↵Welcome to our project finance services! We specialize in the funding of long-term infrastructure, industrial projects, and public services using a non-recourse or limited recourse financial structure. Our approach involves using debt and equity to finance the project, with payments made from the cash flow generated by the project.
One of the primary benefits of project financing is that it provides off-balance-sheet funding, which does not affect shareholders' credit or government contracting authorities. Additionally, it shifts some of the project risks to the lenders, allowing them to obtain a higher margin. Examples of industries that use project finance include mining, oil and gas, and building and construction. Typically, the financing is made up of debt, and capital stack ranks the priority of different sources of financing, with senior and subordinated debt referring to their rank in a company's capital stack.
We understand that many borrowers and sponsors are experts in their own business area but may be unfamiliar with project finance processes and protocols. For this reason, we recommend that borrowers and sponsors take the time to develop their ideas, concepts, and strategies into a compelling, high-quality, and well-written project business plan. Well-prepared projects entering the project finance marketplace stand a higher chance of success with prospective lenders and funders.
We work with alternative capital lenders rather than banks, who have a unique methodology that most typical borrowers may not be accustomed to. Our lenders have a specific platform with processes and protocols that facilitate their ability to fund projects. We partner with lenders from the United States of America, the United Kingdom, and Canada, specializing in project financing. They have funded projects globally in green and renewable energy, infrastructure, sustainable commercial real estate, commercial real estate development, and more in the form of loans and equity.
We will work with projects in US-friendly countries and countries where the United States of America, the United Kingdom, and Canada do not have international sanctions.
- Our United Kingdom-based lender prefers projects with a minimum project loan size of USD/EURO/GBP 100 Million and up to USD/EURO/GBP 5 Billion.
- Our United States of America Private Family Office-based lender only works with projects valued at USD 5 million or up to USD 500 million. The lender will take 20% or greater equity profits of the project's company.
- Our Canadian Private Family Office-based lender requires a 20% deposit for each project, with the minimum deposit being $1 million (USD). The financing structure is 80/20, where they will provide 80% debt (loan), and the borrower will provide 20% cash equity to complete the project.
- Our Multi-Family European Private Family Office-based lender has funding resources to handle loans for the US/CANADA: USD 10 million to USD 150 Million; EU/UK: EURO/GBP 50 million to EURO/GBP 250 Million; LATAM/CARIBBEAN: USD 50 million to USD 300 Million; and Agri LATAM: USD 100 million plus.
- Our United States of America Private Money Collateral Lender has funding resources to handle loans for the US/Canada: USD 1 million to USD 50 million domestically. For international, it starts from USD 5 million to USD 50 million. The collateral is commercial real estate or land.
We charge a success fee of 2%—3% of the total gross loan amount for arranging project financing commercial loans. We only get paid when our clients successfully receive funding from the lenders we introduce.
In the case of transactions that are:
(a) valued at over
Ten Million United States Dollars (USD 10,000,000); and
(b) deemed by our firm to be of significant complexity and magnitude, a retainer fee shall be applicable to engage our firm’s services.
The retainer fee is to ensure the clients are fully committed before we embark on the lengthy funding process, especially for project financing.
The retainer fee is non-refundable. In the event that the client elects not to proceed with the transaction with the lenders introduced by our firm after receiving a Memorandum of Understanding (MOU), Letter of Intent (LOI), or Term Sheet, then our firm retains the right to the full amount of the retainer fee for services rendered up to that point.
The retainer fee compensates us for our work, which is a comprehensive suite of consultancy services, including, but not limited to, communication via phone and email, sourcing and vetting potential lenders and preparing a credit memorandum for presentation to said lenders.
The retainer fee shall be credited towards and deducted from the final success fee. This deduction is applicable upon the closing of the loan and at the first disbursement of funds.
Please note that in project financing, the project company or borrower will be expected to bear the cost of all due diligence, including professional reports, legal fees, structuring work, valuation appraisals, technical fees, tax work, and reasonable "out-of-pocket" expenses.
These fees are paid directly to the lender as part of the initial costs and are non-refundable expenses incurred by the lender. They will cover compliance, underwriting, the commitment with document issuance, and legal costs to prepare the contract, among other things.
To consider your project for funding, we will need preliminary documents such as:
- Executive Summary
- Detailed Business Plan, including Exit Strategy
- 5 Years Of Financial Projections in Excel format, including the sources and uses of funds
- Repayment Plan to paying back the loan
- Management Resume or the Sponsor(s) Background—The borrower team should have previous experience in the project they are contemplating.
- Project Development Budget or Construction Budget (if applicable): An extensive project development budget with details of cash requirements.
We recommend that you provide us with a detailed understanding of the net cash requirements from start to finish, including the repayment/exit timeline and mechanism. Please note that well-capitalized and organized projects are more likely to be reviewed by lenders and us.
We appreciate your interest in our project finance services and look forward to working with you.
