None of the customary standards and practices that apply to normal, conventional business and finance apply to private funding programs. It is a "privilege" to be invited to participate in a private placement transaction program, not a "right." The trading administrators and managers have a virtually endless supply of financially qualified applicants. All things considered, the trading administrators and their banks will favor the applicant who provides the best paperwork. An applicant should never underestimate what the trading entity's knowledge about him may be.

Failure to provide full disclosure will disqualify the disingenuous. Clients must first prove that they are qualified, not the other way around. Until the client is accepted by Compliance, the traders, and the trading banks, no placement can occur. The U.S. Patriot Act has introduced obligatory compliance procedures.

Face-to-face interviews with compliance officers and program management are occasionally required but generally not necessary. Any arrogant or demanding personality will be guaranteed to be rejected.

Only the principal owner of funds is required as a signatory. Corporations must empower an officer or director as the sole, exclusive signatory by using a corporate resolution. Not only do the funds have to be on deposit in an acceptable bank, they must also be in an acceptable jurisdiction.

It is felony fraud to submit documents or financial instruments that are forged, altered, or counterfeit. Such documents are promptly referred to the appropriate law enforcement agencies for immediate criminal prosecution. The practices, procedures, and rules are determined by the U.S. Federal Regulatory Authorities, open central bank program management, licensed traders, and trading banks. It is their decision as to whom to accept and whom to reject. Contract terms, yields, schedules, etc. are made to fit their needs and schedules, not the caprices or demands of the principals.

This marketplace is highly regulated and strictly confidential, and absolute confidentiality by the principal is a key element of every contract. A client who breaks confidentiality will precipitate instant cancellation. Finally, the submission of the application documents to more than one management group at a time is termed "shopping". If a principal "shops," he can expect that this fact will be quickly disseminated and known among the program management groups that maintain close communication and will then be accepted by none and rejected by all.