How construction financial pyramids work?
Construction pyramids are not similar to pyramids Egyptian at all. Though those, and others have a direct bearing on construction. Here only a result of their construction at them too different: the Egyptian pyramids (in any case, some of them) are recognized as one of wonders of the world, a result of construction of construction pyramids - crowds of the deceived shareholders and the criminal cases opened according to their statements.
of the Scheme of financial pyramids in the sphere of construction happen the following:
1. The real estate is under construction not on the money and not on the attracted banking capital, and on money of shareholders.
in the conditions of a prompt increase in prices for real estate even many real construction companies act this way. But there are some nuances which as a result can lead to two opposite results. In a case with the real construction company or a financial pyramid in favorable conditions (an increase in prices for real estate in a geometrical progression), you buy real estate for the money. In a case with a usual financial pyramid in usual conditions you are left both without money, and without real estate.
However while the cost of real estate grows at huge rates and demand considerably advances the offer, such firms can really finish construction (even, maybe, in time), especially, if this construction object - one of the first. And again to take the credit and to begin new “ building of a century “. At the same time the firm - a something ephemeral all the same will not invest the most part of the earned money in production - better to take the credit. Especially for firm which at any time can disappear, having left investors and shareholders alone with the fenced empty building site and bank to which this nezavershenka belongs as pledge for the credit.
The situation will change when the prompt increase in prices in the market of real estate stops. Shareholders do not stand in a queue any more to lay out the blood money and to buy real estate at a construction stage. And as there are no new shareholders and is not expected, “ nezavershenka “ turns in “ unfinished construction “ and then smoothly passes in “ unfinished construction “. At best the building site will be redeemed by some civil engineering firm and will suggest shareholders to pay in addition money, for this purpose that they could finish construction.
At the same time (or the participant of investment fund) register in the contract with a financial pyramid of a duty of the shareholder very accurately, especially the schedule of payment of money to them. Obligations of investment fund (or civil engineering firm in which you act as the shareholder) register the general words. Often a concrete date of completion of building of object and its delivery in operation are not specified. It is natural that any penalties investment fund or the civil engineering firm taking investors “ in a share “ and not hurrying to finish construction, does not bear.
2. A construction pyramid in a soft form. the Firm takes
money, promising to build the building. Formally construction begins: the building site is enclosed with a fence, even the ditch escapes. Several years the firm scrolls money, periodically announcing the shareholders temporary difficulties, then money comes back to participants of this game. It is natural that the cost of this money owing to inflation is already much less. Thus, founders of firm as if obtain the interest-free credit from the investors. Earn from this money and return back them. At the same time some investors even with relief sigh - all could lose, and not just the half-received profit.
3. Firm - the double. the Civil engineering firm (real-life) really begins with
construction. Other civil engineering firm with the same name (either very similar, or same, but registered in other settlement) carries out the advertizing company and declares property sale at a stage of incomplete construction. Even faithless buyers, having seen as the platform is quickly and actively built up and as the building is built, bear the money in firm - the double. Real firm “ does not notice “ advertizing of sale of its objects. When the second firm decides to stop a whip-round from the population (as a rule, it occurs before the end of construction), its office is liquidated and all participants of process “ rather fair depriving of money at the population “ run up. Naturally. Any court does not recognize the obligation of the real civil engineering firm to clients of her double.
Before giving the money to firm (even if your acquaintances and advertizing well speak of it) - give the contract to lawyers on check. This most smaller that you can make for saving of your money and nerves. Learn as much as possible about this firm. Be convinced that it has all necessary licenses and documents. That there are an approved project and a land allocation (though it is necessary to recognize that now even the real civil engineering firms hurry to earn and prepare documents already in the course of construction). And that there are no people already affected by its activity. Rescue of drowning - work of the most drowning.