Global Project Financing Group, LLC.,

                                      COLLATERAL ENHANCEMENT 

One of the greatest challenges to financing a solid project is having an equally attractive collateral. While it is common to offer property as collateral, valuations often prevent a sufficient amount of funding to implement the project, and collateral located in a foreign country or that will be purchased or constructed for the project are generally not effective.

Funding sources are generally not interested in any property that is located in a foreign country. That requires $100,000-$200,000 of work of an international law firm to register the collateral rights. Funding sources do not have any guarantee that the project will be implemented and the intended collateral purchased or constructed. Such collateral requires $250,000-$500,000 of independent valuations, assessments and analyses of Top 10 international firms. The funding sources would require the client to pay such costs. 

Global Project Financing Group works to avoid such costs, using more effective methods. Our experts will procure third party collateral in the form of an international financial instrument, purchased by an established network of investors. We will then structure that into your financing package, so that collateral is paid for from the funding capital.

For businesses that can not provide sufficient collateral to secure a commercial loan, a complex and multi-level approach to structuring the transaction makes it possible to successfully receive venture capital funding, without any collateral from the client. This category of capital procurement requires extensive inside financial industry knowledge, legal and negotiating expertise, and direct, active professional support. The resulting loans have fairly low interest rates, usually 6.5%, for a term of 10 years.

Working with financiers to structure conditional purchase of discounted collateral and other guarantee instruments, professionals can reliably obtain full, once-source funding from venture capital lending banks. The core of this mechanism is third parties, usually other banks, financial institutions or insurance companies. These collateral providers either partially or fully back the loan from the source, with little or no risk to the receiving company. With the proper professional preparation, the success rate for this method of capital procurement is approximately 98%.