Sustainable and Renewable Funding
Actions for social good and our very survival lack funding.
We facilitate necessary financing for critical social and existential projects.
Resources, Participation & Know-How
- Across the globe there is $402 Trillion USD in net worth, and in the United States there is over $123.5 Trillion.
- All of us, as individuals and every legal entity can participate in financing our most mission-critical projects.
- CCFO knows how to harness our vast resources, allow everyone to participate, and keep their money!
We have the resources and know-how to do this, right now without one dollar of tax money, increasing the debt, or waiting for charity.
Everyone keeps their money while creating the financing to:
- Create millions of new jobs
- Fund Renewable Energy to combat climate change
- Build a National high-speed rail and new (retrofit) infrastructure
- Expand construction of low-income housing
- Provide Higher Education, Veterans’ and vocational training
- Expand Microfinance, and
- Achieve a full economic recovery
CCFO’s program is simple, transparent, comprehensive, and conscientious.
The program uses existing financial structures to allow people to create direct finance for projects they want to support. Guarantees and insurances reduce the risk, and a clearly-defined payback is built into each program to ensure the Funders’ assets are released at the end of the project.
This will inject $Trillions into the global economy, by increasing availability (monetary liquidity) and accelerating the circulation of money (velocity of capital).
This is the six-step process for a Conscientious Credit Funding.
At its simplest: DESIGN, COMPLY, FUND, FINANCE, PAYBACK, RELEASE
REPEAT – EXPAND
CCFO works on specific projects to define each step of the cycle to confirm all the components needed to move forward are in place to get a project funded. CCFO provides the contracts to govern each step of the cycle. Each Project Operator agrees to adhere to the case-specific plan to safeguard and release the Funders’ collateral pledges.
To safeguard the Funders from calls on their collateral pledges, the government will issue guarantees, or CCFO will find stop-loss insurance, and completion bonds will be required. Sophisticated and good-willed corporations may decide out of self-interest to fund projects without a full spectrum of safeguards.
Construction projects will require completion bonds. On major initiatives that are normally funded by the Government, the Government will issue Guarantees to protect the collateral pledges of Funders. CCFO will assist other Project Operators to package their submission for stop-loss assurance policies from the major special insurance companies, (Berkshire Hathaway, AG Zurich, and Lloyds of London, to name a few). These types of financial assurance policies typically cost an up-front, one-time premium of 5–10% of the total loan.
They underwrite the cost to assume the risk of full payoff of the loans, AFTER:
- FIRST position completion bonds (approximately 2% cost) where possible
- SECOND position the cash flow and assets of the specific project
- THIRD position the full faith and credit of the Project Operators. Each Project Operator has to pledge its full faith and credit to repayment of the loans. So, if necessary, they may have to use donations or other assets to cover any shortfall to achieve total repayment.
Personal Development Programs that rely on individual beneficiaries future repayment from new wages will require life, disability, and health insurances on each individual, all designed to insure full payback and release of the collateral.
Everyone with extra money who is motivated by either survival instincts, patriotism, self interests or altruistic reasons can become a Funder.
As an added incentive, CCFO is actively lobbying in the U.S. for making the interest on the CDs tax-free, and a proposed Fund America Now Tax Credit set at 3% per anum, resulting in a 9% tax credit on a three-year pledge up to a 21% tax credit on a seven-year pledge according to the number of years of the collateral pledge. (See Tax Proposal)
Corporate proposals will typically, but not necessarily, match up company strategic interests with the enrolled programs. For example:
- Low-income housing funded by lumber, housing materials, and supplies companies.
- Microfinance funded by communications, pharmaceutical, and medical supply companies desiring third-world markets.
- Vocational training programs for Registered Nurse/Certified Medical Technician credit funded by the healthcare sector.
- Expanded Veteran vocational training funded by patriotic corporations expressing goodwill.
The CDs remain interest-earning assets of the depositor. Non-cash assets acceptable to the banks as pledged collateral will greatly increase further availability of funds.
The banks are happy, they get a large CD, which allows them to fund a portfolio of loans at a multiple of the CD amounts. As a prerequisite to funding the loans, the risk mitigation factors have to be met, completion bonds and either the government guarantees or the stop loss limit assurance policy has to be purchased, and payment of the fee to CCFO occurs at funding.
The projects receive a net funding of over 85 – 90% of the collateral pledges. This 15% cost of funds is a significant savings from the average fund raising costs for charities, which range between 20% and 30%, plus the enormous time and effort of constant, never-ending fundraising.
As designed in Step 1, beneficiaries or end users will purchase, rent, pay a usage fee, or pay toll fees to use new or retrofitted forms of sustainable energy, transportation, infrastructure, public utilities, and public works. To address former inequities, WAIVERS OF PAYMENTS will be considered for qualifying low-income beneficiaries.
On public works, infrastructure, and renewable energy projects a portion of the future revenue stream will be packaged for sale to fixed income and bond investors, such as major insurance companies.
The revenues sold will be available after deductions for ongoing management, maintenance, reserves, and where appropriate, designated operating profits. Sales proceeds will pay off the construction loans and release the collateral pledges. The government could declare the revenue streams to be tax exempt, which would enhance pricing and sale proceeds.
Personal development program beneficiaries will contract to invest in their own future by agreeing to pay 10% – 20% of new wages to cover all costs of their education, training, insurances, and any income stipends. To accelerate personal repayments, eventually all wages used to pay back loans must be tax exempt—currently this can be achieved when paying forward funds to operating charities and charitable donations, and/or employers can discount the amount of repayment from wages and pay the proceeds as deductible fees.
Each and every beneficiary creates the cash flow to pay back the total cost of the project funds, including interest and costs of CCFO funding.
Low-income families pay off construction loans by purchasing their new homes with mortgages used to return all costs plus interest plus profits to the builder, which repays the bank construction loans.
Microfinanced women pay it forward by paying off their loans to the microfinance organizations to reduce the bank loan balance.
Payments from Step 5 pay off the bank operating/construction loans and the collateral pledges, which have been paying interest, are released without cost to the Funders.
Here is the most exciting part—Funders are free to use their funds as they wish. Perhaps they will increase their deposits for the next cycle!