There are many issues that can affect you as a developer or putting together a ‘spec’ build. Without a significant track record it can be difficult to prove enough income to service the repayments throughout the loans or you may be unable to service the mortgage repayments until the development is completed and sold. By fully capitalising or partially capitalising the repayments during the life of the development, we can free up your cash reserves and allow you to fully utilise your cash assets to reduce your capital costs. This has the effect of increasing the profitability of the development considerably, reduce the stress of the build, and also allow you to work in options for contingencies.
One of the major risks to a development is the length of the process and if you need to extend the length of your project while making cash repayments this can really put the pressure on the builder and also your finances. Our goal is to make sure everything is planned out and structured correctly to reduce the overall cost and stress. We have both bank and non-bank options that we can tailor to suit your situation.
Although we work with medium to large scale developers we can also work with up and coming developers to show you how some of the larger companies operate to gain the best results. It pays to get the right advice up front. Due to our expertise in this area we can often get contacted by developers once the project is under jeopardy and we starting to look towards maxing out your credit cards. If we are able to fully appreciate your circumstances we can initiate contingency plans at the beginning of the project and build these in rather than help to fix situations once they occur.
