How to finance mid-market projects with Completion Assurance Program™ (CAP) — faster, easier, better
We follow three well-defined stages to greatly increase your odds of success with securing funding for middle market projects. Pre-qualification (stage 1) eliminates most of the uncertainty that tends to hold up conventional project finance. Everyone that contacts us appreciates a fast, definitive answer (yes or no) to funding feasibility. We offer our expertise at reaching clarity far faster than our competitors, and if the initial answer is “yes” (your situation qualifies), we reach financial closing within 30 days at most.
- Prepare: Apply & Pre-qualify for the Completion Assurance Program™ (CAP). Pre-qualify by gathering the first 4 of Six Essentials, but first
Click for 1-page protocol (technical overview)
check that your project fits the basic conditions (mostly that it is at least $25 million or larger in an industry/sector that we can accept; see complete requirements for funding, then Email us a high-level summary to be sure, ideally a 1-2 page Information Summary or teaser, DO NOT SEND YOUR FULL BUSINESS PLAN).
You may want to scan our “Financeability Checklist” to make sure you are adequately prepared.
Apply here; we will respond with a quite rapid “yes” or “no” or with questions.
If we confirm our interest in funding your project, use our CAP Funding Proposal Builder to disclose the Six Essentials. For complete step-by-step guidance, go here.
Upon acceptance of the uses of funds, instrument verbiage, and proposed timing of monthly capital draws, we will launch our rapid due diligence, typically reaching closing in 30 days or less.What to expect: We will usually respond to initial inquiries within 72 hours; if you do not hear from us, call +1.831-761-0700 Ext 1 to check status.
Decision-making Guide:
a) What if the project does not qualify for the Completion Assurance Program? Consider alternative paths to mid-market project funding above $50 million.
b) If $50 million in total funding, can you bundle or group together more than one project or combine/aggregate together initial development costs with the other costs to reach at least $25 million ($25M-$50M is fine for CAP) total requested capital? If not, consider our advisory services.
c) What if seeking M&A to sell/acquire, roll up or form a merger? See our alternative funding programs
d) If there is no equity carried interest available to the funder, and no guarantee, is a 20% debt service reserve cash deposit available? This is our newest Line of Credit option, 4-6% APR, 3-4 months to funding, still up to 100% funding.
e) What if seeking venture capital or trade finance, seed-stage venture funding, or other (non-project) forms? Instead of CAP, or our alternative funding programs, your situation requires a separate Management Services Agreement; see fee-based advisory services. - Present package to receive binding offer to fund project: Once pre-qualified, you will receive a binding offer to fund your project(s) within 2-3 weeks, typically. If the offer is accepted, and contracts entered, we will reach financial closing within just a few days following delivery of the hardcopy of Guarantee Instrument. Without CAP, the timeframe to closing and first funding via alternative funding pathways is likely the more traditional 90-120 days, which starts once we have a complete, accurate and polished file that highlights only what investor’s need to know in summary form, with financials prepared per US GAAP or IFRS accounting standards. Without such preparation, timeframes are anybody’s guess. Far too many projects never reach closing!
NOTE: If we are bringing in your project’s sponsor (as guarantor and/or equity partner) for funding, doing additional packaging or development work under a Management Services Agreement, please refer to the timeline for that Statement of Work (SOW). - Partner: Using monthly draws of funding, proceed to finalize any remaining development work, design/engineering, build, commission and launch commercial operations. First draw of funding within 30-45 days of closing, with subsequent draws per pre-approved schedule (see examples on pgs. 3-4). In practice, draws accommodate critical path construction milestones and cashflow requirements, ideally the same amount each month. Once approved by the funding bank, the transfer of funds is literally guaranteed.
That’s it! Compared to traditional project finance, our novel approach is streamlined and far more systematic / programmatic / predictable. As a result, it is also much faster, once you are prepared.
NEXT STEPS & FACILITATION GUIDES
- Introduction: Why this funding program — it’s purpose, how it is different and what advantages that brings
- How In3 CAP solves Four Notorious Problems with securing traditional, mid-market project finance
- Review CAP synopsis (cover letter)
- COMPLETE STEPWISE GUIDE to CAP project fundraising
- Deciding which type of guarantee makes the most sense; guide to Completion Guarantee Facilitation
- How to obtain a Sponsor/Backer (to bring a guarantee)
- GET STARTED NOW: prepare the Six Essentials by Building your Funding Proposal to pre-qualify more quickly.
Additional Resources & Reference
- 14-minute video “Why CAP and How It Works” from 2020 (update coming in 2022) — explains business logic and mutual protections provided by this program.
- Formal (banking) protocol “from inception to completion” (1-page PDF version)
- View Animated Developer Briefing online (Google doc)
- Register to access Recorded “Developer Briefing” Webinar (August 2020, uses the legacy program name, CGP)
Contrast this relatively simple CAP funding process to what is involved in securing project funding without a Completion (financial) Guarantee, either because the project does not qualify for CAP at all (requires less than $25 million and is thus too small, is not new construction, or requires venture capital instead of project funding), see In3’s generic funding process.
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