Six things: the real cost to finish from today, a completed value clearly above total cost, two credible exit routes on a long enough tenure, clean security over the land, building and company, a sponsor with a track record and their own money still in, and evidence of demand rather than hope. Illustrative — not financial advice.
How much more will it cost to finish?
Not what has been spent so far, but what remains to be spent until a guest pays — including licences and furniture — updated monthly. This “cost to complete” is the first number a capital provider checks. See cost to complete.
Will it be worth more than it cost?
It should be, clearly. The completed value needs to sit well above the total cost, because that gap is the safety margin when something goes wrong. Say a project costs USD 1.5 million all in and is worth USD 2 million finished: the USD 500,000 difference is the cushion. Illustrative — not financial advice.
How does the money come back out?
Through two real routes, not one — such as a sale backed by comparable evidence, or a refinance once the business is trading. And on a tenure long enough to build, operate and still sell: around 80 years of HGB building rights, not 12 years left on a lease. See exit strategy.
What secures it?
The land, the building and the company that owns them, with clean paperwork and current permits. With Ascendure, that typically means land certificates held by its notary, security over the PT or PT PMA and its assets, and the project account. See security over HGB and a PT PMA.
Who is building it?
Someone who has finished a project before, can be referenced, and still has their own money in the deal. Ascendure visits the site and meets the owners before any funds are released.
Will guests actually come?
Show evidence, not optimism. “The villa next door is 68% full at USD 190 a night” is evidence; “it will do great” is not. The newer the area, the more evidence is needed. For what to prepare and how long a decision takes, see the documents you need and how long it takes to get funded.
Sources: Illustrative framework by Ascendure. Not financial advice. General information about the Indonesian market, not legal, tax or financial advice.
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