Covenant Financial Group

“Exit Strategy” for Private Placement Investment Funding

Asset-backed “guarantee” for investor protection

From the point of view of private placement investors, they do not invest in “projects” – they purchase shares against “asset backing”.  A successful private placement investment offering must show a solid “Exit Strategy”, best in the form of asset backing, to protect 100% of investor capital.  A startup company can only demonstrate this capability by arranging and structuring third-party assets, which should be done by licensed certified institutional services.

This service provides all necessary components, including:

  • Establishing an Exit Strategy by providing third-party asset backing
  • Structuring the investment offering to cover costs of assets from funding
  • Customizing Exit Strategy section of private placement memorandum (PPM)
  • Customizing investor purchase contracts to accommodate Exit Strategy
  • Referral, placement and/or facilitation with potential funding sources
  • Transactional support to assist with efficient funding closing

It is possible to complete the documentation and preparation stage within 30 days, and to place the client with a funding source and help obtain a loan or investment within another 30 days.  Thus, with the cooperation of the client funding results can be achieved within an estimated 60 days.

This capability is provided through Funding Support Services directly with a licensed private banking institution that is also an authorized securities dealer and asset-backing underwriter.

Covenant Financial Group