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| | Capital Funding
Proposals - Quality Plans in Record Time...
Most
capital funding proposals fall flat on their face and
are DOA before the underwriter ever even bothers to look at the funding
proposal. The rejection rate for capital funding proposals easily 
exceeds 90% in today's capital markets. It's not that these plans
aren't presented in full-color detail so as to catch the eye of the
reader and engage them; far from it. Most plans are now being
submitted electronically, so full-color detail isn't as big an issue as
it was even five years ago, but underwriters expect to see a
professional document without any errors in the document whatsoever. Their
job is to kill your deal.
That's
where Rainmaker comes into play because you will want us to create your funding
proposal because we are so good at preparing these plans. When it comes to capital funding
proposals (click here for a peek
at a sample report) the key issues that seem to percolate to the top are:
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Summary Page. The summary page
is really important because it provides the reader with the
opportunity to quickly determine whether or not the proposal may in
fact conform to the investor's underwriting requirements.
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Presentation Order. The
document should flow from one matter to the next in a building block
fashion - the same way the due diligence presentation is
created.
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Elements. The document has to
have the "four corners of the deal" as it were that
include the following:
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The program economics have to
make financial sense. All required sources of capital
funding have to be identified.
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The project team has to have a
demonstrable track record of success for development management,
construction management, operations management, professional
services (legal, accounting, audit, investment banking, etc.).
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The due diligence documentation
is complete and the conclusions clearly documented.
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The plan has to have an exit
strategy that works for the investor and all the other
participants. The exit strategy is based on the findings
of your due diligence documents.
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Get
the answers you need and a plan that will win the day. Talk to a Rainmaker
consultant. | |
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Do
You Know The Secret?
When it comes to commercial real
estate development finance, it doesn't matter whether you need to raise
$5 million or $50 million, the out-of-pocket costs, advance fees and
project due diligence costs will always require the same relative
investment dollars the promoters have to fund. Do you know what
that amount is? Do you know the Secret? |
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