Founder & Executive Liquidity

Access credit against eligible holdings while maintaining strategic ownership — subject to governance and market rules.

What it’s for

  • Managing personal liquidity around vesting, option exercise, or compensation events.

  • Diversifying personal balance sheets without forced sales of core positions.

  • Bridging to planned disposals, buybacks, or distribution events.

How it works

  • Credit is secured against eligible marketable securities you already own (e.g., listed shares, funds).

  • Concentrated/single-name positions may be eligible, typically at lower advance rates and with issuer/sector caps.

  • Draw only what you need; interest applies to drawn amounts.

  • Proceeds can be used for tax, diversification, investments, or other documented purposes consistent with law and policy.

Why founders & executives use it

  • Continuity: Preserve strategic ownership and voting influence.

  • Timing: Align liquidity to vesting, trading windows, or pre-agreed disposal plans.

  • Discretion: Facility size and tenor calibrated to risk, governance, and disclosure settings.

Governance & regulatory considerations (Australia)

  • Insider trading laws: Use must comply with the Corporations Act 2001 (Cth) and your company’s securities trading policy (including blackout periods and clearance requirements).

  • Restricted/escrowed stock: Shares subject to escrow, holding locks, margin prohibitions, pledges, or control deeds are generally ineligible unless expressly permitted and documented.

  • Disclosure & consents: You are responsible for any director/executive disclosures, company consents, or exchange notifications that may apply.

  • Hedging limits: Company or plan rules may restrict hedging or security interests over unvested or restricted equity.

Key risks & terms

  • Market risk: Collateral declines can trigger margin calls requiring more assets or partial repayment at short notice.

  • Leverage risk: Borrowing amplifies losses as well as gains.

  • Concentration risk: Higher haircuts and tighter limits typically apply to single-name exposure.

  • Eligibility & documentation: KYC/AML, verification of beneficial ownership, issuer limits, and control arrangements may be required.

  • Costs: Interest on drawn balances; where relevant, custody, brokerage, and FX charges.

For wholesale clients only. Availability subject to eligibility, collateral criteria and risk assessment.

Important: Volans does not provide personal financial advice. The information on this page is general and does not take into account your objectives, financial situation or needs. You should seek independent financial, legal and tax advice before acquiring any Volans product or facility. Our services are available exclusively to wholesale clients as defined under the Corporations Act 2001 (Cth). Securities-based lending involves significant risks, including margin calls, forced sale of assets and the amplification of losses. Ensure you understand these risks before proceeding.