- Providencia requests a brief description of the project or venture. If there is interest in project, Providencia will enter into a Confidentiality/Non-Disclosure Agreement with the project principals. Subsequent to such execution, a comprehensive business plan is requested. If there is no business plan, Providencia can provide one with the principals supplying all information.
- Site visit-due diligence. Dependent on the scope of the project, the corporation will proceed with financial, operational, managerial, governmental compliance, environmental, zoning, planning, engineering, political climate, and any other necessary due diligence investigation which assures the project's viability for all interested parties. Due diligence investigations typically require two to five days at the site plus additional time in our offices to accumulate facts, and the project/client is solely responsible for all costs, including air-fare, hotel, car rental, and professional time.
- Upon completion of the due diligence investigation and approval, the project is then deemed presentable to Providencia's Investors. Due diligence expenditures shall be credited to the project/client at closing.
- All legal services necessary to close the contemplated transaction shall be paid by the project/client. The project/client is encouraged to use his/her own attorney to cogenerate documents required for closing.
- Cost of funding at closing. In the event that the project/client receives funding as a result of the workings of the Providencia Partnership, Inc., the client agrees to pay the corporation a Success Fee at closing calculated on the scale set as follows: Six per-cent on the first million dollars or any part thereof, Five per-cent on the second million dollars or any part thereof, Three per-cent of the third million dollars or any part thereof, Two per-cent of the fourth million dollars or any part thereof and One per-cent of any amount in excess of four million dollars of the purchase price or investment amount in the project. The purchase price or investment amount is defined as the full amount contracted for, including purchase of stock, assets, notes, consulting and non-compete agreements, assumptions of debt, and amounts in cash or kind.
The capabilities of the Providencia Partnership, Inc. are the result of the combined years of knowledge and resources of the principals. Such principals have in excess of sixty years in the venture capital/equity arena. |