04/10/2017
JV Terms and Conditions.
The JV terms are as follows:
100% investment the funding company will give
Bank shall provide enough and more client references at the direct meeting to whom funds have already been disbursed
Threshold to consider projects are 100 million USD/100 crores/100 million AED and above, but in very special cases, slightly less would be considered positively
Clear track record, even if not many years in operation, has attractive turnover, good promoter profile, excellent credit rating by agencies, and has excellent vision for growth in the business operations will be chosen
Profit share ratio will be 60:40 with the funding company getting 60% share
Agreement will be for a period of 10, 15 or 20 years
For the JV to be initiated, client has to bring 5% of total investment value as funds to the account of the Investment Bank Company to allow for mortgaging it to raise funds / or property equal to 10% value in Dubai to mortgage and raise loan / or can do it as Bank Guarantee for 10% of total investment value (this involves commission of 4% to monetize it, which agents do)
To operate smoothly, the JV account will be in Dubai to which the funds will be transferred within 60-70 working days
The client needs to open an office as branch in Dubai (if not already there) to facilitate this (freezone, etc, would do)
Once the funding company releases the project funding, client can withdraw their share of the 5% and manage with the 100% funding so provided by the funding company
Exit clause will be in the agreement as per agreed terms
Mediator or facilitator fee is 5% of investment funding value, for which there will be an agreement in place before direct meeting in Dubai with the company officials. Expenses of mediator travel and stay in Dubai from India to be borne by the client.
Annual interest of 1.5 to 2% shall be levied on profits earned by client annually (of 40% profit share)
No other hidden costs or manipulative element in this deal and the company seeks only bonafide establishments with clear vision and mission and capability to eventually attain goals set.
All references of present clients, more details of background, etc., shall be divulged at the direct meeting, though hints of them may be given earlier.
The evaluation panel consists of economists and banking experts in the assessment of project viability.
Funds are genuine investment funds from Europe and are not illegal/dubious in any manner
The company shall support the client through the ups and downs of all eventualities commercially and if needed inject additional funds to rescue a situation when required.
Only Company with a Business plan and Project report only need to conduct us.