Learning must come before deciding
Preamble: For experienced professionals, unlearning any conflicting or misapplied information comes before true learning can take place. This is usually harder than learning anything new as it requires suspending (not acting on) any emotions or reactions that initially arise. At first, these “alarm bells” may be telling you to either push back or take evasive action — change course, STAT! — even before getting to the period at the end of the next sentence. Breathe.
Because of this, it is usually best to put aside any preconceived notions of how (for example) CAP funding “demand guarantees” should work. We use standard tools but with an innovative twist, in order to solve real customer problems — mainly the frustration developers often encounter with reaching financial closing at decent terms for well-deserving projects.
Why this rant? Because CAP funding’s unique structure is going to be new to most everyone. If you don’t let yourself get lost in reactions to the new information described herein then (and only then) you can decide what you want to do with it, unencumbered by the background noise of your subconscious signaling you that something is wrong — either too good to be true, too complex, or some other felt sense of discomfort.
Deciding if this funding opportunity is for you will require most professionals to temporarily step outside their comfort zone to let in the new information. This will eventually make sense, and history shows it will be worth it, because there are great benefits in store — if you see it as it is.
More on how learning must come before deciding, and the importance of suspending judgement in situations like this, especially if you happen to disagree with the new information at first by famed investor Ray Dalio’s LinkedIn post
Resources:
- How to communicate with bankers (article)
- How to prepared for discussing this with others (3-page PDF)
- Decision-making and facilitation guide to CAP funding guarantees