SOP

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1B+ SPOT BUYS GET ATTENTION, PERIOD AT THIS TIME. We see lots of this size selling sometimes in a matter of hours or minutes, The correct SOP process is to submit a package of documents and when inventory releases are published through our internal channels, we are positioned ready, willing and able with a buyer.

A typical transaction can take from 36 hours to one (1) month to complete from inception to closing depending on the complexity of the transaction and the consistency to follow this SOP. Some key tips to make transactions go smoother is review of all documents before submitting for accuracy, consistent buyer names, dated the same date, and buyer having sufficient proof of funds and the ability to verify the source of those funds at the time of A2A.

OUR SELLERS DO NOT PROVIDE SGS REPORTS, BILL OF LADINGS, OR LOCATION PRIOR to the BUYER PROVIDING CONFIRMED PROOF OF FUNDS DURING THE A2A.

THE CUT-OFF TIME for NEW DEAL SUBMISSION is by THURSDAY at 2:00 pm EST and will resume on SUNDAY at 8:00 pm EST

SPOT DEAL Standard Operating Procedures Procurement Process


Steps to a Transaction Overview

Successful Transaction

Buyer/Buyer Mandate, Facilitators and Intermediaries sign Non-Disclosure and Non-Circumvent (NCNDA). Buyer/Buyer Mandate issues the following documents DATED THE DATE OF SUBMISSION & WET SIGNATURES ONLY:

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STEP 1:

Completion of Purchase Documents

  • Completed Purchase Intake Form & Docusigned NCNDA signed by Buyer and Buyer Mandate, & Buyer Intermediary, this must be completed in it's entirety including addressess and roles they represent.

  • PO with language indicating an "up to " price and "up to $XXXX,XXXXXXXX.XX),

  • Letter of Intent referencing PO #

  • Buyer Mandate Authorization Letter

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  • BCL (preferred format) or Letter of Attestation from Attorney (with a BCL ready for the A2A call), all of this must match, same buyer on PO, NCNDA, LOI, and referenced in the LOA/BCL.

STEP 2:

Purchase Document Review & Submission

Buyers paperwork is vetted, and feedback provided by the Processing Team to ensure all documents are correct before

submission:

  • Once docs are completed according to the SOP, then the package is then submitted for processing.


STEP 3:

Pricing of Lots

  • PRICING OF LOT INVENTORIES - occurs after the documents are reviewed , a seller has been identified to have the lot on hand, and the seller indicates they have accepted the buyer package to perform their due diligence.


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    STEP 4:

    Setting Up A2A Call

    • Once the seller has completed their due diligence, the seller’s legal team will reach out to the buyer's legal team to complete the A2A.

    • - Seller’s Mandate will contact the Buyer’s Mandate confirm funds are available to verify existence (“PROOF UP”) before the Seller’s Attorney contacts the Buyer’s Attorney for Part One (1) of the 3 Part A2A Process.


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      The A2A call is a 3-part segment conducted over 3 separate A2A Calls:

    • The A2A call is a 3-part segment conducted over 3 separate A2A Calls:

      • Part 1 – PROOF OF FUNDS, the buyer will provide verification for sufficient funds to close.

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        STEP 5:

        A2A Call

      • Part 2 – Buyer and Seller’s attorney will negotiate the SPA, logistics, Seller will provide Redacted SGS Reports, Certifications, Proof of Life Documents, Negotiate the IMFPA and sign.

      • Part 3 – The Buyer and Seller’s attorney will review the Sales Purchase Agreement (SPA) and the IMFPA to finalize and sign. The Seller will provide the full SGS Report, Certifications, and other Proof of Life Documents.

      • There may be additional A2A’s to “PROOF UP on funds if funds are held in multiple accounts or through multiple sources.

      • In addition, there may be additional A2A calls to finalize logistics.


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        Seller and Buyer Inspection, Closing & Funds Payout:

    • Seller’s attorney will provide SGS inspection report, bill of lading, product location address and set up product inspection.

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      STEP 6:

      Inspection, Closing & Funds Payout

    • Buyer to perform product inspection, the buyer has an option to perform an in-person inspection or Live Video

      Feed.

    • Once the buyer signs off on the inspection, funds are released via escrow, initiated MT-799, MT-199. bank wire, or release of Letter of Credit.

    • The title will be transferred to the buyer from the seller.

    • The buyer either begins the process to remove the product from the site or has agreed to and all transfer of storage lease documents have been executed.

    • Commissions are distributed as per IMFPA within 24 hours from sale funds to appropriate paymasters.

Velocity Technology Solutions
Velocity Technology Solutions, Inc.
1712 Pioneer Avenue, Suite 253, Cheyenne, WY 82001
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