Our Process

Once our Analysts have completed the review of any given client's documents (or introducer's client's documents) and give it a positive review, before presenting the project to our Executive Committee we expect our clients and introducers to have read and agreed with the following:

If this process is understood and accepted by the client(s) and introducer(s), we move forward with the respective project and submit it to our Executive Committee for the issuance of a Term Sheet.

If the project is retained by the Executive Committee, then a Term Sheet is prepared and if the TS is accepted , then the Project returns to our Executive our Administration Dept. and is forwarded by e-mail to both the client(s) and introducer(s). After this, the Committee for Final Approval issues a Formal Investment Proposal.

Having said that, Capital Corp is very different from anyone else in the industry in that we do not charge any Application Fees, Review Fees, Meeting Fees, Stand-by Fees, Pre-Due Diligence Fees, nor any other type of up-front fees; in fact, we charge no fees whatsoever until such time as Capital Corp is ready to commit to the project by way of a Term Sheet (as explained hereafter).  This, however, does not mean that there are no fees at all - on the contrary.

In that respect, and as indicated on our web site, Capital Corp is a Principal - hence, Capital Corp will invest its own money into the Project BUT Capital Corp is never alone in any given transaction, meaning that a portion of the funding required for any given project will be placed by Capital Corp with institutions like pension funds.  What's more, Capital Corp will collect upon funding (Closing) a 5% Closing Fee of the portion of the funding that we will place on the market, and that 5% is payable upon funding only.

In addition to those fees and as clearly indicated in the Capital Corp Application for Funding, any given client will have to spend money for an Appraisal Report, an Economical Viability Report and a complete audit of the project (Due Diligence) and all three of these reports will need to be performed by Professionals in the Industry such as international accounting firms (ex: Ernst & Young, Deloitte Touche, KPMG, PWC) or people like American Appraisal Associates for the Appraisal Report.  Any given Firm retained will be based in the USA.

As for the costs of those reports, we encourage clients and introducers to contact any of the aforementioned international Firms and they will gladly provide the information related to the costs, which will vary depending on the size of the project.

It is very important for both the client(s) and introducer(s) to realize that generally speaking all three Reports have to be paid in advance to those Firms; thus, if any given client is not in a position to afford the costs of those reports, then there is no use in going further with the proposed transaction.  In such a case, ourwe suggest that this issue be thoroughly discussed among the client's colleagues and advisors, so that it may be clearly understood that  money will need to be disbursed on the three Reports we mentioned in order to bring access to the funds needed for the respective project, we wish to reiterate that the monies disbursed will be spent on International Appraisal Firms or International Accounting Firms - not with Capital Corp.

Having said that, and presuming that after discussing the issues of Reports needed a client is comfortable that he/she can afford the cost of those reports, then the client is back in contact with us, after which we shall submit the client's project to our Executive Committee for the issuance of a Term Sheet ("TS") with general details about the Structure we propose for the funding.

If the Client accepts the TS, then we refer the file back to the Executive Committee for the issuance of an Investment Proposal, which will re-iterate what was in the TS, in more elaborate terms, and if the Proposal is signed then a project generally closes within 60 working days, subject to : 1) A positive Appraisal Report 2) A positive Economical Viability and 3) A positive Audit (Due Diligence) of the Project.

Last but not least, upon signing the TS, any given client is required to pay a Refundable Fee of $12,500.00 and then upon issuance of the Investment Proposal a Refundable Fee in the amount of $35,000.00. Of note: if the transaction does not close because of Capital Corp's fault, the totality of the Fees are returned to the client.

Respectfully Yours,

Capital Corp Merchant Banking