The Capstone Global FinanceProject Funding Program

Providing Our Clients with Project FundingOptions with Enhanced Collateral

Facts, Information & Process

Part 1: General Information

The Capstone Funding Product Funding is provided by banks against collateral (BG/SBLC).

Funding Parameters Minimum project funding request: €10 Million euros ($USD 15 million dollars). Maximum project funding request: €150 Million euros ($USD 200 million dollars). Collateral will be valued according to the total project cost.

Tenure One year, with option to extend the bank instrument for up to five years. Bank instruments will not be extended beyond five years.

Timing An initial application for pre-approval for project funding will take 15 to 30 days to process. An application for project funding approval and launch will take 60 to 90 days following pre-approval, depending

upon the sponsoring company’s cash liquidity situation (see next section ‘Required Liquidity’).

Required Liquidity €350,000 euros ($USD 480,000 dollars), which is the down payment towards the costs associated with the bank

instrument.

Funding Costs Collateral rental charges: up to 8% annually. Bank interest: up to 6%. Funding Program Closing Costs: 7% to 8%.

Development & Processing Charges €22,500 euros ($USD 31,000 dollars) will be paid on client acceptance of the Capstone/IBG Term Sheet. €27,500 euros ($USD 38,000 dollars) will be the additional cost when the Capstone Joint venture Partnership

Program is used to help clients that lack cash liquidity (See Part 2 Section D below).

Part 2: The Capstone Global Finance Project Funding Program

Section A. Client Qualification Criteria

Legitimate transaction controlled directly by promoters. Promoters must have a good track record in project and/or corporate management. Viable project with comprehensive business plan containing five years’ forecasts & projections. Client must be solvent. If applicant is a start-up, there must be no other loans in existence. Promoters must have a clear exit strategy to retire the bank instrument.

Section B. Client Documents to be submitted:

Client Information Package (CIP). Company Incorporation documents. Last three years audited financial statements (if available). Comprehensive business plan containing five years’ forecasts & projections. Promoters profiles (include all directors & senior managers). Ensure exit strategy to retire the bank instrument is included in the business plan. Provide a Proof of Funds ( POF) statement that is not more than two weeks old. Advise the bank instrument draft terms.

Section C. The Capstone Global Finance Funding Process

Capstone will review documents received from the sponsoring company (the client) and confirm that Capstone will accept the project into the funding program. Capstone and the sponsoring company will sign a mandate for Capstone to represent it through the funding process. If the sponsoring company lacks the required cash liquidity, Capstone will conclude an agreement under the Capstone Joint Venture Assistance Program, and initiate action to recruit a suitable investor. Capstone, in conjunction with the sponsoring company, will develop an appropriate funding proposal based on the use of a bank instrument, and submit the proposal to the bank instrument provider. Capstone will deal with all queries, clarifications and requests for additional information received from the bank instrument provider. Capstone will obtain the term sheet and pass it to the sponsoring company. Capstone will respond to all queries received from the sponsoring company. When the term sheet is signed by the sponsoring company, Capstone will arrange for the sponsoring company to meet the bank instrument provider in Europe, or other mutually acceptable venue. Capstone will recommend a suitable escrow agent, which will be a reputable law firm in Europe. The sponsoring company may also, in its discretion, recommend a suitable law firm in Europe. The sponsoring company must place €350,000 euros ($USD 480,000 dollars) in escrow as processing fees in a client account.

The liquidity requirement is low by industry standards as a benefit provided to sponsoring company clients by Capstone Global Finance, which negotiated this benefit as part of its client service. The bank instrument costs will be deducted from the disbursement of the loan funds. Capstone will act as coordinator between the sponsoring company, the bank and the bank instrument provider to ensure the process is pursued in accordance with an agreed timetable and ensure the funding arrangement is concluded on time.

Section D. The Capstone Joint Venture Assistance Program

1. Applicants seeking project funding pursuant to the Capstone Global Finance Project Funding Program are required to have a specific minimum amount of cash liquidity. At present, that amount is €350,000 euros ($USD 480,000 dollars), Where an applicant does not have sufficient cash liquidity, the applicant may receive assistance through the Capstone Joint Venture Assistance Program.

2. Applicants requiring help to comply with the cash liquidity criterion will be required to conclude a contract with Capstone Global Finance under which, Capstone Global Finance will take action as may be appropriate to recruit a suitable investor as a joint venture partner to provide the €350,000 euros ($USD 480,000 dollars) on term and conditions to be agreed between the applicant and the joint venture partner. Capstone will act as both catalyst and facilitator in helping the parties to negotiate an acceptable arrangement between them. However, Capstone gives no guarantees, express or implied, that investors will contribute to a particular investment proposal.

Part 3. The Capstone Project Funding Program in Action

A Project Illustration: Funding an €80 Million Euros Renewable Energy Solar Project

Mr. William DeMarches owns a profitable Renewable Energy consulting and development firm. He and his firm have developed their tenth Solar Energy Project. They own five of the previously built projects with large Joint Venture Partners and have sold five others, due to liquidity exit plans of the partners. He would like to build this new project on his own and retain 100% of the equity in it, for a long term hold strategy, and not be forced by a financial partner's demands to exit.

His firm has invested over 2M Euros to develop the project, including land options, engineering and permitting, etc. He is looking for a finance structure for 100% of his total project needs of 80M Euros for the lowest equity injection possible. He has looked at various structures but conventional and alternative sources require a minimum of 20% equity from the sponsor before they even indicate interest. The only feasible alternative, a private Bond structure, requires a minimum of 500,000 to 1M Euros to float and can take up to six months to fund. He believes the latest offer he has received fits the need perfectly.

He has found a program that requires a minimum equity of €300,000 Euros. Beyond the initial deposit, it provides 100% of all costs associated with the funding. All costs can be rolled into the structure. By utilizing collateral that the Bank can effectively secure the project with and lend against (a Bank Guarantee) the bank will go into over-drive to underwrite the loan and close. Total time, if all goes well is approximately 8-10 weeks. Bill has now applied and been accepted within days of submission. The other excellent features of this loan:

There are no fees to Apply/Equity required will reside in owner-designated escrow

No preliminary project development fees are paid until Term Sheet is accepted.The interest rate is very competitive at 5-6%.Reserves are created so that Loan is paid back in record time, William will own it 100% within 5 years.This is the most cost-effective structure available today for low cost 100% equity.Frequently Asked Questions

Q. What is the exact amount of cash liquidity required by applicants for funding? The amount usually required will be a minimum of €350,000 euros ($USD 480,000 dollars), however this may vary in particular circumstances that will depend on the size of the project and special requirements from the bank instrument provider..

Q. What types of projects qualify? All greenfields projects qualify, sector agnostic, if they meet the Client Qualification Criteria set out in Part 2 Section A..

Q. What if I don't have the level of cash required on hand? Capstone may be able to assist you by helping to find a joint venture partner to provide the cash liquidity. Please inquire about our Capstone Joint Venture Assistance Program.

Q. What is the expiration date of the Bank Guarantee? The BG is active for 1 year. However, you will have the right to extend the operation of the BG for up to, but no more than five years.

Q. What if I find permanent financing after the project is built? You may pay the bank loan with third party funds or accumulated cash reserves from the project itself.

Q. Why are there project development fees? The Capstone funding process requires that your business plan be restructured into an acceptable proposal for the bank to underwrite. All coordination, communication and details to closing are covered in the small consultancy fee.

Q. When are preliminary fees paid? There are no fees or charges collected until you have accepted the term sheet from the bank. There is no risk to the borrower in this funding process.

Q. What is the approval process? You simply send us your project on our submission form, attach all relevant documents such as your comprehensive business plan. You must also submit the client information request form.

Q. How long does it typically take to be funded? If you respond to requests about your project in a timely manner, the funding process will normally take between 8-10 weeks from when your project is given pre-approval for funding.

Q. How do I ensure that I have enough capital built into the total costs to cover all immediate costs, as well as re-collateralisation every year? Capstone project consultants will format the project costs after consultation with you, having regard to anticipated timelines etc. Reserves can be built in project operations to ensure that funds are available for all purposes.

If you have any queries about topics not mentioned above, or you simply wish to find out more about the Capstone Global Finance Project Funding Program, please don’t hesitate to email me or call me on Skype or by telephone.

Christopher C. JankowskiCapstone Group, Ltd.

Business/Finance Intermediaries315.299.3350 direct315.308.1280 voice315.374.7573 cell

christopherjankowski Skypechris@capstonecommercialgroup.com

www.capstonegp.com