, 2013 and Credebt Exchange® continues to deliver on its commitments to both businesses and Investors.
The Investor’s yield is achieved by purchasing Exchange Traded Receivables [ETR] at a discount. As explained in the ETR Fact Sheet, ETR are invoices issued under Contract for goods and services supplied to investment quality companies or credit insured invoices from Investment Grade [IG] insurers. ETR provide Investors with:
Protected
- ETR payable by investment quality companies
- 100% ETR Repurchase (see AIG in the ETR Fact Sheet)
- 4-Tier capital protection (see ETR Overview)
Liquid
- Using RPA, typical investment period is 1-Year revolving
- Full or partial redemption available on request
- No ‘break charges’ or early redemption fees
Tax Efficient
- Significantly tax efficient for individuals with annual exemption
- Subject to status, may be off-set against capital losses
- Individual’s return taxed as a capital gain
Yield
- Substantial increase on comparable bank deposit rates
- Capital not committed for long periods, or years
- Higher yield than alternative cash equivalents
| BANK BORROWING | TRADE CREDEBT® | |
|---|---|---|
| No personal guarantees * | ||
| No liens/debentures * | ||
| Quick application | ||
| Quick decision | ||
| Commercial perspective | ||
| Consultative process | ||
| No credit limits | ||
| Light on administration | ||
| Quick access to cash | ||
| No exit fees * |