Because it ties money to proven progress. Each release follows a completed, independently checked stage of the build; if a stage slips, the next release pauses; and on projects that sell units, the balance can step down as sales complete. That prevents the classic failure where the cash is gone and the building is half done. Information only.
What does “released in stages” mean?
The money is agreed up front but paid out in parts, each tied to a visible milestone — foundations, structure, roof, services, finishes — rather than handed over in one lump. You receive the next part when the previous stage is done.
Who checks each stage?
An independent inspector, before each release. With Ascendure, that is an independent quantity surveyor — a construction cost professional who certifies how much work has been done and what it is worth. Checking at each stage catches problems while they are still cheap to fix.
How does that protect the owner?
It keeps contractors on programme. If a stage falls behind, funding for the next one pauses until the work catches up, so money is never running ahead of the building. Ascendure pays releases to a single contractor or into a jointly controlled project account, so the funds go where the certificate says they should.
Does the owner still know the full amount is there?
Yes — that is the point of committing it from day one. Ascendure commits the full cost to complete at the start and releases it in stages, so the project is not left hoping the next tranche will be approved. There is no fee on committed amounts not yet drawn.
What happens as units sell?
Where units are sold, the balance outstanding can reduce as each buyer completes, lowering risk as the project proves itself. Sales proceeds in the project account repay the facility first; after that, every further sale is the owner’s. See repaying a facility from off-plan sales.
If the contractor leaves mid-build, staged release also limits how much has been paid ahead of work — see what to do when a contractor walks off.
Sources: Illustrative framework by Ascendure. Not financial advice. General information about the Indonesian market, not legal, tax or financial advice.
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