Global Design And Business

The bank customer will have handed the binding offer,
which is a document issued by the entity in which
include loan conditions and must have a
valid for more than 10 business days.
For us to sign a loan contract or
credit with a bank, we verify that
maintaining the data of the offer made to us.
We also have the right to be delivered to us at
least the following:
“If the contracts to be signed by a notary or other
notary public, the bank will give us a copy of
writing.
“The bank must collect contracts explicitly:
* The nominal interest rate to be used in settlements.
* The frequency with which they produce the accrual of
interests, the dates of accrual and settlement of
themselves.
* Commissions to be applied with specific
its concept, size, date of accrual and settlement.
It is illegal to refer generically to tariffs,
unspecified data.
* The contractual rights which correspond to the bank,
on all matters related to the change in the rate of
agreed interest and the procedure must
comply with such changes.
* The rights of the client as to the possible
early termination of the operation. Usually be linked to
cancellation charges which, it is desirable
review and negotiate (with the legal thresholds
2% for operations and fixed interest rate of 1%
operations at variable rate).
* As to the expenses payable when the amount
can not be fixed at the time of signing the contract,
at least its concept should appear.

When the bank will consider the application of
funding that we did review the following
points:
1.Analysis feasibility of the financial operation
yes: if the capital is the necessary conditions
amortization are assumable, the time is right, and so on.
2.Analysis of applicant: income structure,
solvency and ability of repayment, collateral, study
history of it (if there have been defaults, etc.).
3.Analysis the business or assets to finance (analysis of
the viability of the business to be financed, etc.)..
The documentation that we provide should include:
“Memory of the company, business or activity
applicant’s professional, in describing its
development to date of application, the objectives
occupational and economic, and results. This
should be supported by concrete data: evolution
sales, profits, market share, assets
total enterprise.
“Profit and loss accounts in recent years
(usually three).
-Balance of the last three years at least.

There is one basic premise: The rush is not good

-Forecast of cash within 12 months.
-Statements of income, VAT and tax
societies.
-Report explaining the above accounts, which
describing the most important parameters and their
evaluation:
* Sales and developments
* Trade Margins
* Policy depreciation
* Overhead structure and its evolution
* Income or extraordinary
The economic and financial data must be submitted
in a coherent and sophisticated.
-Description of the organization and business performance.
You can also address issues such as:
* technologies and equipment used
* innovative features or particular process
the service production
* payment terms to suppliers and customers
seasonality of sales *
* pricing policies
* marketing policies
* distribution policies
“Legal structure of business. Legal form,
financial liability, number of partners, property
of the shares, restrictions on their
transmission, etc..
The Information supplied will be tested by
the bank, which in turn has various sources of
information to draw on:
-Registering property
-Trade Register
-Civil Registry
-Registry of Intellectual Property
-Records of bad debt: RAI, ASNEF.
-Risk Information Central Bank of Spain
(SERT)
-Information of suppliers and customers
The bank will have a team of risk analysts
who will look to verify the information provided and
qualify the request we made.

• Leasing is a contract that allows the rental of a
well with the particularity that, once finished the
contract, you can opt for your purchase, renew
or deliver the goods to the lessor. By contrast, in
the renting no such possibility exists.
• Within the lease amount is renting
includes the right to use the equipment, its maintenance
and insurance that covers any claims that
could have the equipment. Leasing also allows
rental property but not its maintenance.
• Leasing allows to achieve accelerated depreciation
the property according to the company, while establishing
A minimum of two years for movable
and ten for the estate. The renting does not have deadlines
minimum

We must control the valuation dates applicable
the bank to any type of account you have open
therein, for each of our operations,
to effect the generation of interest (both for
the entity as of our business).
What is the value date? It is the date from which
is paid into an account a bank transaction
(either income or payment), for example: as we shall see
below, but we enter a check
of another entity in ours at 9:00 am
a Monday, we will not have the money to
Wednesday.
The Bank of Spain, again, laid down
following dates:
-In case of cash income into account: the
made before 11:00 am will
value date on the day of delivery. That is,
consider that this money is effectively available
in that account from the spot. If the deposit
is made after 11:00 will be considered as
value date of the next business day, making money
not available until the next day.
If income-check: when the
check is in charge of such institution where you wish
make effective, entry will value the same day
delivery. If the check is carried out by other entities,
but he was admitted to our bank account, that
income is effected by the second working day following
delivery.
-Bank Transfers: If an account derived from
of the same entity, the value date is the same as
of the transfer order. Possibly other
entities, will be the second business day after the order
in the office of origin.
-Presentation of bills: when periodic receipts,
whose clearance has authorized the debtor, the charge
held the same day of submission.
In the case of exits from a bank account rules ”
are the same as in income? No, because
when amounts are withdrawn from one account to date
value is the day you withdrew that amount, with
irrespective of time in which the operation took place.
But on Saturday “is a business day or incompetent?
Depend on the date. If the operation can not
formalized by circumstances beyond the entity,
example, coincides with a holiday, will be working. 1
May to September 30 are public holidays, as
the holidays. From October 1 to April 30 are
working. Basically depends on the operation of the
Clearing House, ie the body
records daily banking transactions.

Should we keep information of all bids
Various market Entities That the offer. The
only bank-level Clearly Loyalties Are Useful:
the entity already know us and knows the Capacity THEREFORE
Refund and credit We Can offer.
This CAN be good if Our Ability to
Reimbursement is Insufficient to Meet the Requirements of the
That operation we request, Since the Period
to study the Feasibility of the operation Will Be short.
In Addition, Tend to favor Financial Institutions
Give or Better Treatment Who Have to loyal customers
working with Them for Some Time.
Still, Facing a credit transaction, it is interesting
Consider Negotiating with More Than One bank. The
Typically, first go to the bank with Which we work
Usually, But Should Have Other Options;
is adviseable to seek to serve Until Other Offers
Our supply bank to “always” be
Better for us / as.
When we get to choose with the Financial Institution
to Perform the operation, We Must Consider
These factors:
-Type of Operation: For Some Operations, Such As
eg export banking business or
leasing transactions, There Are Financial Institutions
really specialized, Which Provide Better dog
general banking conditions.
-Level and Business Relationship We Have with the
Financial Institution in particular.
-Return to the Provider for the May transaction
bank.
“Market situation and Other Factors, as
That May Affect the operation and
Behavior of the Financial Institution.

Banks, savings banks and other entities
financial institutions should meet certain standards
each and every one of the credit operations as
deposit. These rules are specified in
various circulars of the Bank of Spain.
Then we will see information from different
financial institutions and the implications of the
Bank of Spain regulations in this regard.
The brochure
In every branch of the different
financial institutions must have a booklet with all
price rates that entity has in place to
publicly available.
So when we go to a bank to ask for information
we have a reference point which are the
maximum costs that are going to implement.
And are highest, because if we make a good
negotiation can get these costs are
reduced.
Prices of products and services are set by the entity
freely only have an obligation to inform
of your rates to the Bank of Spain before you start
implementation. For its part, the Bank of Spain has fifteen
days to make appropriate objections. Please communicate
nothing, the rates will take effect.
We must not confuse this brochure brochures
promotional for the various operations
can be found in the bank branch, which
we also find, for the particular product,
information on deadlines, amounts, interest,
commissions, interest payment, guarantees.

Rates
There are several things to know about the rates that we
the bank can apply:
“The price of each product or service can not be
superior to that shown in the tariffs. As noted,
we can get that price cuts if we are
a skilled negotiator.
“All trades must be in the brochure along with
its rate.
“The commission or expenses charged should apply
on operations or services actually rendered.
While the bank will not lend us money, we deduct
the effect, etc.. can not charge anything.
“The bank should make specific reference to service
claims of the Bank of Spain and the
rules governing the transparency of operations
bank.
When an entity provides a dossier of charges which
cumbersome and difficult to understand or manage, we can
demand a comprehensive summary of it, since the
Bank of Spain requires “the existence and availability
a brochure and prices and valuation rules so
invite your inquiry.
In product brochures that we cited
above can be detailed the same rates,
and at this point where we must be especially
cautious, because the interest rate on the transaction
can be very favorable and yet there may be
about high fees for early repayment
the loan, management, for study, etc..
The bulletin board
In each bank branch must be a board
ads located in an area easily visible to the public,
with the following information:
-Preferential interest rates (which gives the best
customers).
-Types that apply to overdrafts.
-Types that apply to credit account exceeded
or differential penalty on the interest rate agreed
concerned.
The prime rate shall be expressed in rates
annual percentage equivalent (TAE, ie with
expenses and commissions) and end up (at end of
contract).
Interest rates set forth in percentage rates
no annual percentage rates usually coincide with
nominal, which are the ones we hired. We
observe differences in hundredths, and even some
tenth of a point, because the calculation of the APR takes into
account over time and inflation).
Still, the published rates we can build
ask a reference for the negotiation.
Communications
The Bank of Spain also marks the minimum
to be contained in the correspondence that you send
the bank on our lending operations and
the use of banking services. They are:
-Amount of contributions.
-Amount of interest arising.
-Amount of principal amortization of loans or
credits.
-Period corresponding to the liquidation, the date
start and end.
“Interest rate applied.
Debits-implementing the settlement.
-New balance.
-Taxes liquidated, with the type and basis of calculation
on it.
The bank, if we refer to a loan transaction
Assessed preset at the time of signing the operation,
have the option of replacing all the details by the
inclusion in the contract of a table of payments and
depreciation, for, in which case the bank
only be required to provide documentary evidence of
the charges you made.

We have seen that we need money for our business.
We’re buying a new computer, or a new
playback machine or a vacuum packer.
You may also need the money yet
but we know we’re going to need in the future.
To pay for office rent, or quarterly payments
to finance.
We have not come to see that funding formula
that comes is better depending on the type of need
we have, but we can ask when
is better to seek financing.

We must never make the negotiation with an entity
Financial hastily, with the pressing need to
causes need money quickly.
To avoid it is best to plan a schedule of
searching and negotiating credit with some slack. If
we have time until our need for
funding to be effective we will be better
position to negotiate from a stronger position.
Then the bank does not consent to dilate excessively
their decisions regarding the application of the operation.
If your request is denied, the time
time has elapsed will be lost, and will impact
negatively in a new negotiating process.

 
We have analyzed the characteristics of loans
and credits, but these are the only instruments
involved in obtaining financing. Additionally,
employer may have the following products:
leasing, renting, factoring and trade discounts. Let
to define and see the features of each of them:

LEASING
Leasing, also known as lease,
is a simple financial instrument that allows us to
finance up to 100% of purchase value. It is a
contract by which a leasing company we
gave the use of a good (we are the tenant) for a
time period provided in exchange for a fee
monthly. At the end of the lease term, we granted
a call option on the property.
The assets are transferred to the equipment
(computer equipment, machinery, parts of
transport) or property for purposes
business or professional (industrial, local
business, etc.).. They are subject to stock leasing
or housing for use by particular holder
economic activity.
Leasing is a product that allows us to:
To fund 100% of the purchase price, higher than
percentage of other forms of financing.
· Flexible payment program allowing
adapt to our possibilities, depending on our
needs or expectations.
To fund the acquisition of the assets of our company
in terms consistent with the economic life of assets.
This makes it easier to have a balance sheet structure more
balanced, fixed asset financing resources
medium and long term period in which, moreover,
collect the fruit of the investment. This is known
as self-financing of investment and occurs on
particularly in the incorporation of goods that increase
production. The cost is going to pay to performance
one’s own good.
• The rental property, with the particularity that a
When completed the contract, we can choose to purchase,
to renew or surrender the property to the lessor.
To defer I.V.A. · incurred in the operation as it
bearing as they go to meet the quota,
fact that other forms of financing or payment of
own funds allow. There is only one exception:
at the time exercised the purchase option;
in which case the I.V.A. accrues in its entirety.
· Deferred tax deduction because it allows the base
tax or corporate income tax in the calculation
net performance of economic activities
our I.R.P.F. to double the tax depreciation
(or triple in the case of SMEs) to 100% of the
interests, reducing the financial cost of the tax -
operation.

RENTING
The renting is a full service, medium and long term
rental and all services necessary for the
proper functioning of the property. On completion
have no way of option.
Before the contract ended, we agreed with the
company renewal or otherwise of the operation. If not
renewed, the contract ends with the return of the property.
At the end of the lease the property becomes the property of
provider, who may sell or extend the lease.
Its purpose is the replacement of equipment by others to
completing the contract. Therefore it is thought
primarily to facilitate the use and enjoyment of
all those goods that require renovation
continuously since the specifications and
technology are particularly affected by the
risk of obsolescence.
Assets covered by renting are:
- Capital goods. Investment in technology, equipment
computer hardware, software, printers, solutions
computing, information technology, services
computing. Also all related assets
with the equipment in offices, factories, warehouses and
companies such as switchboards, computers
office, computer equipment, forklifts,
retractable, collect orders, stackers, etc. and, ultimately,
a wide range of machinery with the latest technology,
can form the basis of contracts for renting.
- Motor-cars for both retail and
professionals and corporate fleets. Also

are the subject of derivatives, suitable for passenger use
commercial vans up to a certain
tonnage.
Therefore, renting is a financial instrument:
· Very profitable for our company as it allows
dispose of an asset without having to immobilize
financial resources and can allocate resources to
investments with higher returns.
· Apply to goods that do not provide solvency
society and, instead, it is imperative their good
operation in the company.
· Very easy to access the property using a
rapid technological change.
· Allows the possibility to enjoy the good (car or
equipment) without making a down payment
important.
Improves adaptation to the technological evolution of the
existing equipment on the market and the evolution of the
company.
· Not immobilize the joint resources of goods
need continual renewal, providing greater
liquidity.
· Whose assets are not reflected in the balance of society,
lightening it.
· That simplifies administrative tasks, is treated as
rent more, including all services in a
single monthly payment.
• In the monthly incomes that are 100% expenditure
tax deductible, provided that it grant the right
a business or professional use.
· Avoid any controversy about the accounting
amortization of the leased asset, it is not
our property.
FACTORING
Factoring is a contract that is essentially
in providing administrative and financial services
by which we yield to a factoring company
the receivables of all or part of the billing
short term, making our short sales in
cash sales. Thus, the factoring company
she is the owner of the debt owed to us taking
the risk of insolvency and be responsible for the
accounting and billing.
The instrumented receivables can come in
invoices, bills, receipts, certificates or other media.
It can be interpreted as a way to prevent
delinquencies in the company and is widely used by the
companies whose financial situation prevents them from applying
a line of credit.
However, factoring is not just limited to an assignment
credits, but includes the provision of other
complementary services that are attractive
product such as:
“Insurance against insolvency of the debtor of 100%,
until a certain amount of risk.
-Classification of the creditworthiness of customers.
-Collection Management Billing assigned.
-Information on the evolution of recovery.
-Trade credit insurance on customers
purchasers, or receiving payment delivered to a percentage
of possible failures.
-Advances to a percentage of sales transferred.
A factoring transaction does not require us to take
All the above services but we can hire
factor with those who best for you.
We can distinguish various types of factoring in terms
of several criteria:
• If a financial institution we anticipated or not the funds,
distinguish:
* If the lender advances the funds to us, we can
request the advance of the assigned throughout
time from assignment to the maturity of credit.
* If the lender advances the funds we,
We factor services but do not require the
service funding.
• According to assume or not the financial institution risk
insolvency of the debtor, we find:
* Factoring with recourse: the financial institution assumes
the risk of insolvency of the debtor.
* Factoring without recourse: the financial institution assumes
risk of insolvency of the debtor rather than assuming
we.
The two components of cost of operation
factoring are:
· Commission usually ranges between 1 and 3% of the value of
the invoice and depends on the turnover of our
company, the average value of the bills receivable, the
maturity and risk diversification
transferred. The management of recovery or compensation
domicile effects is charged with the same commission.
· Interests: if loan financing
trade, usually 1% higher than

established for the bank discount and always
calculated on the share financed.
The advantages and disadvantages of factoring are:
Advantages
· Increase cash flow.
· Save time, save costs and accuracy of the
obtaining reports on clients business.
· Allows maximum conversion of the portfolio in cash
debtors and to ensure collection of all of them.
Simplifies accounting · since, by contract
factoring, our company starts to have a single client,
factor society that pays cash.
· Sanea customer base, as it decreases the
allocations and provisions for bad debts.
· Allows receive advance payments of the receivables assigned to the
customers.
· No debt. The company purchasing factor
firm’s debts, without recourse to refund in case of
not copper.
· Streamlines and eliminates administrative tasks.
Disadvantages
· High costs. The interest rate is higher than
conventional trade discount.
• The factor can not accept some of our
documents (invoices) or request for an operation the
option “with recourse” in which, in case of insolvency,
factor society does not take it.
Excluded · related operations
perishables and long term (more than one
year).
· We, as a customer, we are subject to the discretion of
society as a factor in risk assessment
of different buyers.
· For small business or microenterprise, such
operations have very high costs, so only
if our operation has high margins is
Interestingly this service.
TRADE DISCOUNT
The trade off is that the entity
Financial pays us the amount of a debt
not expired (eg a bill of exchange or promissory note)
after deducting interest and legal bankruptcies
relevant by the time between the advance and
the debt is due.
It is a quick way to anticipate the amount of receipts,
bills, notes or other negotiable instruments, that our
holds firm against third parties for operations
specific to our business.
The bank becomes the holder and is
able to repay the amount by presenting
to recover the debtor (delivered) on the expiration of the
letter or note.
The amount deducted is called nominal.
The capital is received net of interest
is called effective. In this operation, cash is
less than the nominal and the difference between both is the
called off.
The main users of the discount are
sole traders and small businesses. Is
a financial instrument for immediate liquidity
commercial operations with customers, to
advance billing. It is a good option for businesses
and companies unable to meet loan and
credits.
The costs of this operation are the
following:
• Interest rate applicable on the nominal quantity
you should charge.
• Commissions. They have set a minimum discount
but not a ceiling, which usually grow in a
proportional to the amount to deduct. These commissions
are:
“From study: is due in the time of confirming the
operation.
“From collection management: varies depending on the characteristics
of effects (resident or not, accepted or not, etc..).
-For return of effects.
-Brokerage notary public.
-Bells: Tax documented legal acts that
accrues at the time of discount, when
are not discounted bills of exchange, as promissory notes,
receipts …
Advantages
• We have greater liquidity.
• We cover the financing needs of
circulating.
• We yield the bills, notes and other negotiable instruments,
and the financial institution the amount we anticipated, and
responsible for the recovery at maturity.
• The purpose of the trade discount is available
advance the amount of sales made
third instrumented through commercial paper.
Supports both bills of exchange and promissory notes, receipts and
certifications.
These are the definitions of financial products
we can offer our financial institution
but let’s see what suits us better.