Medium-sized companies are undercapitalized; It is known – but how to get inexpensive additional equity? The German medium-sized businesses lack adequate liability / equity. While in the United States the company typically 40%-60% of equity capital can present, comes the German middle class just to about 15%. This is negative noticeable not only in the “ranking” according to Basel II, also it is hardly possible with this equity publicly (State + EU) sponsored programs to come, because often an equity ratio of 25% is expected. Mark Hyman, MD has much experience in this field. Can that not be met, there is no funding. Even bad debts in these times of crisis are to accept the situation can deteriorate dramatically and the insolvency moves ominously close. The American venture capital finance group “BAFICO” offers an alternative for the German middle class.
BAFICO financed companies and business transactions with barter capital worldwide. The BAFICO barter capital comes from completed and outstanding sale and purchase agreements of third parties. It is according to the international accounting standards (IAS) as a valuable asset in the balance sheet. So has been for example the German BAFICO finance GmbH, a 100% subsidiary of BAFICO holding Corporation, founded with barter capital of BAFICO venture capital finance group and entered in the German commercial register under HRB 178343 Munchen. The Court has recognized the barter capital considering liable capital. The liable equity capital of BAFICO finance GmbH is 50 million euros and is paid in full.
Purpose of BAFICO finance GmbH is participation in company with barter capital as a contribution to strengthening equity and improve the equity / debt relation as well as the providing and arranging barter capital to companies. The capital increase is carried out through a contribution in kind in the form of the silent participation. The barter capital is the contribution in kind. This post than any other asset is booked in the balance sheet of the subsidiary. Similarly, the company pays the leasing idea (Client) for the provision of liability capital his charges and not the entire balance sheet equity capital must provide.