Thanks Alex. Much appreciate your kind advice and gesture. I believe he is genuine, I'm just a bit wary of the biz, as you had rightfully mentioned, I don't know this niche biz much. But am just trying to do my due diligence so asking around foe people who are in this line.
I disagree with Alex.
He has some validity in what he says, however!
In today's biz Environment, bank's are extremely pessimistic. They do not lend at all, and sometimes even with collateral. Therefore, if an bank doesn't lend you money, doesn't mean there is something wrong. That's a very amateur way of looking at things. Perhaps it works for where the gentleman is.
About friends lending to friends/ investing, that is entirely up to them and they need to be aware that their social contract (simple friendship) is taking on a financial aspect. Kinetic, please think also what will happen if the business doesn't go as planned?
Is your friend going to be the trader where he buys from one and sells to the other, or is he just a broker?
PO's: a bank simply will not loan money against a PO. Doesn't happen these days. It requires a trade structure with understanding of terms and costs etc.
Sounds like alex has really been burnt, and i fully understand. I've been on the receiving end of the same, more times than I care to remember.
If you really wish to help your friend, ask him to let you be in the company (if there is).
The trade of oil sales is quite challenging, so while it looks promising, i'd suggest you dig deep into the mechanism of the trade itself.
I am currently going thru 2 trades myself, and it requires sufficient knowledge especially of shipping terms. Otherwise, newbies will be burnt, and in the oil industry, they can smell you in 1 sec.
Hopefully this is a more balanced and somewhat informative perspective to you query.
