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Borrowers
Borrowers
Whether your real estate or business investment project requires debt or equity investments to become a success, our extensive network of investors is ready to help you succeed.
Debt and equity investments have advantages and disadvantages for both the investor and developer.
Equity
An equity investment generally provides the developer with more safety (generally equity investors have no recourse to any assets should a project not be successful) and many times the developer does not have to place as much of their own assets into a project as would be the case in debt financing.
The trade-off is usually in a higher cost of capital in that the developer must share a portion (sometimes a significant portion) of the profits generated by the project with the investors in order to satisfy their increased risks versus debt. Also, the developer many times must cede a portion of operational control over the project to the investors.
Debt
A debt investment generally has a known (and usually lower) cost of capital for the developer in the form of an interest rate. The developer cedes no control of the project to outsiders.
However, debt carries risk to the developer in that the principal and interest must be repaid, or investors may exercise rights to reclaim assets from the developer to satisfy the debt.
Talk To Us
There is no one right way to fund a project. Tell us below the basics of your project and let us help you right structure to fit your needs and the investment profiles of our investors.