Letter Of Credit Security Agreement: Fill & Download for Free

When applying for jobs, you make sure your resume and cover letter are well written, up to date, and targeted to show that you are the best candidate for the position. When you go to an interview, you do thorough research on the company beforehand and practice answering typical interview questions. However, one thing you might not think to prepare for is an employment credit check.In addition to background check, some employers also run credit checks on applicants and use that information to make hiring decisions. A National Association of Professional Background Screeners (NAPBS) survey reports 95 percent of employers conducted some type of employment background screening, 31 percent ran credit checks on some applicants, and 16 percent checked the credit of all applicants. A CareerBuilder survey reported that 29% of employers who responded checked credit. Most background screening occurred after a conditional job offer.Most often,employers check the credit of those applying for jobs that deal with money. For example, jobs that require confidentiality and financial integrity (including positions in banking, accounting, and investing) will likely require credit checks. The best way to prepare for an employment credit check is to know what is in yours.What is and what is Not Included in an Employment Credit CheckAn employment credit check is one of many common background checks. Employers who check an applicant's credit typically use a third-party company. An employment credit report includes identifying information, such as your name, address, previous names and addresses, and Social Security number.It also shows the debt you have incurred, including credit card debt, mortgage and car payments, student and other loans, and your payment history of those debts and loans—including late payments.However, there is certain information that is not included in an employment credit report. For example, your date of birth is not included on the report. It also does not include your credit score.Laws Restricting Credit ChecksThe Fair Credit Reporting Act (FCRA) is the federal legislation that sets the standards for employment screenings, including credit checks.Under the FCRA, here are some things employers must do (or must not do) when conducting a credit check on a potential or current employee:The employer must get your written approval. Before an employer conducts a credit check on you, the company must notify you in writing and get your written authorization. If you do not consent to the credit check, the employer might go forward with the interview process, but he or she may also reject your application on the spot.The report can’t include old information. Generally, the credit report cannot include negative information that is seven or more years old. It also cannot include bankruptcies that are more than 10 years old.There are laws regarding bankruptcy information. According to the FCRA, you cannot be discriminated against solely because you filed for bankruptcy. However, bankruptcies are public record, so it is easy for employers to obtain the information.You must be told if the report is used against you. If the employer does not hire you because of the report, the company must inform you. The employer also must give you the contact information for the third-party agency used to get your credit report.You can see what is in the report. You have a right to receive a copy of your credit report for free. You also are entitled to a free report any time it is used against you by an employer.You can dispute the information. If the data in the report is inaccurate, you can dispute the findings.Legal Issues with Credit ChecksThe Equal Employment Opportunity Commission (EEOC) oversees employer practices regarding applicant credit checks. If you suspect that an employer has used credit checks to negatively impact candidates because of race, ethnicity, age or gender, you can report the organization to the EEOC.Most states allow employers to utilize credit reports in a fair and equitable manner within the hiring process. However, some locations have regulated the use of credit reports and placed restrictions on how the information can be used. California, Colorado, Connecticut, Hawaii, Illinois, Maryland, Nevada, Oregon, Vermont, Washington, and other states have statutes on the books limiting the use of credit reports. In these states, the use of credit checks is restricted to specified occupations or situations where financial transactions or confidential information are involved. Many other states have legislation pending that might prohibit the use of credit reports by employers, or place restrictions on their use.In addition, some localities also have restrictions and prohibitions on job applicant credit checks. For example, New York City prohibits credit checks on most job applicants. Exceptions include top-level executive candidates with fiduciary responsibilities, and applicants who would manage assets or oversee financial agreements worth more than $10,000. Chicago and Philadelphia also are among cities that restrict the use of employment credit checks.How to Prepare for a Credit CheckThe best way to prepare for a credit check is to get a copy of your credit report as soon as possible. This way, you can check for any issues or errors, and dispute them before an employer sees them.You are legally entitled to one free copy of your credit report every year from each of the three nationwide credit reporting companies.If you know that a credit check is going to turn up questionable issues, it’s a good idea to be honest with the company and address those issues up front, but only when you know for sure that the employer intends to do a check. It is best to mention such issues on a "need to know" basis. When the employer asks permission to run the check, you should explain as succinctly and honestly as possible what they might find, and what you have done to rectify the situation.Particularly if you went through a period of unemployment, or some other financial hardship—which so many of us have—the hiring manager might make a case for offering you a job despite what they find out about your past.I hope this helps someone, put a smile on your face and raises your hope that you can give that dream job a shot.Have a fulfilled life of yours.

Well, the 'simple' way is to simply throw a dart at a dartboard. The real question, of course, becomes, "Will it be accurate?" Nine times out of nine, the answer will be, "No."That's another way of saying, I think your assumption that there is a simple way is problematic.Understanding your cash requirements involves building a financial model from the bottom up.That means having a very detailed vision of the next 18 months both in your head and on paper.One-Time Start Up TasksStartup costs are often difficult to estimate. Unless one is experienced in setting up companies, chances are the first time business owner is learning as he/she goes. It's probably a good idea to consult with accountants or other business owners as to what they went through, so you don't make the common mistakes.What does it take to set up a legal entity? Do you know? If not, find out. The Internet is full of information that will tell you step by step how do this.Normally, setup fees are nominal, but you do require to be registered with certain agencies to do business. If I were setting up a company in California, for example, I'd consider the following required registrations:Internal Revenue Service (federal income tax, payroll)Franchise Tax Board (state income tax)County Clerk (fictitious business name, if applicable)Board of Equalization (sales and use tax)California Secretary of StateLos Anglees County Business Licenseet ceteraIt is probably a good idea for you to consult with an attorney, to draw up the legal paperwork required for you do business, such as Articles of Incorporation, Articles of Organization, Charter, Bylaws, Shareholder Agreements, Form Employment Letters, Non-Disclosure/Convent Not To Compete Agreements, etc. These are generally one-time costs.Let's Start Our ForecastThe best approach, I think, is to start by setting up a simple spreadsheet.Revenue:Your revenue during the first year will be difficult to forecast. I remember my first job (a large, stand-alone retail store). We (meaning everyone who had a hand in the business) predicted $4 million the first year. We eventually came in at $1 million. The extreme difficulty with revenue predictions is that there is no historical track record to form a reasonable basis for your guess. Consumer acceptance, marketing, traffic, price points and a variety of other factors play important roles.You may be developing a business where you'll know it will take two years to get your product to market. If this is the case, the forecasting becomes much easier (notice I did not say 'easy'), as you have guessed this portion of your financial model with 100% accuracy. Zero.I think the best approach when revenue is certain in your immediate future is to guess very conservatively (one of the principles of accounting), when making your estimates. You do not need or want the added pressures of scrambling to raise funds when you're trying to focus on product development. You must do this cautiously, as inventory may be tied to revenue. Buy too little, and you may be losing a lot of upside opportunity. Sometime things, depending on your business, should be monitored ultra carefully.Expenses:Expenses can be broken down into two major classifications; investments into 1) current and long-lived assets and 2) operating expenses.Inventory (Current Assets)If you are a buy-and-sell kind of company (let's say a retailer), inventory will be your greatest concern and the trickiest to forecast. Your purchases during this volatile period will be dependent upon how many units you project you'll be able to move (sell). You'll need to create a month by month inventory planning model which will consider your lead times, costs for inventory purchases, freight and duties (if applicable). The basic formula for this model will be:Beginning Inventoryplus Purchaseminus: Ending Inventory------------------------------equals: Cost of Sales===============Make assumptions on what margins you will achieve, determine your optimal inventory levels for your store, and with a little algebra, you'll be able to derive the cash requirements needed for purchases (i.e., inventory replenishment).Capital Expenditures (Long-Lived Assets)You're starting with nothing and will need to create an intial outlay for the long-term assets used in your business. Close your eyes and picture yourself 18 months from now, running at full speed. What do you see around you?ComputersDesksChairsOffice improvements (flooring, painting, window treatments, construction of offices, lighting, etc.)Company vehicleset ceteraMake a list of everything you'll need (and how many) and start making some phone calls if you haven't a clue how much each cost. Even if you make a reasonable guess, it's always a good idea to just jump on the internet to determine the fair market value of these items, just as a sanity check.Operating ExpensesOperating expenses are called 'period costs' in accounting terms, which mean that the nature of the expense is either consumable in and/or recurring.Examples of operating expenses are:Payroll, related taxes and fringe benefits (including bonus, overtime, and temporary help)RentUtilitiesTelephoneInsuranceOffice suppliesSmall equipment (non capitalizable)Professional services (accounting, legal, consultingAutoBank chargesDues and subscriptionsMeetingsPostage and courierSales promotionTraining and seminarsTravel and entertainmentOperating leasesSecurity and alarmsTaxes and licenseset ceteraMost of these expenses can be reasonably estimated, due to their fixed or non-volatile nature. However, other expenses can be tricky. You may not be ready to hire the 50 people you will eventually need. Most company's ramp up the headcount gradually, based on projected need. If you're not forecasting double your sales from month six to month 12, there is no reason for you to forecast double the payroll (in most cases). Some expenses, such as advertising or credit card fees, will generally be a function of sales, so it makes sense to assign an assumed percentage to those types of expenses.Below is a very rudimentary financial model that took only a few minutes to set up, demonstrating how cash should flow from month to month. Actual is yellow, pink is the forecast.Without a road map such as this, you're flying in the dark and might as well go back to throwing darts.LiquidityIf you are able to do so, it makes sense to arrange for a credit facility (line of credit) in case run into liquidity problems. At a minimum you should have a plan to raising additional capital, if required. If neither of these are viable options, be prepared to adjust your 'vision' (i.e., budget) accordingly. Being insolvent will wreck your plans and paralyze your operations.The above is a very broad-stroke overview of the process, but should be good enough to get you started (sorry I don't have time to write 100 pages that this subject really deserves). Consult an experienced accountant to guide you.Good luck.

WOW what a perfect opportunity for gross generalizations. I can find no end to generalizations that will offend at least a dozen flavors of each national culture.This is a veritable bonanza of political offensive language… cannot wait to get started and trigger the BNBP minions.Long answer, walk away now.Germans, they are right and you are wrong.Take it or leave it. You need a German to sell a German. I’ve had five German partners in three tech ventures. Its absolute bliss working with Germans until its not.They make the best beer and the best bread in the world, but the food is not fit for a stray dog you took pity on. Why??? I don’t have an answer except to speculate they are incapable of improvising on the variability in nature’s bounty. They make great bakers because that’s a formula executed on flawlessly.They do the simple stuff admirably and the complicated stuff horribly. Never ever under any circumstance should you let a German call a far east vendor, they don’t get the whole concept of saving face.They invented idealistic progressive socialism, everything and everybody is subject to the law, and for everything there is a well thought out regulation.Everything is prohibited unless specifically ministerially permitted, regulated and approved. Everything, including when, where and how you are allowed to take a piss.One Morality, One Law One State. If you deviate from the regulation, you are immoral, thus a criminal.If you don’t pay an invoice you go to jail. If you declare bankruptcy you go to jail. If you do not honor your mandatory two year warranty, you go to jail. Receivable insurance is 0.002%. You can sell the receivable so cheaply, that its not worth carrying it.Germans do not like to take on any risk, until such time as they go bat shit crazy on you and blow everything up. They are serial offenders, and for millennia have been known to go all Bezerker on you.Germans are boorish when sober, and fun when drunk. Hilarious actually.Brits, are pragmatic, and can instantaneously price the risk. That’s really the only thing you need to know.They will put things in writing but will not necessarily sign contracts.Everything is permitted unless specifically prohibited. The law begins where morality ends. That’s the roman jurisprudence part of the equation.Everything else can be freely resolved and negotiated via a Common Law Contract. That’s the English common sense pragmatic part fo the equation.Insure against the remaining eventualities, because its mandatory. They take inspiration from their maritime tradition. You are free to float it as you are free to sink her. If you charge for passage, get a qualified captain and insure it. The insurer will tell you if he wants to insure the vessel or not. If you cannot insure it, you cannot charge for passage.Both sides have to make money, or the losing side will eventually walk. Its the first principle of reciprocal interest, that the other party’s interest is as important as yours.If you did not credit insure the receivable, and your counter-party goes under, its not an Act of God, its an act of gross negligence on your part. Receivable insurance 0.01%.Brits will not even pretend they know how to cook. They leave that activity to the bloody foreigners.Brits are funny as hell when sober, and boring when drunk. But it takes vast amounts of God’s Scottish Nectar to get them drunk.A Yorkshireman is worth two Londoners, four Welsh, six Scots and a dozen Irishmen. Challenge that when the first bell is rung, and you will get a proper response. Never met a Brit that could still stand on his two hind legs, who walked away from a good fight.On the sheer genius of the British:Americans shoot first and ask questions later.They will make every mistake in the book, every mistake not contemplated in the book, and then eventually will land on the absolute perfect solution. Its the land of iterate until you get it just right.Crazy reckless about risk. If you fail you fail. Try again. If you do not try again you’re a loser.Anybody can have an attitude at twenty. The real acid test is having an attitude at forty after life has bitch slapped you around enough times for you to know better. Americans have unconquerable attitude.Americans don’t like old people. Prepare to negotiate with youthful inexperience.Americans are highly litigious and will contract the smallest details. The reason is that spoken and written American is an idiomatic construct devoid of grammatical structure. So they use jurisprudence as a construct to communicate. But it actually does not mean they are contracting in the inviolate sense of the term. They are communicating using latin grammar, nothing more.Americans don't give a fuck if the other side has the losing hand, and as a matter of fact will pride themselves for playing a zero sum game. Bankrupting your opponent is the object of the exercise. Americans hate losers, and in the US there is always a winner and a loser. A draw is a cause described as a national calamity.A lawsuit for an unpaid invoice will run you $60–100k. Anything below that is not worth litigating. In California you will not get a day in court short of playing chicken with a recalcitrant judge, and even then, it will take you five years to be told to get lost. Its no better in NY, but I once collected an unpaid invoice in NJ in under six months, so there is hope.Hope is for fools, assume anything under $100k will not get paid. Credit insurance is 2% of invoice value. I’ve even paid 2.2%. I should have paid more…20 years ago the food was shit. Like standardized boilerplate strip mall shit. Those that can do the british thingy, and will pay whatever it takes for good food. Like everything else in The Land of the Free, the Land of the Brave, its feast or famine.Americans will take on risk they do not understand, because they can.In Europe a house is built to last twenty generations. In the US a house is built to last twenty years. Money therefore flows with reckless abandonment. Got to love it, everything is always new. Americans love new, hate the old. Yesterday is old, tomorrow is today’s new.No, no you can't collect on that. Americans simply do not pay their bills.In the last twenty years the US has gone from the land of independent business owners to the land of Monopoly. You do not negotiate with the monopolist, no you don’t. Assume everybody else will not pay you because they were on the receiving end of a zero sum game they had no chance of winning.Unless of course you are contracting with the monopolist, in which case you have already lost the negotiation.Its the apparent contradictions that make the US the greatest nation on earth. When all is lost, we get that crazy Irish fight that comes from the heart, and we get shit done.France represents Administrative Ministerial Excellence. Its the best run country in the world. They invented the modern ministerial administrative State.You can open a company in one day, or close it in one day.If you mail an invoice in the morning the postal service will deliver it the same day.Its socialism run by an exceedingly well trained elitist cabal of technocrats.Management is pyramidal. You can talk all day, and get twenty managers and twenty engineers to agree to something, but at the end of the day there is one dude sitting at the top of the pyramid, and its his decision to make, and his only.You have a colloquial grammar, a formal grammar and formal ministerial grammar. You speak a different French depending on who you are dealing with. Your subservient position is reflected in the actual grammar.That administrative excellence comes at a cost, namely an effective 70% tax rate. Which means that whatever you expect your counterparts to the negotiation to make, will be nullified by the tax rate. Which means you cannot appeal to their greed.The closest analogy I can make about their engineering is to compare it to the programming language ADA, which was designed by a Frenchman after all. Everything is upfront, and everything follows from first principles. All rules are known. If you play a three card shuffle, lets say you try to use a C with classes, they will logically point out the con, and then proceed to savage you. They are savagely intelligent and well trained and will not tolerate a fool trying to get one over on them.If provoked they answer to nasty with nasty. They can get real nasty if you try to push them around. You can relish in scientific rationalism, until such time as you trigger the Jacobin Terror.They take their negotiating skills very seriously. They are expert diplomats. They got militarily savaged by the Bosch three times in a row. They have not won a war in nearly three centuries, and yet they have a permanent seat on the UN Security Council, and the Krauts do not. They got nukes, and the Krauts do not. They got a nuclear powered navy, and the krauts cannot. Get the picture?On a per capita basis they are the richest nation on earth.They pay an effective tax rate of 70% which means that fundamentally, they don’t give a shit if you walk from the negotiation or not.They pay their bills, because its mostly “not my money”. You insure the receivable for negligible amounts.Food, women, liquor, perfection. Okay so three quarters of the menu is culturally appropriated from the Eyetalians. Just don’t tell them that, they get real patriotic if you scratch below the surface. Standards of excellence have fallen as of late.The entire entrepreneurial class has moved to London.I worked for Russians bandits for two years. Tough. They prize strength as highly as intelligence. They have the social skills of brutes, so don’t get offended.There is honor among thieves, and they are an honorable bunch. You don’t need contracts because if you screw them they will get even. Like even even.They do what they say they will do, and no more.As Putin told a British journalist who was asking stupid questions “Why would I hang a man destined to drown?”Russians can see things coming from twelve time zones away. Which means that if you are playing checkers, they are playing chess.You can trust a Russian with your life, if that's what was agreed. Otherwise you can trust a Russian to pull a mercy shot without blinking.I like Russians allot even though they are complete sociopathic bastards. There is no fancy veneer, no polite talk, no sugar coating it. I once programmed a Zilog knockoff in assembly for a cash register. I got a call telling me it failed in the field. I asked why. The answer was typically Russian “Because if you turn it off, in the morning its minus fifty celsius and it will not turn on…” Just the facts, only the facts and nothing else but the facts.People that express opinions are destined to drown.Slow rivers run deep, and their friendships run deeper.In WWII the USA took 427,000 casualties, even less than the Fighting Eyetalians (470k). The Russians casualty total was, million more million less, 26,000,000 dead. And then some more when they defeated the Japanese Imperial Army in occupied China.If you show up with a puffed up chest looking to appear strong, they will laugh at you. They do not respect personal weakness.Forget contracts, they do what they agree to do.Collect upfront, and deliver what you agreed to.You left out Koreans, Chinese, Japanese and the Eyetalians.I will be brief (yeah right):Korea:Super smart, like really smart. They have no notion of morality or ethics or law, its completely alien to their culture. Historically they are the punching bag between Imperial China and Imperial Japan, and were conquered by neither.They trust no one and nor should you.Any deal structure is possible because they are smart enough to work any deal to their benefit. If they don’t like a deal, they will renegotiate it no matter what you agreed to or what the contract says.If the deal is “smart” and is to everybody’s benefit it will get done, on time, on budget and as agreed.If they realize you played a zero sum game to their loss, they will not honor the agreement.I have done million dollar deals with Koreans on a hand shake. I have done deals on the singular basis of a letter of credit. Know what you are doing.Korean companies will be happy to let you make money, if they are also making money. The deal is not done on trust, but on well executed intelligence.You could eat off the floor in Seoul. NYC by comparison is an open sewer overflowing with rats. The cabbage will kill you though, I promise you it will.Japan:Honorable, honest, hard working, precise and thorough.The nail that sticks out gets hammered back in or disposed of. There is no concept of individuality. Everything is “we”.Traditional to the point of obsession, they do not like foreigners but have been known to tolerate reckless uncouth unsocialized Americans with good humor. Or not…Honourable, you do not need a contract, ship them the goods and they always pay the invoice. Japan has the lowest number of lawyers per capita of any nation on earth.Why would an honorable Man need a lawyer? Is his word not good enough?Women are treated like glorified potted plants. Never send a woman to negotiate anything, they will think she’s the entertainment.They tell me that’s changing. Bullshit.Italy:You cannot make generalizations about Italians.If you have six engineers or six managers in a room, each will come up with a complete solution that has absolutely nothing in common with the next. Soon enough they will collectively have come up with 36 different solutions. So you have 6 + 36 = 42 solutions to contend with. Plus your solution of course.Then they will break for lunch, and each will ignore the menu, and order a perfectly tailored individual item. The waiter will not write it down, but if he gets it wrong, the order will be sent back to the kitchen. They are pretty intransigent about what they individually ingest.Then you go back to the negotiating table, and one solution will magically appear out of nowhere. You say ok.Then they want to know who’s paying, how and when.Can’t pay? No problem. 36+1 solutions are offered up, and the deal is always done.Cannot trade with the Eyeranians because you cannot bank with them? No problem. They send a ship to collect the oil. They refine it. They send back the petrol and diesel and keep the difference. Want some cheap rebar for construction? No problem, they send a ship, collect the oil, refine it, ship the gas to India, and have the later ship the rebar to Iran. No banking embargo violated, and everybody gets to keep the difference.The Eyetalians talk to everyone.In the 60’s the Soviets needed to build cars, but did not know how. So the Eyetalians sold them the factory, the tools, and gave them the engineering blue prints. Then they collected in bulk iron, processed it and sold it world wide.The Italians started developing the Soviet oil fields in the 1930’s and they are still busy at it. Putin shredded every oil contract when he came to power, but not those with Italian oil companies.Under Soviet occupation the Poles also wanted a car factory. They sold them the factory, but had no cash. They did have coal though. So they built a coal burning power plant, sent a ship to collect on the coal, and sold them tooling and the engineering know how in exchange.In the 90’s the Chinese wanted machine tooling, but again they could not pay for it. What do you have? Pork bellies they answered. But they could not import it because of European Community regulations. No problem, they shipped the pork to Argentina, collected grass fed beef and shipped that back home and sold it. Food processing equipment, textile equipment, stone cutting equipment, same story.Italy of course has a very long history. Like three millenia’s worth of history.They invented standardized infrastructure, from roads, to aqueducts to sewer systems. The main sewer line in Rome, the Cloaca Maxima, was built 2500 years ago, and is still in use as a storm drain. If you feed them shit, they will be polite but then proceed to inform you where you can dispose of your cognitive waste.They invented jurisprudence two and a half millennia ago. No other of the great civilizations came up with the concept. We all use their laws, and their administrative systems of governance. The US Republic is a Roman Res Publica. What that means is that they have had millennia to perfect their ability to royally and contractually screw you if you do not deliver as agreed.They invented the very concept of the University a thousand years ago. Nobody else came up with the concept. Until 1870 even the Germans taught on their model and classes were held in latin until the University of Berlin switched to German in 1873. The German language only got a standardized grammar in the late 1890’s.Every modern language, from English to German to Chinese pinyin is based on latin. The keyboard I am writing this uses the latin alphabet, and I am writing this post on the basis of latin grammar. We use the roman calendar, first the Julian and now the Gregorian calendar. Time itself is on their model.They can screw the pooch in latin, eyetalian or english, its your choice. Do not make the mistake of thinking that you can come up with a clever contract. Clever does not work in Italy because they invented clever.Don't think you can scientifically bullshit the Italians because they come to the game far better prepared, than you are prepared to admit. Electricity (from chemical to magnetic to the first nuclear chain reaction) is Italian science. The radio, the telephone, the electrically sparked combustion engine, are all Italian inventions.American management failed to salvage Chrysler. Daimler Benz blew through 30 billion and failed to make it work. Italian managers from FIAT succeeded in five years with five billion in cash.They also invented banking eight centuries ago, and dominated banking for seven centuries. Their gold reserves are second to none. The English defaulted on them six centuries ago, and they are still bitter about it. Don’t try to pull a fast one on them though, they invented the game.The Venetians invented merchant arithmetics, aka accounting five centuries ago, and the whole world uses the binomial arithmetic method. They have had 500 years to perfect it, and five hundred years to figure out how to cook the books. Don’t try to pull a fast one on them.There are no metaphysical truth values in Italy. They perfected organized religion two millennia ago. The Roman Catholic Church has sixty different religious orders answering to the Vatican. That means sixty different interpretations of the Holy Books. Occasionally they come up with a consensus, occasionally they don't. Don’t try to lock anything down, Man proposes, God disposes.There is no such thing as “true” or “right” or “morally true and right” in Italy. While the cultured protestants have the concept of “One Truth, One Morality, One Law” in Italy you have 60*60 and sometimes 60 to 60th power worth of truth values.There is no correlation between truth values and legislation. Since the truth is unknown, you cannot base the law on that.The law is completely divorced from metaphysical truth values. If you have two cultural monotheistic constructs, theocracies especially, that cannot come to terms, you can always have the Eyetalians negotiate it, intermediate it and settle it.Contract is contract. The government to expedite things provides boilerplate contract structure, but as I indicated above, if contract cannot be had, there are at least sixty kosher ways to skin the cat.We also use Italian musical grammar, its their development, their notation, their aesthetic.Italian: Tutti (the all) followed by the Ad Libitum (improvised at one pleasure).German: Tutti (the all) followed by an Obligato (individually obliged).One singular German is a charm, ten Germans is a wolf pack. Ten Italians are a charm, one Italian is a rogue wolf.Contracts are enforceable, but they will always insist on disposing of all the liabilities before making payment.There is no more a financially risk averse people than the Eyetalians. They take no risk, ever. On a per capita basis they are twice as wealthy as the Germans, a fact that drives the krauts insane.They have run a primary budget and trade surplus for nine centuries straight. Its a 2 trillion economy with 10t in hard assets. Their national pension plan runs an annual 10% paid in surplus (the US has 80T in unfunded liabilities). The economy runs on negative leverage, which means they will never risk the principal. If they think the principal is at risk, they will get themselves out of the contract, come hell or high water.Germany has gone bankrupt five times in the last two hundred years. Italy and England not once in a thousand years of banking and trading. Both will tear up any agreement that affects the principal.They invented modern business corporatism and elaborated on it to perfection. The US Federal Government to this day does not grant corporations charters. The States on the other hand do, but they do not have the authority of the Federal government. In Italy, its not case law subject to judicial protagonism, its legislation refined over a century.Don't make the mistake of underestimating them. Which everybody does… and then they get taken to the Cloaca Maxima for a refreshing immersion.I have never out negotiated an Eyetalian. They will contractually relieve you of your underwear without unbuttoning your pants.I made the above entry thoroughly, because if you have a country specific embargo issue, or a technology export controlled item to sell, Italy is the place to go.It does not matter what it is. If you want a cruise ship, a naval carrier or a submarine the Italians will build you one. If you want a satellite they will package it with the rocket to put it in orbit. If you cannot export a military drone, they will deliver you under the original license as many drones as you can pay for. If you want a F35 they will build you one, factory is already built. If you want custom semi chips, they will deliver them in any quantity, tested and packaged. If you want a complete semiconductor manufacturing facility they will deliver one. Chemicals, pharmaceuticals or lipstick, its all available.Be prepared for complex negotiations.Of course the consequence of EU law is that “Everything is forbidden unless specifically ministerially permitted, regulated and taxed”.Italians like their french counterparts are highly innovative. But a tech or fin-tech startup will be done in London and not in the EU.The problem with contracting a business deal in the EU is that the business might be conducted say in Italy or France, but the company will be domiciled out of Switzerland (non EU). The larger transnationals will do what every transnational does, namely the three card shuffle through parasitic tax havens. They might domicile in Luxembourg, warehouse in the Netherlands, and invoice out of Ireland. Then if large enough, they will do the corporate governance out of London.All US companies do this, with the addition of keeping all the profits by triangulating their supply chains through SG-TW-HK.Steve Balmer famously made the case “Microsoft invoices more out of the Netherlands than in the whole of China…” not realizing that he was not making a case for Chinese IP breach, but rather for transnational tax avoidance.The political risk today, is that huge wealth is being generated, but its not taxed. Its the equivalent problem that California has. Huge value is being generated, but since its invoiced elsewhere, the tax base to execute on their paternalistic welfare state is simply not there.The French have been rioting on the streets for almost two years now. They are fighting for their social system, but the State can no longer provide it because the generated wealth is triangulated away.The secondary political risk, which complicates all economic activity in Europe, is that the EU is on the the Napoleonic socialist tyrannical model with Prussian progressive embellishments. If Morality = Law = State, if you disagree you are not making an reasoned argument, you are being evil. That is essentially what Socialist Derangement Syndrome is all about. If you do not agree, you are evil.The European Union is based on the French Napoleonic Code Civil of 1803 and Prussian 1873 law. Everything is forbidden unless specifically allowed.The UK is out.Italy will rip up the contract structure if they think it will affect the principal. It does, so the question is, will a 20–30% socialist voting block manage to put principle ahead of principal?China?In 1993 they had no concept of jurisprudence, no concept of banking, no concept of accounting, no concept of managed industrial manufacturing or scientific management. They imported Mussolini’s 1923–43 concept of the Managed State Economy: Planned National Industrial Policy, Oligarchic Private Property, State Religion and export led growth. Its socialism with anglo saxon pragmatism as a substitute for idealism, Mussolini fecit 1923.They essentially have had 30 years to learn the skills necessary to run a modern industrial economy. And they succeeded.There is no legal concept of individual property. Which means that contract is always subject to sovereign authority. The sovereign does not care what’s in the contract.You are better off having your contracts written up in HK or SG in English Common Law, or in Taiwan under German Law. Let them deal with the Central Kingdom.And that's all I got and I trust I offended absolutely everybody.Thanks for the ask, always a pleasure.