Closing Procedures

1. Client signs and returns attached Agreements by the Acceptance Date indicated.
   
   
2. Client remits the required deposit to the designated Escrow Agent by the stated due date.
   
   
3. Within five (5) days of the receipt of the deposit by the Escrow Agent, the Compliance Department of the Merchant Bank contacts the Supplier, the Buyer and each of their banks to confirm the transaction as described, carry out the required due diligence to authenticate the product and to confirm their financial ability of the Supplier and the Buyer to close the transaction.
   
   
4. Within five (5) days of the receipt and validation of the transaction and the posting of the required Performance Bond by the Supplier, the Merchant Bank issues the Documentary Letter of Credit in the form and the manner that has been agreed between the Supplier’s bank and the Merchant Bank.
   
   
5. Within five (5) days of the receipt of confirmation from the Buyer’s bank of its undertaking to issue the required Documentary Letter of Credit as agreed with the Merchant Bank, the Merchant Bank confirms to the Buyer and its bank the availability of the agreed Performance Bond.
   
   
6. Within five (5) days of the posting of the required Performance Bond by the Merchant Bank, the Buyer’s bank issues the Documentary Letter of Credit in the form and manner that has been agreed between the Merchant Bank and the Buyer’s bank.
   
   
7. The product is delivered and verified as specified in the contracts signed with the Supplier and the Buyer and the payment is made to the Merchant Bank.
   
   
8. Within two (2) banking days of the completion of the purchase and sale transactions the accounts are reconciled, the escrow deposit is returned to the Applicant and the net proceeds are shared between the Merchant Bank and the Applicant.