Profit Structure and Legal Guarantees
Profit Structure and Legal Guarantees
Fixed Return for the Financier with a Superior Safety Margin
The financing structure is based on a fixed Profits contract, guaranteeing the financier a total recovery of USD 1,198,505.28.
Financial Structure and Financier Returns
Metric | Value (USD) | Key Notes |
Required Funding (Principal) | 705,000 | Disbursed in 5 monthly tranches during the 6-month setup
phase |
Total Profit | 493,505.28 | Net fixed profit over 42 months |
Monthly Installment | 28,535.84 | Includes principal and profit; repayment begins at the end
of month seven |
Total Recovered Amount | 1,198,505.28 | — |
Cash Flow and Asset Guarantees
- Cash Flow Guarantee: The project’s annual net operating profit (USD 970,000) covers the annual Profit installments by more than 2.8 times, providing a strong safety margin and ensuring full recovery of capital and profit.
- Legal Guarantee: A certified Profit agreement is executed, with full collateralization (lien) of all project assets (equipment and industrial units) in favor of the financier until full repayment.
Technical Risk Mitigation & Knowledge Transfer:
To ensure seamless operations and zero technical downtime, we commit to stationing a resident expert engineer from the manufacturing plant at the project site for the first 12 months. This expert will oversee the initial commissioning, ensure the final petroleum products consistently meet local market specifications, and conduct an intensive hands-on training program for our local technical team to ensure long-term operational independence and maintenance excellence.
