Good investment plan from financiers' point of view Dr.sc.ing. Ilze Puriņa Chairperson of the Board Latvian Environmental Investment Fund

What convinces financier You have to show: that you understand specifics of the market where you operate – factors that influence your company's income and costs that you know what you own and how to manage it: –how your company and technical system works from technical and financial point of view –which are the main risks in it and how you manage them realistic assessments – cost and income side, risks and mitigation of them that you know what and why do you want to do

Good business plan Development vision Balanced cost side and income side Justified technical solutions Implementation and further management capacity

Development vision Vision – not from today's perspective but from long term perspective Don't make business plan for financing source – to get money, but for your needs! Question to be asked – do we really need to implement this project: –it is not ad-hoc idea but part of long-term strategy –it is not done only to take financial resources available Always find cooperation partners – customers and municipality

Balanced costs and income side Income side – be a bit more pessimistic than you think – will be more, will be better! Costs side – be a bit more sceptic – will be less, will be better! Critical risk aspects in your assessments: –number of clients – today and in future –average consumption m3 per client –losses

Technical solutions Realistic in assessment of capacities need – again not from today's but from tomorrow's point of view Investment costs and operational costs

Implementation and further management capacity Project implementation capacity – investor should be sure that you will be able to plan and supervise implementation of the project – from financial and technical point of view – good if your staff has done something similar before! Further management capacity of new equipment installed: –investments should bring expected benefits – improved quality of drinking water etc. –you should have: professional staff good monitoring system – beginning for new projects

Key question Would you give money – if it would be your money – for investment in this project