Monday, April 23, 2018

Financing Stressed Businesses

CEO's of stressed businesses believe that by borrowing more money from lenders they can potentially solve the company's financial problems. More often than not, a shortage of capital is just the symptom and not the underlying problem. It is important to investigate issues as soon as possible to minimise the negative impacts through decline or to prevent bankruptcy.

Monday, April 9, 2018

Project Funding Scammers

There are many people on the internet who say they can help fund projects, but can they? Here we list some ways you can protect yourself against these fraudsters.

Know The Finance Industry

When you apply for any type of loan, it can be hard to tell if the business offering project funding is a scam. It is important to work with lenders who have a history of funding projects. Whilst some funding coporations may not list whom their clients are for confidentiality reasons, there are ways you can check to see if they can be trusted with your money.

Secrets To Get Your Project Funded

When a project owner applies for funding, it may come as a surprise that the process may not be as simple as going to a bank to apply for a loan.

Most often than not, you need to submit:
  • An executive summary
  • Business plan
  • Financials
  • Permits/licenses/Compliance
  • Patents
  • Agreements/PPA's

Monday, March 26, 2018

Project Finance - Alternative Finance

When someone wants to purchase a franchise business they are usually required to put some capital into the purchase or as we call it, have some "skin in the game" The business would need to apply for any licenses and permits either from the current owner or apply for them yourself to the local council. There are also franchise businesses which would require a person to buy/lease the right to represent the brand/franchise company. The entrepreneur would also need to factor in the running costs such as business equipments, buildings and wages for workers. 

Wednesday, March 21, 2018

Funding A Project Or Business - SBLC - BG

History of Bank Instruments

Bank Guarantees are traditionally used in trade finance, however some financial institutions raise funds via bank instruments to facilitate project finance. After WWII Governments, investment banks and other large institutions used bank instruments to generate revenue to fund projects that would help rebuild cities and it's infrastructure.
On the main, bank instruments aim to provide assurance that payment can be made should there be a default therefore if a client has funds in a bank, the bank will guarantee money is in the account to cover costs.. There are two types of "letter of credit. One which a commitment on the supplier side (DLC) and one on the buyer/beneficiary side (SBLC).