COTA Funding

This is a revolutionary program that is changing how large scale projects are being financed here in the United States and globally. The process known as COTA (commodity off-take agreement) allows 100% of project costs to be financed. The model can be utilized for many different types of projects including, but not limited to, energy, manufacturing, and general building.

COTA Benefits:

Up to 100% project financing.
Transaction is credit based and not an asset based.
At time of closing the value of the secured financing is placed into escrow account for use as construction financing. The project in-effect becomes “self” bonding to ensure completion.
No payments are due until after the expected end date of construction.
Financing is completed quickly at competitive rates.
Financing terms extended out to 28 years if necessary.

Funding for projects involving production of commodities - in which the production capacity is significantly sold in an arrangement before the production plant is built.
Through this type of structure, we can often fund the entire cost of building and starting a Production Facility - depending upon the Credit Rating of the Purchaser of the Production Stream.

To be successful, the model requires an agreement between the developer and an Investment Grade Purchasing Partner. The developer builds the facility while the Purchasing Partner agrees to buy at an agreed upon price for resale for the term of the financing. Fairly simple. So far the COTA program is being utilized by our clients in Wind Energy, Ethanol, Gas Production, and municipalities planning new public works construction.

Program Requirements:

Project value must exceed $5 Million or greater. Projects can be aggregated to reach value level,

An investment-grade end user including corporate and government end-users (must have a bond rating of BBB- or better - can be achieved with private companies) and,

An irrevocable payment stream for the contract term.

This program is not venture capital. In fact we believe it is a new way for project developers to build their projects while maintaining a significant level of ownership and involvement, in-turn, allowing developers to see the long-term benefits of their labors. Governments can develop their own projects without having to go through an extended bonding process. If you are a project developer or represent a developer please contact us to see if our program will work for you. We are also actively pursuing relationships with finance organizations whose clients may utilize our program.

[ Home ] [ Up ] [ Bank Guarantees ] [ COTA Funding ] [ Equity Investment ] [ Investment Banking ] [ Loans $5 Million & Up ] [ Loans Against SLS ] [ Art as Collateral ]
IntelligentFunding.com © 2006• Privacy Policy
Contact Info: Phone: 406.442.3434 email: Click here to send