Actions for social good and our very survival lack funding.
Introducing a new concept for continuous funding of critical projects – Sponsors KEEP their FUNDS.
NO NEW TAXES | NO NEW DEBT | NO GOVERNMENT SPENDING
Resources, Participation & Know-How
- Across the globe there is $402 Trillion USD in net worth, and in the United States there is over $123.5 Trillion.
- All of us, as individuals and every legal entity can participate in financing our most mission-critical projects.
- CCFO knows how to harness our vast resources, allow everyone to participate, and keep their money!
We have the resources and know-how to do this, right now without one dollar of tax money, increasing the debt, or waiting for charity.
KEEP FUNDING allows everyone to keep their money while creating the financing to:
- Create millions of new jobs
- Fund Renewable Energy to combat climate change
- Build a National high-speed rail and new (retrofit) infrastructure
- Expand green construction of low-income housing
- Provide Higher Education, Veterans’ and vocational training
- Expand Microfinance, and
- Stabilize a full economic recovery
If this sounds familiar, it is. This is very similar to the way WWII was financed. FDR sold “War Bonds” and we bought them, to the tune of $187.5B (~$2.25 trillion in today’s dollars). 85 million Americans (64%) bought the bonds and we won the war. If that percentage of the US participates today, 219 million Americans would be funding the future. What can 219 million Americans do? Just about anything, we think.
Front Runners Podcast: Investor Series – Neal Katz is Innovating How To Finance Impact Projects
CCFO’s program is simple, transparent, comprehensive, and conscientious.
The program uses existing financial structures to allow people to create direct finance for projects they want to support. Guarantees and insurances reduce the risk, and a clearly-defined payback is built into each program to ensure the Sponsors’ deposits are released at the completion of the project.
This will inject $Trillions into the global economy, by increasing availability (monetary liquidity) and accelerating the circulation of money (velocity of capital).
This is the six-step process for Conscientious Credit Funding.
At its simplest: DESIGN, COMPLY, FUND, FINANCE, PAYBACK, RELEASE
How Keep Funding Works
REPEAT – EXPAND
1 DESIGN: CCFO reviews and custom designs the full KEEP FUNDING cycle of a potential project to generate bank financing while protecting the Sponsors.
CCFO works on specific projects or mandates to define each step of the cycle to confirm all the components needed to move forward are in place to get a KEEP FUNDING project financed. CCFO Financial institutions provide the contracts to govern each step of the cycle. Each Project Operator agrees to adhere to the case-specific plan to safeguard and release the Sponsors’ collateral pledges.
2 COMPLY: Risk Mitigation – Protecting Sponsors’ Money. Insurance protections and/or Government guarantees are attached.
To safeguard the Sponsors from calls on their collateral pledges, risk mitigation measures will be implemented, ranging from completion bonds and insurances to acquisition of Stop Loss Assurance bonds. Eventually, government guarantees and/or tax credits based on deposit amount and duration of pledges could further expand Keep Funding Finance. Sophisticated and good-willed individuals and corporations may decide out of self-interest to fund projects without a full spectrum of safeguards.
Construction projects will require completion bonds and a significant pre-construction investment. The entire assets of a given project and the Completion Bond are the primary sources to remedy any loan repayment shortfall.
Personal Development Programs – higher education, vocational training programs that rely on either individual beneficiaries or employer-paid placement fees for future repayment from new wages will require life, disability, and health insurances on each individual, all designed to insure full payback and release of Sponsor collateral.
- FIRST position: completion bonds (approximately 2% cost) where possible
- SECOND position: the cash flow of the specific project
- THIRD position: assets of the project including the initial investment equal to 25% – 35% of the total costs which include land acquisition, and project development including design, permits, and zoning.
Personal Development Programs that rely on individual beneficiaries future repayment from new wages will require life, disability, and health insurances on each individual, all designed to insure full payback and release of the collateral.
3 FUND: Individuals, public Master Limited Partnerships, corporations, trusts, charities, and foundations become Sponsors by going to contracted banks to buy Certificates of Deposit (CDs) and execute a collateral pledge to secure project finance.
Everyone with extra money who is motivated by either survival instincts, patriotism, self interests or altruistic reasons can become a Sponsor.
Master Limited Partnerships with a designated investment mandate can aggregate smaller amounts of funds for deposit and collateral pledges to repeatedly finance specific investments.
Corporate proposals will typically, but not necessarily, match up company strategic interests with the enrolled programs. For example:
- Low-income housing funded by lumber, housing materials, and supplies companies.
- Microfinance funded by communications, pharmaceutical, and medical supply companies desiring third-world markets.
- Vocational training programs for Registered Nurse/Certified Medical Technician credit funded by the healthcare sector.
- Expanded Veteran vocational training funded by patriotic corporations expressing goodwill.
The CDs remain interest-earning assets of the Sponsors. Eventually, Non-cash assets acceptable to the banks as pledged collateral will greatly increase further availability of funds.
4 FINANCE: The bank combines the risk mitigation measures with the collateral pledges and finances the project.
The banks are happy, they get a large CD, which allows them to fund a portfolio of loans at a multiple of the CD amounts. As a prerequisite to funding the loans, the risk mitigation factors have to be met, completion bonds and earnest monies, and any specified insurances have to be purchased.
KEEP FUNDING is also a means to address racial inequality in asset accumulation, especially at minority-owned and led banks. Lending limits per transaction are imposed on banks by the Federal Reserve based on total equity and certain ratios. Given that black-owned and led banks hold 0.0246% or 2.46 1/1000th ($5.2 Billion of the $21.1 Trillion Total Assets of all U.S. banks –2020), the minority banks are highly restricted per transaction. A KEEP FUNDING transaction, as a fully secured loan, is exempt from those limitations and will allow minority and community development banks to grow dynamically faster than now possible.
5 PAY BACK: The beneficiaries of the project pay down the loans, either directly through purchases, payments, or sale of a future revenue stream.
As designed in Step 1, beneficiaries or end users will purchase, rent, pay a usage fee, or pay toll fees to use new or retrofitted forms of sustainable energy, transportation, infrastructure, public utilities, and public works. To address former inequities, WAIVERS OF PAYMENTS will be considered for qualifying low-income beneficiaries.
On public works, infrastructure, and renewable energy projects a portion of the future revenue stream will be packaged for sale to fixed income and bond investors, such as major insurance companies.
The revenues sold will be available after deductions for ongoing management, maintenance, reserves, and where appropriate, designated operating profits. Sales proceeds will pay off the construction loans and release the collateral pledges. The government could declare the revenue streams to be tax exempt, which would enhance pricing and sale proceeds.
Personal development program beneficiaries will contract to invest in their own future by agreeing to pay 10% – 20% of new wages to cover all costs of their education, training, insurances, and any income stipends.
In many cases Employers will agree in advance to pay a recruiting / placement fee for new employees; Hospitals acquiring RNs is a good example.
To accelerate the rate of repayment and lower the overall costs, eventually, all wages used to pay back loans must be tax-exempt—currently, this can be achieved when paying forward funds to operating charities and charitable donations.
Each and every beneficiary creates the cash flow to pay back the total cost of the project funds, including interest and costs of CCFO funding.
Low-income families pay off construction loans by purchasing their new homes with mortgages used to return all costs plus interest plus profits to the builder, which repays the bank construction loans.
Microfinanced women pay it forward by paying off their loans to the microfinance organizations to reduce the bank loan balance.
6 RELEASE: The loan is paid off, Sponsors' assets released, and Sponsors are free to use their monies as they want, even to fund further projects.
Payments from Step 5 pay off the bank operating loans for construction or education and the collateral pledges, which have been paying interest to the Sponsors, are released without cost.
Here is the most exciting part—Sponsors are free to use their funds as they wish. Perhaps they will increase their deposits for the next cycle!
Every release of collateral pledge and redeposit for a new pledge creates a continuous cycle of:
SUSTAINABLE & RENEWABLE FINANCE
The CCFO Global KEEP FUNDING CHALLENGE and METRIC
1% of Liquid Assets deposited into Certificates of Deposit and pledged as collateral for KEEP FUNDING programs.
The KEEP Funding Score (KF Score) is the percentage of 1% of Liquid Assets deployed into the economy. If 0.5% of Liquid Assets is deployed, then the KF Score is 50; if a full 1% is deployed, then the KF Score is 100; if 2% is deployed, then the KF Score is 200.
PUBLICATION: Subject to the permission of participating Sponsors, CCFO Global will maintain and report KF Scores with quarterly updates.
3 ways you can get involved
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