LOAN PROGRAMS

PROJECT FINANCE LOANS

 

Project financing is a loan structure that relies primarily on the project's cash flow for repayment, with the project's assets, rights, interests, and revenue-producing contracts, held as secondary collateral. This type of loan structure is most suitable for infrastructure, industrial, and large commercial projects such as mining, transportation, telecommunications, and power industries, as well as for sports and entertainment venues because they are long term projects which deliver major assets upon completion. 

As project lender, we will require a lien on all of these assets in order to assume control of the project if the project company has difficulties complying with the loan terms.  In addition, we will require a minimum 10 – 15% of capital contribution from the owners of the project company to ensure that the project is financially sound and the owners have sufficient commitment to the project. 

Project finance is often more complex than alternative financing methods. Risk identification and allocation is a key component of project finance. In order to successfully structure a project finance loan, the financing must be distributed among the multiple parties involved, to distribute and minimize the risk associated with the project.  In essence, a complex project finance structure may incorporate private equity, corporate finance, securitization, or insurance provisions or other types of collateral enhancement to mitigate unallocated risk.

Our team has the experience and expertise to successfully analyze and fund your project. We offer comprehensive solutions to large commercial financing needs that are often unavailable to banks or traditional lending institutions.  Our project finance loans are structured with a high degree of flexibility to provide loan profiles that match client and project needs.  Basically, this individualized approach determines the best interest rate for each project loan. 

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For more information on obtaining Project Finance Loans or any questions regarding our business funding process, feel free to Contact Us. 

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