Loans at advantageous conditions
Promissory notes play a key role as an alternative to loans in the development of new financing structures. They serve as evidence of the existence of the claim for the lender. Promissory notes are a form of credit and a means of long-term debt financing for companies. They are an important and frequently used alternative to traditional bank loans and corporate bonds, especially for German SMEs, as they combine the advantages of both forms of financing. The promissory note, as a capital market loan, is the German equivalent of the US private placement and has similar advantages: competitive prices, longer terms, access for SMEs, diversification of the investor base, no formal rating requirements.
Promissory note loans as a diversification option alongside traditional bank loans
The INFINMENT team has already successfully supported and executed several promissory note transactions. The process of structuring and placement with suitable partners/investors involves a number of complex activities which are mastered by the INFINMENT management team. INFINMENT acts as a consultant and coordinator for the technical implementation of a promissory note transaction.
Advantages for companies/issuers: