It has been said that due diligence is like medicine…”If it wasn’t horrible, it’s not helping!”
We don’t see due diligence as a medieval torture device. While the process of due diligence can appear tedious, wasteful and time-consuming, at FourPoints we see the due diligence process as an opportunity to build a strategic document-based foundation for each project. Due diligence documentation becomes the initial database for each project that should be maintained and updated over time. This database provides a place to record those inevitable changes that occur in every project. (annual insurance policies, coverage changes, amendments to agreements, improvements and repairs, etc.) By maintaining this documentation, changes in operational personnel, new regulatory requirements, and additional financing obligations, become much easier to manage.
We recommend that all due diligence materials be kept online in an ultra-secure format, so that they are available to our clients at all times. The scope of insurance coverage, the date that operations began, the term of the operations agreement, and an endless list of other details that are typically needed instantly, can be accessed at any time by any of the clients pre-authorized employees or representatives.
Each stakeholder in a project has differing due diligence requirements. The construction contractor just wants to know that the funding has closed and that payment is going to be timely delivered. Yet, that same contractor generally wants to know every minuscule detail about the permitting requirements for a project. Likewise, an investor or lender will want to know that all permits have been secured, and that all zoning requirements have been met, but their key focus of their due diligence efforts may well be on the off-take contracts for selling the products, and the credit-worthiness of that buyer.
While no general due diligence list is a perfect fit for every project, FourPoints has developed its standard due diligence list that is the starting place for assembling the documentation on a project. There are other items that will be needed to complete a project, but the FourPoints Standard Due Diligence List, is a good place to start. You can view the Standard Due Diligence List by clicking the “Learn More” button below.
Most project funding plans are usually highly customized loans and/or investments. FourPoints has, and brings to each project, the funding relationships that fit those highly specialized needs. The FourPoints executives have each worked for more than 30 years with lenders, funders and investors of every type, developing relationships over years of cooperation and successful funding.
A team of experienced executives who each bring their unique skill, knowledge and scars, to find solutions for the development, construction, funding and operational needs of each Project.
Focus on funding
While we can’t guarantee that funding is always available, we can help you evaluate the many private and public alternative financing options.