Warehouse warrant is the only legal property right certificate that a warehouse managing company issues to the party who lodges the goods, or owns the goods, indicating the proprietary rights of the goods in store. A holder of a warehouse warrant may directly draw the stored goods from the warehouse management any time by presenting the warehouse warrant.
A corporate client may apply to the bank for loans with its own warehouse warrant or warehouse warrants held by the third party as hypothecation.
The warehouse warrant should satisfy the following requirements
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1. |
It must be a warehouse warrant for goods that are fully owned by provider of hypothecation, bearing complete record of information deemed necessary. |
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The issuer of a warehouse warrant is usually a professional warehouse management company with modest qualification, recognized by the bank. |
Goods listed on the hypothecated warehouse warrant should satisfy the following conditions
1. Indisputable proprietary right;
2. Little invisible depreciation, not easily deteriorated in quality, fit for long-time storage;
3. Stable market price with little fluctuation, hardly becoming outdated;
4. With wide application, easy to be liquidated;
5. Explicit specifications, convenient for measurement;
6. Quality products in line with the State’s pertinent standards.
Service Advantages
1. Promoting domestic commodity trade, accelerating circulation of production materials;
2. Providing convenience for financing, improving efficiency in corporate capital fund use;
3. Expanding product sales for greater operational profit.