Interest-Free Loans to start your very own



business. Interest-Free bridging finance to buy

a property. Interest-Free cash to buy that

franchise that you have long hesitated over. Do

you think you would get a project in your life

moving more quickly if you knew that you could

borrow money without having to pay any interest

on the loan? Are interest-free cash loans

readily available?

When starting a business, for example, having

enough money for the business may not be the real

challenge facing you. The real financial issue

may well be a combination of start-up cash as

well as your "survival money" i.e. how can you

continue to "survive" and pay your bills whilst

getting the business going?

Research shows that most Americans and British

people have very little in the way of savings. A

report in 2006 said that Americans were keeping

just $1.80 for every $100 they took home in their

pay-packet and this level of savings was going

down. Similarly, in the UK, more than 25% of all

households were reported in 2006 as having no

savings whatsoever.

However, let's assume you have some money saved.

The money you have is more than most but is still

not enough to follow the Robert Kyosaki principle

of "Rich Dad, Poor Dad" fame i.e. only begin a

venture when you have two years survival money.

Instead, you have between 6 and 12 months money.

What would you do with your project, your

business, your vision, if you could engineer an

interest-free loan for a 12-month period or

longer?

Tony, a friend of mine in London, was absolutely

passionate about trading Foreign Exchange and

wanted to start a business trading currencies.

He had searched long and hard for a mentor that

was willing to take him under his wing and teach

him how to identify profitable "market

inefficiencies". (By the way, "market

inefficiencies" is just a fancy-pants term used

in banking and economics. It describes the

weaknesses and errors that exist all over the

financial markets that can be exploited for a

profit. Anyway, I digress. Back to Tony.)

Eventually, Tony found his mentor. He, also, had

capital to execute the trading plan suggested by

his mentor. Yet Tony was missing something vital

and that something was "survival money". The

savings he had made were not enough to sustain

him for two years. Likewise, his mentor wasn't

going to hang around waiting for him to be more

comfortable first. After all, why should he, his

trading acumen was in high demand. So what would

Tony do – give up on his dream, passion and

vision? Or would he be willing to do whatever it

took to bring his vision to life?

I had worked in Investment Banking for 16 years

alongside some geeky math whizz-kids that seemed

to create financial products out of thin air.

Banking had, sort of, "brainwashed" me to think a

particular way and I realised that I could do

some very straightforward "financial engineering"

of my own to create an interest-free loan for

Tony.

Above all else, I had discovered that I didn't

have to be a math genius or a geek or have a

perfect GMAT score to make it work. All I needed

was the Internet and a reasonable credit rating.

In the same way that the Wall Street, London,

Tokyo and Sydney brainiacs used the tools at

their disposal to minimise interest payments (or

avoid it totally), I recognised that I could do

the same too.

And that's what I did. With a few careful steps

I engineered a loan for Tony. He had access to $

30,000 for 13 months and never paid a penny in

interest. (He just had a small upfront charge

for borrowing the money and I later found a way

to reduce this charge much further.) He didn't

need all of the $30k but it was there for him

nonetheless.

Tony was in a business that allowed him to

generate revenues quickly and had peace of mind

knowing that he had sufficient money to survive

during the critical start-up period. Was this an

ideal solution? Not by any means. Real-world

business is far from ideal. However, it was a

solution that allowed him to work towards his

vision more quickly because of some creative,

interest-free financing.

So, whatever your vision or dream is, an interest-

free loan can be engineered very simply indeed.

It most definitely is NOT rocket-science. Anyone

can create a loan where there are zero interest

payments. It's not complicated and can be put

together quickly enough.

In order to make a deal more profitable, one of

the first things the "big boys" in American,

European and Asian banks will look to do is

reduce, or avoid, the interest payments on the

money they borrow. This, alone, should be a big

clue as to what we should be doing too when it

comes to borrowing money. After all, there aren'

t that many poor investment bankers in the world

now are there?