1. Project purpose. What is it and who is involved?
2. Repayment capacity. Can the investment to be recovered over a specific time period?
Does it give investment (cost) parameters? Can it convince bankers the
investment is needed, even if it is marginally feasible? 1. Projected Financial Returns. What are projected revenues, operating costs, and net income? 2. Economic Benefits. What is the return on investment and the internal rate of return of the project
The financial blueprint package should contain:
1. The assets to be financed. 2. What is the project's funding potential and repayment terms? What is the rate of conversion to cash-liquidity? 3. What are internal (yields, costs, etc.) and external (inflation, energy, etc.) project risks? What if the key assumptions are not perfect? What is the group’s risk exposure? 4. Evaluate economic consequences. Do net reserves cover capital cost? Does the plan keep the project from capital erosion? 5. What are the projected cash flows, operating statements, and balance sheets? What are the source and use of funds 6. Financial commitment of members 7. Documentation. What rationale is used to support the assumptions?