Nowadays, during the economic and financial globalization, project financing is more often implemented as an effective form of international and national crediting. In general financial practices financing projects is determined as targeted crediting of implementation by the borrower of an investment project, when the security of payment obligations is monetary income acquired by the borrower from the project operation and assets related to the project. The basic direction of project financing is large-scale projects that can, by objective reasons, be implemented exclusively on condition of targeted financing.
KPI Company renders the following services in the field of project financing:
Attraction of project finances
KPI Company, with its extensive experience and high expertise, acts as an analytical company participating in project financing. We can offer you a set of services on preparation and attraction of project finances in three ways:
- Raising funds of Russian banks
- Investment into joint projects of CIS countries.
- Fundraising of West Europe countries.
Working capital financing
Any business is characterized with a cyclic nature of capital turnover. Working capital is constantly renewed capital, which circulates according to a simple scheme “goods-money-goods”. The working capital structure can include not only money, but also materials, raw materials, finished products, goods, accounts receivable.
Refinancing of accounts payable
One of the key tasks of any business in conditions of both a general economic (state, transnational) crisis and a crisis of the financial and economic state of a certain enterprise is improvement of the financial state. It is not an easy task, and the deeper the crises are, the worse the financial state of a business is and the more difficult it is to fulfill the tasks set.
Often business development is impossible without attraction of additional sources of financing. There are numerous sources and one cannot say that a certain source is better or worse than others, it is important to determine and choose them wisely. Every company has its own ways to solve the issue of attracting additional sources of financing and unfortunately there can be no absolutely right solution and one has always to take a risk.
Bank guarantee of returning advance payment
Bank guarantee of returning advance payment is a way of provision of target use of the advance payment transferred according to the contract terms, when a crediting establishment (bank) or an insurance organization acting as a guarantor provide the borrower (principal) with a written obligation of paying in favour of the creditor (beneficiary) of a money sum to the amount of the advance payment on receipt of the beneficiary’s demand for its payment.
Financing of fulfillment of contract obligations
At present financing of fulfilment of contract obligations is a widely spread financial tool implemented as a mechanism of protection of parties from possible problems with fulfillment of contract obligations and as an opportunity of attracting additional financing for fulfillment of obligations.
Tender security for the contract price
Any commercial organization can participate in competitions, auctions, tenders, but only those can compete to win and be awarded a desired contract who will provide the tender security for the contract price. This term is obligatory in case of public and municipal contracts.
Securing performance of contract obligations
Securing performance of contract obligations is an important component of parties’ protection from any possible problems related to both lack of conscientiousness of the contractor and crisis phenomena on the market. Besides, in a number of cases, when it is directly provided by law or announced by the organizer of a commercial competition, tender, auction, securing performance of contract obligations is a required term of participation and, correspondingly, of winning the competition with receiving the right to implement the project provided for by the contract. A bright example of wide implementation of provisional remedy is conclusion of public and municipal contracts.