Thursday, 15 September 2011

Debentures


What are Debentures


The debenture is an instrument issued by company to obtain long term finance normally for more than ten years. The instrument is issued under company common seal and term of debenture are mentioned at the debenture instrument. 


The debenture can be classified into two types
  1. Secured Debenture
  2. Unsecured Debenture

1.Secured Debenture 


A denture can be issued against fixed charges or floating charge and in case of default such assets can be sold to pay the debenture loan. The debenture normally offer fixed rate of return .

2.Unsecured Debenture 



 The unsecured debenture does not carry any security for repayment . This facility is more like a trade credit for long term with and fixed rate of return.

1 comment:

  1. My name is Fajar. I live in  Bedono in Central Java   I was in a very chronic financial issue and terminal health situation some few weeks back. After all my search for assistance from friends and neighbors proved abortive, I feel there was no one who truly cares. I became so exhausted due to lack of funds to expand my business and my 2 kids aged 5 and 8 were also not good looking due to lack of proper care as a result of finance. One faithful morning I saw an old time friend of my late husband and I told him all I have been going through and he said the only way he could help was to direct me to a good loan officer in USA that also helped him, He explained to me on how he was financially down and how he got boosted by this loan officer ( Mr Pedro   who grant him 7,000,000.00 USD loan at an affordable rate of 2% rate . He further assured me that they were the only legit loan firm he found online. He gave me their email &  That was how i applied and was also granted a loan and my life changed for the good. CONTACT THE ONLY GENUINE LENDER Mr Pedro VIA    Email:    pedroloanss@gmail.com  to resolve your financial mess.  

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