Five structures, drawn step by step

1. 1Investors pre-finance the work
2. 2You deliver the programme
3. 3Beneficiaries receive services
4. 4Results are measured against targets
5. 5An independent evaluator verifies
6. 6The outcome funder repays the investors with a return

Who carries the riskYou are paid upfront and repay nothing, investors carry the loss if outcomes are missed, the outcome funder pays only for verified success.

1. 1A guarantor covers part of the losses
2. 2A local lender offers loans on better terms
3. 3Borrowers repay

Who carries the riskA guarantee moves no money upfront, and most of it is never called.

1. 1Commercial investors provide senior capital
2. 2The facility owns and finances the asset
3. 3The asset delivers a service
4. 4An off-taker pays per unit
5. 5The facility repays
6. 6A donor or development finance institution sits beneath as first loss

Who carries the riskA recurring cost becomes an asset that repays itself.

1. 1Grant and investors seed the pool
2. 2The fund lends against invoices
3. 3Service providers deliver
4. 4The payer settles the invoice
5. 5The loan is repaid and the capital revolves

1. 1An investor or off-taker prepays for future credits
2. 2The project runs
3. 3Tonnes are reduced
4. 4A verifier and registry issue credits
5. 5Credits are sold
6. 6The revenue share repays the investor first, then the community and the organisation