Rudius Capital Provides New Tools for Project Funding

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A successful search for seed capital and project finance requires a new approach in today's tough capital markets.

Rudius Capital Project Finance

Rudius Capital

The future belongs to those who believe in the beauty of their dreams.
Eleanor Roosevelt

Today’s economic environment makes it tough finding investors for seed capital and project funding. Credit for project finance is harder to get and finding investor capital is fiercely competitive and increasingly difficult. A successful search requires:

  •     a different approach that sets you apart from the crowd of capital seekers,
  •     the right strategy
  •     access to the right investor networks,
  •     the proper business structure to manage all parties interests

Rudius Capital & Trust KB is providing solutions to the above for its clients.

Project funding is much easier to secure for an established management company with proven success in its field and/or the project itself has advanced beyond the ‘concept’ stage and actually has a tangible start from the principals’ own invested capital. This is a positive indicator to investors showing that the principals already have some ‘skin in the game’ and are not only committed to its success but are ‘vested’ as well.

Unfortunately, this leaves behind a majority of the good ‘start up’ projects being launched by experienced businesspeople. Many of these folks have a great project and plan but little funding or progress to show in the early formative stages of the project. It becomes a ‘chicken or egg’ scenario: they need funding to advance the project, but investors want to see the project advanced to some degree first before putting money into it.

This desire obviously relates to the risk factor in placing capital. It also relates to the time horizon for the investor to see a return of his funds. In the traditional model, the investor is counting on the business to develop successfully and generate cash flow to even start seeing any return on his investment. In startup situations, we all know the statistics for failure and the businesses which never make it. And for those that do, the ramp up time to positive cash flow for investors is inevitably longer than planned, especially in this economy. These factors create a situation in which investors are highly selective of the projects they go into which means the majority of projects have difficulty getting the capital they need.

So let’s ponder the possibilities by thinking ‘out of the box’ for a moment:

  •     what if the investor could effectively maintain control of his funds, apply them in such a way that they would generate significant profits almost immediately and he could apply those ‘profits only’ to the project all the while keeping his principal funds intact?
  •     What if the investor could see that not only was his principal kept intact and not spent into the project, but that an independent financial mechanism would provide for not only return of capital but also his profit and exit strategy ‘regardless’ of what the business project did or did not do?
  •     What if, in the worst case scenario, the business does not achieve its objectives for any reason and the investor has both his capital and his profit protected?
  •     What if in the best case scenario the investor is able to get in needs met with security of funds and profit PLUS his negotiated equity interest in the project as a ‘bonus’ for the long term when it is successful?

If a project manager could offer this type of structure to potential investors, would this enhance his chances of possibly securing more capital in a shorter time span?
Rudius Capital has solved this problem and has created the solutions for the benefit of both the investor and the project manager.

Through the use of an independent business trust which receives the seed capital from the investor who is the primary beneficiary of the trust, that seed capital is then applied and leveraged in one of various financial mechanisms. The profits created from the mechanism are applied by the trustee as agreed by both parties and thus, the needs of both the investor and the project itself are met.

Rudius Capital is very fortunate to have access to a number of options available, all of which provide for a high level of security of funds with very low risk AND a high level of profitability which makes this scenario possible.

In addition to providing the business structure, the leverage and the financial mechanisms needed to make this work, Rudius Capital is in a position to go a step further. Rudius Capital will also :

  •     work with the client to help create the offer and presentation to the investors, and
  •     introduce the client directly to networks of thousands of qualified angel investors, private investors, equity investors, venture capital and investment bankers where he can start presenting his offer to qualified investors immediately through a streamlined interface online.

This is not only brings to the market a unique approach to raising capital with exclusive tools, but it also brings to qualified candidates the complete package needed to realize the success of the business project funding stage.

Unusual results require unusual methods.

Inquiries are welcome at Rudius Capital & Trust KB

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Ashraf Zaher
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