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Project finance model adopted in BOT (Establish, operate, and transfer) design consists of several crucial elements. The funds are organized by way of a Unique objective car (SPV). A company might have the project them selves or subcontract a portion continue reading this of the project. In the absence of revenues during the construction phase, the interest on personal debt funds is compensated after the commencement of functions. Project funding is for projects which carry substantial threats to the cash employed. There is not any revenue for the companies participating till the commencement of operations.
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