Our Fees Structure
An overview of our Fees Structure.
Capital | Africa uses a innovative success-based methodology and receives income as a result of successfully raising funds for clients. The viability of the investment proposal or project is therefore critical to CA. We usually do NOT accept capital raising engagements below USD 500K; however, special considerations can be made should the proposal or project be of high quality. There is no maximum amount for capital raising transactions that CA undertakes.
CA requires that a Travel Contribution is paid and a Sign-On Retainer may be imposed entirely at the discretion of the Client. The only other fee paid by the Client to CA is the agreed percentage of the gross amount of funds actually received by the Client. CA will not entertain the provision of funds without a meeting between the Principal of CA and the Client. The Travel Contribution helps defray our travelling & accommodation expenses (see Table 1). It also confirms intent and speeds up the process.
The (optional) Sign-On Retainer permits CA to recoup fees paid to researchers and other consultants, communication expenses, referral fees, etc. If the Client decides not to pay a Sign-On Retainer CA will negotiate a higher percentage on gross funds raised. Alternatively, the Client may prefer to pay the published Sign-On Retainer to lock in a lower percentage (see Table 2).
Travel Contributions
Capital | Africa does not entertain the provision of funds without a meeting. The Travel Contribution is designed to reduce our travelling & accommodation expenses. Meetings may take several hours or a day or two and participation by the Client's colleagues, associates, lawyers, accountants, etc., is encouraged. All initial meetings are attended by Mr. Karume and cover every aspect of the project, the method(s) of fund raising to be employed and the steps required to achieve a successful result.
Table 1. Travel Contribution
| Geographical Region |
US$ |
| Tanzania (outside Dar es Salaam) |
$500 |
| Kenya |
$750 |
| Uganda |
$750 |
| Rest of Africa |
$1,000 |
Sign - On Retainer & Success
Aside from the Travel Contribution and Sign-On Retainer the only other fee paid by the Client to CA is the agreed percentage on funds raised and received by the Client. Clients have a choice of four (4) options (A,B,C & D) as per Table 2. Fees
Table 2. Sign-On Retainer + Success Fee
| Option |
Sign-On Retainer |
Plus % on Borrowings |
Plus % Equity Capital |
| A |
US$ 2,500 |
By negotiation |
By negotiation |
| B |
US$ 5,000 |
5.0% |
6.0% |
| C |
US$ 10,000 |
4.0% |
5.0% |
| D |
US$ 20,000 |
3.0% |
4.0% |
|
