How We Work
The Funding Process
A structured 16-step process spanning four phases — from initial engagement through full capital deployment. Each stage is designed to protect all parties and ensure institutional-grade execution.
Engagement
01
Submit Application
Client submits a complete application including a thorough executive summary of the project.
Note
Application must be complete. Incomplete submissions will not be advanced for review.
02
Demonstrate 10% Liquid Capital
Client must demonstrate the ability to fund 10% of the total funding request in liquid capital held in the client's name.
Note
Client MUST have and be prepared to demonstrate 10% in liquid capital of the total funding request in client's name.
03
Client Engagement Agreement
Client and M Prato and Associates sign a formal Client Engagement Agreement authorizing M Prato and Associates to legally represent the client throughout the funding process.
Note
Agreement covers legal representation, all procedures, and the fee structure.
Agreement
04
Package Logged with Funder
The complete package is formally submitted to the funder, who prepares a draft funding agreement for review.
Note
Timeline: 24 hours.
05
Review Draft Funding Agreement
M Prato and Associates reviews the draft funding agreement with the client and/or the client's attorney to confirm all terms are acceptable prior to signature.
Note
Timeline: 24 hours. Client's legal counsel is encouraged to participate in this review.
06
Client Signs Draft Agreement
Client signs the non-binding draft funding agreement between themselves and the funder.
Note
Only after this step is signed may the client and/or their attorney communicate directly with the funder and/or the funder's attorney. NO EXCEPTIONS.
07
Final Agreements Prepared
The funder's attorney prepares and distributes the final agreements — including all private and confidential funder information, banking, and legal details — for signature by all parties, beginning with the client.
Note
All terms, conditions, fees, formation and ownership of the Special Purpose Company, and all processes are fully outlined in the final agreements.
08
Final Agreement Signed by All Parties
All parties execute the final funding agreement.
Note
Signatures completed via DocuSign.
Escrow & Insurance
09
Client Sends 10% to Escrow
Client has 3 banking days to wire their 10% contribution to an attorney-to-attorney escrow account.
Note
Escrow held by Grey Reed — a major law firm based in Dallas, Texas.
10
Insurance Wrap Completed
Funds are held in attorney escrow until the insurance wrap is completed, issued, and accepted by the client. The entire package — the client's 10% deposit and the funder's 90% — is protected and bound by a major globally known third-party insurer.
Note
Client is named in the insurance policy. Coverage is provided by a major globally recognized third-party insurer.
11
Client's 10% Transferred to SPC
The client's 10% portion is transferred from the funder's attorney escrow into the Special Purpose Corporation (SPC).
Note
Process is outlined in the final funding agreement.
Funding
12
Deal Commences — Day One
Funding officially begins. Day one of the funding period is established.
Note
All prior conditions have been satisfied. The project is now in active funding status.
13
First Draw — 30% Released
Within 30 days of Day One, the first draw of 30% of the total funding amount is made available to the client.
Note
Funds held in the SPC, owned 50/50 by client and funder. Client is a signer on the account.
14
Second Draw — 40% Released
30 days from the first draw, 40% of the total funding amount is made available to the client.
Note
Funds held in the SPC, owned 50/50 by client and funder. Client is a signer on the account.
15
Third Draw — 30% Released
30 days from the second draw, the remaining 30% of the total funding amount is made available to the client.
Note
Funds held in the SPC, owned 50/50 by client and funder. Client is a signer on the account.
16
Fully Funded
The project is fully funded. All capital has been deployed and is accessible to the client through the SPC.
Note
Funds held in the SPC, owned 50/50 by client and funder. Client is a signer on the account.
Ready to begin?
Download the funding application to begin Step 1, or submit a private inquiry and our team will be in touch.