Welcome to SGC ----- Structured Growth Capital, Inc.

Question: Who is Structured Growth Capital?

Answer: Structured Growth Capital ("SGC") is a leading financier in a highly specialized area of corporate finance known as Monetization Financing. Our unmatched ability to tap deep reservoirs of institutional capital enables us to monetize transactions for our clients efficiently, effectively and inexpensively. We uniquely facilitate transactions in a broad array of industries and offer many significant structural advantages over traditional financing. Completed through an efficient streamlined private placement, Monetization Financing can provide funding of $5MM or more within 30 days.
Simply stated we offer the best financing package available to small and medium sized companies - low interest rates, require no equity, board seats, covenants, or oversight and done in a quick and efficient manner. What is needed is for the Borrower to have an excellent relationship and/or offer a much desired solution to an investment-grade rated entity, such as a large corporation, school district, college/university, and local/state/federal government. We are able to fund those entities in need of capital today by taking assignment of long-term unconditional future payment obligations which these entities have or could obtain from an investment-grade rated entity.

SGC, in partnership with NDH Capital Corporation exclusively offers businesses access to capital via its unique financing structure which is the result of relationships built over 15+ years and having successfully transacted over 300 financings in excess of $3 billion.A list of successfully closed financing transactions is available upon request.

Question: What sectors or industries are eligible to be included in this program? Answer: There are virtually no industry limitations where a transaction may come from or for what products or services are financed.

Question: Do you have examples of the types of transactions that can be financed?

Answer:
Examples include transactions in the following segments: service and supply agreements, license agreements, energy savings contracts, structured settlements, company or businesses unit acquisitions, deferred compensation for professional athletes and creative professionals and waste to energy and other “green initiatives”. There is truly a fit for any type of business where there is an investment-grade-rated entity securing the payment obligations.

Question: What is the financed product your Program offers?

Answer: The product is a unique financing vehicle of institutional size transactions where there is an absolute and unconditional obligation from an investment-grade rated entity. Any recipient of such an obligation has the ability to monetize these future payment streams at institutional rates. Some samples of these obligations are listed in the previous answer above. Samples of repayment structures include maintenance contracts, operating agreements, leases and many other forms of promises to pay.

Question: What is the interest rate? Answer: Interest rate is determined by a combination of the credit worthiness of the Obligor, where treasuries are trading at the time we circle (lock) a rate and the length of repayment term. These are institutional rates, which guarantees an extremely competitive rate; based over treasury and fixed for the entire repayment term.

Question: What are the minimum and maximum repayment terms? Answer: One to twenty years.

Question: What is the time frame from initial application to settlement?

Answer: If all the stars are aligned we can close within two weeks however, typical turn around is four weeks. Our in-house counsel reviews the documents provided to determine if the obligation is absolute and unconditional. Any needed modifications to those documents are provided by us in writing. Depending on how quickly the respective legal counsel can turn the documents around will ultimately determine the time frame to settlement.

Question: When does the entity receiving proceeds in the transaction get their funds? Answer: All proceeds are paid in entirety at time of settlement in the form of a wire transfer.

Question: What transaction sizes are eligible for this program? Answer: Transactions can range from $5 million and up.

Question: Who are your finance sources?

Answer: We have a number of institutional investors (major insurance companies and pensions) acting as our finance sources. We have been able to develop excellent relationships over the past 15 years which allows this excellent program to be offered. Depending on who the rated entity is, industry type and other deal variables will determine which finance source is used for a particular transaction. All parties involved will know who the source is prior to settlement at the time we have a loan commitment and a non-circumvention agreement in place.

Question: How are these obligations secured? Answer: The payments are secured by the absolute and unconditional obligations of an investment-grade rated entity and we file UCC’s against the repayment obligations.

Question: Does a third party seller of equipment have any contingent liabilities in the future for any circumstance of non-repayment by the Obligor (Purchaser of equipment)? Answer: Transactions are non-recourse to our clients. 100% of the recourse is to the Obligor making the payments

Question: Are board resolutions and corporate certificates required of the Obligor to settle these transactions? Answer: Yes.

Question: What benefits do you have over other financing programs?

Answer: We offer a great number of benefits as we are more flexible than any other traditional or non-traditional lending source. The simplest way to view this program is to know that the financing structure is completely flexible in the areas of structure, term, scheduled repayment amounts and deferred repayment periods. This is on top of the fact that we are easy to work with and provide unparalleled service.

Question: How does SGC’s funding compare to traditional funding?

Answer:

	Structured Growth Capital	Bank	Venture/Investors
Funding Applications	No Industry Limitations	Traditional	Start-Up Expansion/Growth/Mezzanine
Recourse	No; Funding is non-recourse to borrower	Yes; Funding is recourse to borrower and often personal	Yes: Funding is recourse to borrower
Funding Scope	$5 million and up	Limited by department and credit review committees	Highly variable and dependent on fund size
Loan to Value	100% net present value of future payment stream	Typically 10% - 50%	Typically 10% - 70%
Interest Rate	Fixed; Competitive	Not Fixed; May be competitive	Not Fixed; Not Competitive
Fees or Equity Grants	None	Closing & renewable fees	Typically Fees AND Equity
Time to close	2 – 4wks	90+ Days	6mos – 18mos
Post Funding Reporting	None	Quarterly	Monthly/Daily
Repayment Structure	Customized to suit specific cash flow needs of project including option to defer start of repayment for up to 10 years	Restrictive/Rigid	5-7 yr 10x Investment return expectation
Covenants & Reporting to Credit Agencies	None	Restrictive/Rigid	Extensive and complicated
Security/Collateral	Assignment of unconditional promise to pay from creditworthy entity	1st Lien position on tangible assets	Control
Oversight	None	Audits, frequent reviews – life of loan	Board representation
Documentation	Efficient – prepared in-house	Litigious and Extensive	Litigious and Expensive
Relationship Dynamic	Team/Collegial	Supportive relationship manager , adversarial senior management	Adversarial

Question: SGC work with Brokers and other types of referral sources? Answer: Yes. Because of the benefits that SGC’s Monetization Financing offers as well as the barriers to entry for even the most sophisticated finance companies, SGC has a very qualified and loyal group of referral sources including bankers, brokers, private equity firms, lending institutions, and more.