Market Discussions

Greetings,

I am considering requesting a 10bil load to ease the transaction into opening a dread production line next to the other capitals I build, but before I do that would I like to know what sort of things you would like to see in my load thread.

I have been reading the market forum on and off for a while now, but still not entirely sure how it all works. What sort of interest rates people are expecting. If you have some tips or general advice for a newcomer would it be greatly appreciated if you would share it in this thread.

Best regards

- BP

First off, you should stop signing your posts.

I agree





/signed flakeys

Roger that, IwasThere over and out!

Iwasthere
CEO of my corp
http://puu.sh/6SyBk.jpg

People haven't really been too helpful in this thread so perhaps I can help out a bit and give a post with some content.

There are a few things to take into consideration when requesting a loan on MD.

1) The loan amount
2) Collateral
3) Location & content of collateral
4) Interest rate & length of loan

If it's your first loan at 10 billion, you better have 10 billion worth of collateral. People with their first loan more commonly go uncollateralized at a high interest rate (10-15%) to entice the loan request for not having any collat. This will seldom be filled unless people like I LIKE IT feel that it might be worth their while, but for the most part getting an uncollaterlized loan is hard to pull off as you might have seen in previous loan threads.

Another thing to keep in mind that might be helpful for a first time loan request is to give a short yet effective prospectus on why you want the loan, especially if you are going for uncollateralized. Regardless of whether its collat/uncollat people lending isk would still like to know how you plan on paying them back.

I hope this post was a bit more helpful, i'm probably wrong on 99% of it and will await some veterened MD poster to tell me how stupid I am. Anyways good luck with your first loan.

SIGNED NED, ESQ.

Freighter BPOs are ideal collateral. Valuation would typically be NPC price minus 5% or 10% to allow for rapid release of capital. Other possible collateral holders, if Chribba is too expensive/busy, include Grendell and myself.

If it's just a question of holding collateral, I do that for free for MD bonds. If you wanted the collateral researched or copied while it was held that would entail some costs and, to be honest, I'm not sure I have the facilities free at present. I wouldn't want to speak for Grendell or Chribba.

You need to be fairly careful with this option though as it tends to be expensive due to the resources involved. The third-party will either have to put a character into your corp and become the sole controller of the main functions (so as to restrict access to the prints through either a lockdown or a query-only hangar) or will have to use their own POS and research characters to do the copying. In either case, it would probably be necessary to stop the current copy process. As far as costs are concerned, since either option would take up an alt, I would expect the cost to be something along the lines of 1/3 plex per month plus some premium (plus POS costs if the research is being done by the third party), so make sure that the value of the copy jobs will be sufficiently in excess of that level to make it worthwhile. This option used to be seen a lot more but the huge increases in POS fuel costs and PLEX costs seem to have put a bit of a damper on it in the last couple of years.

Properly collateralised loans are a sellers market so you will find that people are very keen to buy your debt and generally happy to let you sit on the loan for extended periods. Fixed or open-ended are both fine and can both achieve the same ends. You can either set a fixed end date, with the option to extend given the agreement of all parties (and you'll easily be able to replace anyone who drops out) or you can leave it open ended and allow people to cash out and be replaced. In this situation you would change your thread title and bump it when someone wants to cash out to indicate that there is an amount that is now open and once you have someone new to cover that you can swap one person in and the other out. In swapping in and out your lenders may, again, want to use a third party rather than have someone they don't know holding both chunks of cash for a time but that likely depends on how much is involved.

Thanks for the offer, but I already own the bpo's necessary to cover the request collateral should I decide to ask for a 10bil load. Cost wise is it eaiser for me to halt the copy process during the load.