In business venture you reach a phase when you must have some money to acquire certain resources. For example if you are putting up a factory you need money to buy land or to pay professional advisors and contractors or money to buy raw and equipment to put in the factory. You can access money for investment through a combination of the following;
- Personal saving
- Family savings
- Savings and Credit Societies
- Loans from friends
- Loans from banks
Bankable projects attract funding
A bankable project is that which meets the conditions of sufficient security, sustainable future cash flows and high chances of success acceptable to the investors. The project must also meet other conditions specified by various regulatory authorities. The project must give positive return to the investors within the shortest time possible. Bankable projects are quite attractive to the investors and they will attract cheap funding due to the suppliers of finance competing for it.
Feasibility study and business plan
It is a project for which feasibility study has been conducted and business plan formulated . The information normally contained in the feasibility and business plan include the following among others;
- Legal form of ownership
- Location and business case
- Project implementation team
- Governance structure
- Market analysis and marketing plan
- Project Risk assessment
- Cash flow projections
- Viability of the project
The feasibility study and cost benefit analysis/business plan makes it easy to assess the viability of the project by potential investors .
John Muhaise Bikalemesa
Director: Big Drum Advisory Services Limited
70 total views, 70 views today
The post You must have a bankable project in order to access funding appeared first on Muhaise.com.