Key factors

Any project will have a range of options to secure finance for its implementation, but it will depend heavily on four things:

a) The nature of the organisation intending to take ownership - its legal structure, aims, history, track record and experience

b) The project - what kind of asset development project is to be financed

c) How much finance is required - some types of finance are only available in small or very large amounts

d) When the finance is needed - some types of finance are only available for spending over a specific period or when the project has got to a certain stage (for example after planning consent or agreement to ownership has been secured)

a) The nature of the organisation

Some types of organisation will not be eligible for some kinds of finance. If the asset project involves the establishment of a new organisation, the effects on the potential finance available for the project need to be considered when choosing the legal structure

b) The project - what it is that is being financed

Fit finance with your project, not your project to the finance available! Some finance is only available for certain kinds of project. It can be tempting to change your project to fit, and a bit of tweaking is fine,  but always remember what it is you want to do and why and stay true to that. 

c) How much finance is required?

You need to think carefully about how much finance you require and the best places to look for it. Some types of finance are only available in small or very large amounts and will come with their own conditions and restrictions, so a thorough investigation of the possibilities will be required. Case studies of different funding 'cocktails' that groups have used are available.

You should carefully research what finance options are available and consider their relevance and applicability to the project. Case studies can also be used to see how other organisations have secured finance to develop and implement their projects.  

d) When the finance is needed

As part of project planning you will need to look at the amount of time that will be needed for each stage of the project and the order in which tasks can be implemented.  

These will provide the basis for planning when resources will be needed for each task. This is an important part of the project financial planning since it will be necessary to ensure that contractual obligations (eg having resources available to pay professionals, contractors etc) are met as the project proceeds.

This information can then be used to inform the development of the project cash flow for the business plan.