Company Overview

Meet The Team
Institutional Advisor Team
Licensed Lender Advisors
Carefully selected veteran, multi-licensed, expert FINRA-member lender advisors responsible for handling all ABN client finance.
Double charging clients is strictly prohibited at A. B. Nicholas, along with any other unethical behavior.
Registered Agent Team
Registered ABN Agents
Our Registered Agents include over 2,000 licensed financial advisors, business brokers, commercial real estate representatives and financial planners join A. B. Nicholas as referral partners for our lending programs.
Serving the nation from Washington, D. C.
Organization Firm Team
Organization Partners
Over 30+ major franchise, business brokering, and commercial real estate firms
G. Donald Johnson
President, A. B. Nicholas
Principal, Diamond America & FranchiseLeasing. 20 years experience in business finance.
B. A., Fairleigh Dickenson University.
Dan Stafford
Sr. Consultant
16+ years in securities finance. Prior: U. S. Dept. of Commerce, International Trade Administration.
M. A., University of Chicago, Booth School.

About A. B. Nicholas

A. B. Nicholas began as a company brokering financing for franchisees and commercial real estate developers. When the Great Recession hit in 2009, our lending even for those with excellent credit became much more difficult. We knew we needed to find another option.

Securities (Stock Portfolio) Collateral…The Right Way

That year we looked over all possible funding alternatives and after a careful analysis, settled on the concept of a tailored securities-based line of credit. With securities prices mostly bottomed out, using a stock portfolio as collateral would be more likely to rise in the future eventually. And if the loan instrument was designed the right way, it would be an asset-based path into banks that might be parlayed into conventional business financing down the road.

But to make it work, we needed a custom line of credit without the frills, service add-ons, fees, easily accessed but without the standard mandatory brokerage management fee especially, which was sometimes as high as 3% of the value of the portfolio. “Just financing” was our mantra, but would any brokerage or bank be willing to do that?

Our clients wanted financing-only, not necessarily expert advice. That was not easy; every brokerage and bank in the country was pressuring its agents to bring in cash via fees. So after numerous turndowns, we finally discovered a licensed FINRA-registered advisor with a background in real estate, working at giant Morgan Stanley, who understood our concept and was willing to give it a go. After tightening up the compliance parameters and tailoring the financial product to a pure, borrower-type market (not an investor market), LeverageLine was born.

What’s In It For Them?

What’s in it for them if there are no mandatory fees? Simple. Any new account that come in, even if not managed, is calculated and credited to that Agent for purposes of bonuses. The more new LeverageLine portfolios he/she brings in, the higher that Agent’s bonus is going to be each quarter.

No company overview would be complete without discussing our clients, too, who helped define LeverageLine product from the start.

Our Clients

The type of clients we serve demanded no mandatory lender-side fees, very competitive interest rates, high loan-to-value, interest-only repayment, and speedy turnaround with a solid path to conventional financing later on.  From our first major licensed lender-partner to our current three major providers and  FINRA-member advisors with stellar backgrounds, the LeverageLine stock loan program was gradually able to achieve a wholesale-rate stock-secured-loan with an eye on the future.

Qualify, Quote, Hand Off

Our staff at A. B. Nicholas is tasked, by agreement with our lending partners, with ensuring portfolio eligibility. For eligible portfolios (see requirements) we help prospective clients understand how the LeverageLine process works and answer any questions about their collateral stocks.  We issue our term sheets with figures and approval from our licensed lending partners, and deliver the offer securely to the client.  In this way, our term sheets are pre-approved financing quotes usually delivered within hours of application.

Our duties are simple: we confirm eligibility, answer questions, and move the application to the lending institution securely. We then build the lenders’ terms into a clear term sheet and deliver for signing via a secure, encrypted digital system.  Once signed, we set up an introduction to their partner within the institution, the lender advisor — an experienced, licensed FINRA-member professional and an expert carefully selected for knowledge of securities-based lending services, franchise financing, and commercial real estate financing, with an impeccable record and multiple licenses.

You’re in good hands with A. B. Nicholas.

No Mandatory Lender-Side Fees

A. B. Nicholas is, however,  compensated a percentage of the maximum credit line, a one time charge similar to points on a mortgage, payable after we’ve delivered as promised from the credit line 03desired or by credit card. We carry out this work as a business enterprise service for our clients (not the lending institution) and receive no compensation or incentives of any kind from our licensed lending partners. Our duty is to provide the best securities finance we can, and nothing less.)

A. B. Nicholas serves many of the big franchise and business brokering firms, should they need a securities finance component for their clients.  These firms  trust A. B. Nicholas to deliver, and we are proud to say we do — every time.

Contact Us for Questions

We can be reached at 202.379.4744 from 9AM-7PM (EST) Monday through Friday, and 10AM to 2PM on Saturday. We return all calls promptly and you are always welcome to leave a voicemail after hours. You can also contact us securely online here. 

  

Apply Today!

202.379.4744   |  support@abnicholas.com
A. B. Nicholas Securities Finance LLC
1629 K St., NW, Suite 300, Washington, D. C. 20036
Tel: 202.379.4744 Ext 1  |  Mobile/Text: 240.252.8441
Web: https://abnicholas.com  |  Email: dan.stafford@abnicholas.com
Twitter: @ABNConsultant  | LinkedIn: http://bit.ly/2gsJXMq
Copyright © 2018, A. B. Nicholas LLC | ABN Privacy Notice | ABN Disclaimer

 
Please note: None of the the statements should be treated as tax advice; always consult with a licensed tax professional prior to any decisions involving LeverageLine and tax treatment. Please also see our Disclaimer prior to proceeding with any financing. To review how we protect your personal and application information, please read our Privacy Policy. As with all issues related to stocks and other securities, there are risks of the portfolio value dropping and the requirement that you take steps to reallocate or pay down your line in order to bring it into compliance if value drops below approx. 25% and you have taken the maximum amount. 

 

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