Can off-plan sales repay a completion or construction facility in Bali?

How does the money actually flow?

Through one bank account set up for the project — a cash management account (CMA) controlled jointly by you and the capital provider. Facility drawdowns, buyer deposits and sales proceeds all go in; contractor, supplier and marketing payments go out. Both sides can see every transaction.

During construction, the cost of the facility can be added to the facility from day one, so nothing is payable while the building goes up. Once construction is complete, sales proceeds in the account repay the facility as a priority.

What happens to buyer deposits during the build?

They stay in the project account and are used for the project. That matters to buyers as much as to the capital provider: deposits paid into a visible, jointly controlled account cannot quietly leak into another project or the owner’s other businesses.

When deposits are not ring-fenced like this, buyers can end up with a half-finished villa and no clear claim. See what off-plan buyers can do when a developer runs out of money.

What does a capital provider look at in your sales contracts?

Whether the sales you have made will really turn into cash. Lawyers review the standard sales contract and the list of sold units as part of due diligence, and ask:

• The buyer payment schedule — how much is paid on signing, how much at each construction stage, and how much on handover.
• Defaults and cancellations — can a buyer walk away easily, and what happens to their deposit if they do?
• Arrears — are buyers paying their stage payments on time? A 10% shortfall on sold units can leave construction short of money.

See what documents you need.

Do strong early sales help?

Yes. The more units sold before and during the build, the faster the balance comes down once the project is complete — and the less it costs you overall. Early sales also show how the market receives the project, which is one reason Ascendure prefers owners to have launched sales before a construction facility is agreed.

What if sales are slower than planned?

A facility is set up with that possibility in mind. Terms run from 6 to 36 months, with an extension option of up to a further 12 months, which gives time for sales to catch up. Behind that sits the security: the land certificates or lease, the project company and the project account. A finished, sellable building is also far easier to sell than a half-built one — which is why the full cost to complete is committed from day one.

For how pre-sales can go wrong, see what happens when off-plan pre-sales slow down. Information only.

What happens once the facility is repaid?

Every further sale is yours. Ascendure takes no equity and no share of profit — no equity, you keep control — so once the facility is repaid, the project and its upside belong entirely to the owner.

Last reviewed October 2026. General information about the Indonesian market, not legal, tax or financial advice. Take advice from an Indonesian notary and legal counsel on any specific structure.