More important than what you are going to do is....
How are you going to make it work ?
The Hot New Global Contact Sport:
Project Based Borrowing
Private lenders lend credit. So do banks. That is where the similarities end.
Bank and non-bank, private, and sovereign lenders are interested in knowing the facts of the investment, especially where it pertains to the future. All have guidelines.
But non-bank and private lenders have no consumer-side money business and retail money products. Neither are they underwritten or subject to the standards under the Federal Reserve system. Banks borrow from the Fed, at minimal interest, and lend that money at a 10:1 ratio to their customers. They legally lend ten more dollars for every dollar they hold. And no one is talking about changing that. (See Recommended reading below)
The New World
Private lenders are businesspeople. As such, they act with a more critical sense and vision than most bankers dream about. They are also more exacting when it comes to telling your story to get money.
Unsurprisingly, as much time is taken to weigh the character of the borrower and would be business partner as is taken on the project itself. This is the most common mistake that borrowers make in the current climate--not being transparent and honest.
Lenders and investors want to know the character of the borrower as a measure of reliability; they want to know if a borrower has "skin in the game"; they want to know the project's actual near-term cash flow; and they will explore the sources of cash the business generates toward payback and profit. They are looking for return of the principal--as banks do. But, unlike banks, they are also intensely focused on payment quality, consistency, project completion, and eventual expansion or sale.
The Art of Financing Science
A Value-Adding Process, Not An Event:
Manage and explain the loan process as a borrower broker. Targeting and selecting the right business financing comes from ongoing discussion about growing a new business in a young industry. Strong relationships, know-who and know-how have equal weight. This permits critical relationship management and meaningful communication between the key parties.
Represent the borrower seeking project financing. Throughout my research and leadership, sustainable building (see more at sourcenewport.com) continues to bridge natural science and the finance of biofuels. But it also leads us to methods and scalable companies developing waste conversion technology, processes, and products.
What you can do
If you have a project of scale that you would like me to review, you are welcome to contact me by email: email@example.com. Better yet click on the link below to submit your business overview--completely confidentially.To support our borrower clients and to keep this industry as professional as possible we adhere to a strict self-imposed code of ethical and professional conduct.
We occasionally recommend deal-based coaching programs to prepare their client and project to master the financing process. We provide everything you need to prepare, refine, and present yourself and your project/business for funding. Please ask about this.
- Are you short critical funding for a proven energy technology, or Oil & Gas reserves?
- Is "policy de jour" choking your staff?
- Your design, innovation, or development project can't get traction for investment?
- You are open to LTN and MTN financing--but cannot get started?
Maybe we should meet. But first....
Please summarize your project in your note and your phone and Skype contact info. Better, submit your executive summary for our confidential review. (Please limit those to five pages.) We generally respond within 48 hours.
Energy & Project Advisory+Funding
PS Business funding today is complex and time consuming. I suggest you keep your head, and resist Burroughs implicit warning: “A man can fail many times, but he isn't a failure until he begins to blame somebody else.” John Burroughs
Need Access to Funds/Funding Prep?
Please Submit Some Background on Your
Oil/Gas or Real Estate Project
Please Ask About Our Confidential Funding Preview
*Funding Smart App: Energy & Real Estate Development Projects *
**Recommended Background on $US: Modern Money Mechanics,
U.S. Federal Reserve (Download)
The most common mistake that borrowers make in the current climate is not being transparent and honest.
Lenders and investors want to know the character
of the borrower, if a borrower has "skin in the game"-- for the financing; the project's actual near-term cash flow; and the sources of income to pay off the loan plus, interest & profit.