Notice. FG Capital Advisors provides blended finance structuring, transaction preparation, and capital stack support. We are not a bank, not a fund, and not a guarantor of funding. Any financing outcome remains subject to provider underwriting, institutional process, diligence, KYC and AML checks, legal review, documentary standards, and final approval.
Blended Finance Structuring
Some projects are commercially real but still too early, too exposed, or too policy-sensitive for plain vanilla private capital. That is where blended finance comes in. The problem is that many sponsors use the term loosely. They know they need grants, guarantees, concessional debt, first-loss support, or catalytic capital, but the capital stack itself is not yet structured in a way that a serious funder can assess.
Our blended finance structuring work is built for sponsors, developers, operators, and originators who need to combine commercial capital with public, concessional, or risk-sharing layers. The point is to build a coherent financing case, not to mash different sources together and hope somebody bites.
This is suitable where:
- The project cannot be funded on a pure commercial basis alone
- The capital stack needs guarantees, concessional layers, or catalytic loss absorption
- The sponsor needs a clearer structure before approaching DFIs, foundations, or impact capital
- The case is infrastructure, climate, agriculture, industrial, or public-interest oriented
What The Service Is For
This service is meant to answer a hard financing question. What mix of capital can make the project financeable without breaking the economics, and what does each tranche need to do? That means looking at the senior debt capacity, sponsor equity position, grant or concessional role, guarantee needs, risk allocation, and the commercial logic that ties the structure together.
It is not conceptual strategy work. It is front-end structuring for real financing situations where one capital source is not enough.
What We Usually Review
Capital stack design including how senior debt, subordinated support, guarantees, concessional tranches, and sponsor capital should interact.
Risk allocation including which risks can be borne commercially and which need mitigation, enhancement, or catalytic support.
Use of proceeds and tranche logic including how each source of capital is applied and why that source belongs in the structure.
Fundability gaps including the weak points likely to trigger pushback from commercial lenders, DFIs, impact funds, or guarantee providers.
Blended finance only works when the stack is disciplined. If the roles of each tranche are unclear, the whole thing starts to smell loose. A paid structuring review helps tighten that before the file reaches the market.
Why Sponsors Use Blended Finance Structuring First
| Reason | Commercial Benefit |
|---|---|
| Clarify the role of each tranche | It helps separate what should be funded commercially from what needs concessional or catalytic support. |
| Reduce structural confusion | It prevents the project from going to market with a vague or internally inconsistent capital stack. |
| Surface risk gaps early | It highlights the issues that may require guarantees, reserve support, first-loss protection, or a different sequencing of capital. |
| Improve funder conversations | It makes later discussions with lenders, DFIs, and impact capital providers more focused and more credible. |
Where We Fit
We sit between broad funding ambition and live capital provider engagement. That means helping shape the capital stack, tighten the financing logic, identify what a serious reviewer will challenge, and improve the transaction before it is taken to lenders or institutional capital sources. It is paid work because this is real structuring with direct consequences for financeability.
Frequently Asked Questions
Does this guarantee blended finance can be raised? No. It improves structure and market readiness, but all funding decisions remain subject to provider process and approval.
Who is this work for? Sponsors, developers, operators, and originators with projects that need a mix of commercial and catalytic capital to become financeable.
What usually makes a blended finance case weak? Unclear tranche roles, poor risk allocation, unrealistic leverage, weak sponsor support, vague use of proceeds, and no coherent explanation of why concessional capital is needed.
What is the output? A clearer view of capital stack design, structural weak points, mitigation needs, and whether the file is ready for lender-facing or institutional discussions.
Disclosure. This page is for informational and commercial purposes only and does not constitute legal, tax, regulatory, underwriting, or investment advice. Any financing outcome remains subject to provider appetite, diligence, documentary standards, internal policy, and definitive agreements.
