Project Financing

Project financing involves a thorough financial evaluation of the entire project lifecycle. Typically, a cost-benefit analysis is conducted to assess whether the project’s economic benefits outweigh the costs. This analysis is particularly critical for long-term capital expenditure projects. The first step entails structuring the project financing, and determining the optimal blend of debt and equity. Subsequently, the economic benefits of the project are identified and evaluated against the costs.

Project financing entails structured financing to mitigate risks associated with a specific economic entity – a Special Purpose Vehicle (SPV) – established by the sponsors through equity or debt. Lenders primarily assess the cash flow generated by this entity as the primary source for loan repayment. 

Serious capital or Project Financing requirements, even a supersized acquisition?

Need to fund green projects, supersized projects? Maybe finance a large commercial development that takes longer to monetise and therefore carries associated risk, you will be pleased to know, there are alternative funding routes – as Bank Instrument Investment Programs. Those who oversee project financing, including organisation’s that are bringing light, compassion and improvement to the world, know the challenges of fund raising.

Project Financing via Bank Instrument Investment Programs or (BIIP’s) or PPP.

Uniquely during 2024, we have access to a BIIP with a minimum entry of US$10m. Uniquely this PPP provides even provides the protection, normally only available to investors with $100m. So, providing your funds reside in a top 50 world bank, there will also be no requirement to move your funds. BIIP’s also known as PPP Trade Programs, may seem overwhelming at first glance. Vital Capital can navigate you through the procedures and introduce your investors directly to a selection of programs to create serious wealth and source all your project financing. While not for everyone, for sophisticated investors with the pre-requisite capital you can look before buying and there are a range of programs for HNWI’s who understand the principles and rules of leveraged finance.

We also now have a Micro-Cap Program too. The latter with much lower entry points, plus new unique methods to protect your capital and first years returns. 

The Project Financing Programs

Although the options are varied, they offer a very favourable return to the investor that has sound credentials. At this point only, with our guidance and experience at your behest, must you make an informed decision whether the program is right for you?

Bank Instrument Investment Programs (BIIP) funding is the alternative financing opportunity. Specifically able to fund projects that take longer to monetise and therefore carry associated risk.

The client/investor ‘must’ submit a KYC and Application along with Proof of Funds and Proof of Life for the Provider’s compliance. YOUR KYC should be carefully completed, never rushed (we will assist you here), as accuracy is paramount with no room for errors.

Hereafter, there are various stages of DD, yet after completing all successfully, you will be introduced directly to the Program Manager. At this point the intricacies for the Trading Programme are fully explained in full.

Only upon understanding all the facts and from an informed position should you decide whether to proceed – that’s truly smart business.

At this level, the offer involves separation of the financial risk from the project risk. All projects will be considered:

While the rules are strict around entry, Trade’s will normally use a Reserve Account, or Non-Depletion Account. Meaning the investor’s capital stays in their own top 35 world bank account, with no block, lien, or encumbrance ever placed on it.

The KYC from the Principal is the key that unlocks the door. Hereafter, answers to ALL questions around specific details of any trade program can be fully explained by ONLY the Trader. The question is always the same, how does it work? Yet the rules and regulations around solicitation are extremely strict. So in order to evaluate those answers, the Client must start the process by presenting him/herself via KYC/Application and proof of funds.