Loans for the smallest businesses

Guam is famous for many things, but one of the most famous aspects of Guam is the islands nature and landscape itself. It is one of the most beautiful places on earth, and many of the residents have stayed even during the harshest times because there is no better tropical or peaceful life.

One of the things that make Guam truly special is the many companies situated on the island that maintain the island itself. We have landscapers and irrigators who make sure that the island always stays clean and civilised.

Part of the trouble to maintain Guam is the supply of cleaning materials and the tools that the landscapers and janitorial staff need. You might not believe it, but we must ship bleach, sheers and all types of equipment from America directly using many of our trading routes because there is no other way to do so without it being expensive.

In an act designed to help Guam stay as beautiful as possible, we have recently initiated a charity scheme for the entire area, and fund all these products ourselves. One of the reasons we do so is the tax break that we receive from the government for being good citizens, but the real reason we do so is to keep the island beautiful.

You would be surprised how many tourists do not treat the island how they would expect to have their home treated. Sadly, during the tourist seasons there are many customers that throw litter on the ground or act like animals, and the profit we make from our business loan interest pays for cleaning their mess. In an act of irony, most of these businesses including my own would not exist without them.

While it is a lovely place to live, like any area there are negatives that make all citizens question just how things work. But nonetheless, it is part of the island now.

Tobacco Farmers

One of our better business loans that we were able to provide a customer was for his growing tobacco farm. While there are not many tobacco farms in the area, there are a few independent farms run by different farms. This is key, as the customer we offered a loan to wanted £650000 so he could purchase the remaining competitors and monopolise the industry in Guam.

Now, there is a misconception that monopolisation of an industry or market is illegal. It isn’t in most countries. The only times a monopolisation is illegal is for companies such as energy or gas providers, and even then, it’s mainly for western countries. The idea that a monopoly cannot be legal is fundamentally wrong, and sometimes, companies get around it by opening their own competitors under shell companies.

In Guam, monopolisation has never been illegal, but there is an unspoken rule that if you are to buy out a competitor, you must offer them the right to work on their previous location. This farmer was very generous in that he wanted to buy all the competitor farms, and still hire the original owners as the managers of those farms on a higher than average salary.

We decided that we would offer the loan, but on the condition that he had fewer years to pay it off than a standard loan, and on a 15% interest rate. We knew that we would make our side back since tobacco trade is still very popular around the world, but the reason we wanted the rate back sooner is due to the way he wanted to spend the loan.

When someone spends the loan within the space of a year, it’s always smarter to ensure that they pay back the loan in a fast time too. It saves on missing payments, or a completely default loan.

Lending for the government?

One of the hidden facts about Guam is the amount of fruit that we produce and sell every year. In fact, at one point we were producing more fruits and vegetables than we were physically able to ship out every year. That is why when a customer who approached us with the idea of expanding the shipping routes and his own transport company, we saw a massive profit maker on our hands.

With an increased shipping industry, we would be able to ship as many fruits and vegetables that the area was able to make. So, instead of just funding them, we offered to throw in an extra 20% on top of the loan with a stake of 10% of their company. As it turns out, they were looking for an investor, so we parted ways with the 20% (which was closer to 5% since there was 15% additional interest in the loan itself).

It only took three years for the dividends to start paying back as an investor. Once the investment had begun to pay off, and the company had begun to grow, the government backed the project due to the additional revenue it would bring in annually. This worked out well for us.

We do not invest in companies often, as we usually act only as a lender to ensure that any regulations are not broken, but it was part of the process for this company as we could act independently of our company.

Just because you work in an industry or provide a service, does not mean that your company cannot act as an investor in another company. Many lenders do not understand this and miss out on the chance to invest in some up and coming businesses they know will be successful. The trick is to make sure that you treat the loan of the initial service sperate from the investment itself.

A loan for a surfing school!

One of the best things about Guam is the many surfing schools that are situated around the island. There are so many tourists that come for a suffers holiday, most of them from locations you could guess. You would think that we would hate them by now, but they are some of the most respectful customers, and they do bring a lot of money for us!

So, when we heard that a few of them wanted to stay in Guam to open a surfing school, we were happy to welcome them. On average, we have 20,000 people who come to Guam for surfing, and the rest usually just want to relax by the beach. But some of the more adventurous couples or tourists want to learn to surf at some point too.

One of the fun things about having so many surfing schools is that the locals get to learn to surf for free. It was part of their initiative scheme when they wanted to open the school. They offered to teach the locals to surf with the tourists, but only when it was in season, which we felt was reasonable.

At first, we were worried it would not be profitable. We did not think many of the natural tourists would be interested in learning how to surf as it wouldn’t be a hobby they would pick up at home. But we were surprised to find that the school itself was very cheap to operate, and a few students a year would pay for most of the facilities.

In the aspect of affordability, it seemed like it would not be a risk to accept the loan, and so far, it has become more of a profit maker for us and the teachers than we ever thought it could be. It would have to be considered a success.

Guam Loans

Guam is a very small country in the middle of the pacific ocean, so starting an international loans company seems like it might be the worst idea on the island.

However, Guam Loans is a company that is dedicated towards offering loans for companies and small businesses around the world. We aim to grow b y offering the lowest interest rates possible despite the country or currency that we would be working with.

One of the key selling points for any loan is the amount that the one borrowing must pay back with interest. The higher the interest, the more likely a person would say no to that loan. If we can offer the best interest rates per country, then we will be able to slowly grow into one of the world’s biggest lenders.

Another issue many potential customers face is their credit rating. Many have bad credit, and they find it exceedingly difficult to find a loan that they can be approved for. This is another step that we aim to take to help grow internationally.

The more flexibility we can provide to our customers in respond to their credit rating, the more customers we may be able to work with in the future. This flexibility plus the low interest rates means we can work with more customers than already established brands around the world.

We believe these would be our key selling points, and what make us stand out from competitors in each country we plan to target and expand into. When it comes to finding a way to stand out from the average company per location, this would be ideal.

Guam is a very small area, so it would be difficult to solely sell our services in such a small state. However, using it as a base of operations is such an undervalued tool many companies have yet to use.