Fees | Fidavora

Fee Structure

Stage 1

Initial Fee

Fidavora charges an Initial Fee of between USD $25,000 and $50,000 (these figures can vary).

The Client acknowledges the fees by signing a Fidavora Fee Agreement (based on the scope of work and complexity of the deal).

The Initial Fee is only payable when:

The Client has seen, acknowledged and executed the LoE & ITs secured via our Funding Channels and backed up by Lenders/Investors (this document is called the LOE & ITs).
If the Client walks away at this point and does not sign the LoE & ITs, then no fees are payable at all by the Client (unless arranged via any other document for separate work undertaken).
The Client would have also had the opportunity to have spoken with Fidavora and our Funding Channel about the LoE & ITs before signing the LoE & ITs.

Contribution Fee

The Funding Channel typically charges a Contribution Fee of min. GBP £8,995 to £14,995 – it depends on complexity of the case, jurisdiction and other factors. It is normally nearer GBP £10,000. V.A.T. is chargeable if the Company is UK based as per UK tax laws. On rare occasions this can be higher.

It is called a Contribution Fee as the Funding Channel must prepare credit reports and other third-party reports (not to mention paying for their analysts, offices etc).

This Contribution Fee is only due on the Client signing the LoE & ITs.

Stage 2

Fidavora

Fidavora typically charges a Completion Fee of 1.5-3% of the Investment Amount.

This applies to straight debt, equity, subordinated debt, convertible loan notes or any other structured funding, product or equity financing.

This Completion Fee is payable at the same time as the Client draws down on any Investment Amount, in cleared funds, and is payable to an account notified in writing to the Client by Fidavora.

Funding Channel

The Funding Channel typically charges a completion fee of 2-3% of the Investment Amount.

The Completion Fee is based on the final Investment Amount as per the Binding Written Offer Terms. This applies to straight debt, equity, subordinated debt, convertible loan notes or any other structured funding/product/equity financing.

This completion fee is payable at the same time as the Company draws down on any Investment Amount, in cleared funds, and is payable to an account notified in writing to the Company by the Funding Channel.

Lenders/ Investors

The Lenders/Investors typically charge a completion fee of 1 to 2% of the Investment Amount. The actual amount will be detailed in the Binding Written Offer Terms.

This fee depends on the choice of Lenders/Investors chosen to finance the Client.

This completion fee is typically deducted from the Investment Amount at source or sometimes can be added to it.

Legals and any further due diligence fees that may be required will be detailed in the Binding Written Offer Terms.

It will not be possible to state these as exact figures before full due diligence has been completed, as this due diligence will predicate the level of fees needed based on the remaining scope of work and complexity of the legals that the Lenders/Investors need to perform.

On the rare occasion, the following fees may be payable by the client:

Walkaway Fee

Fidavora charges a Walk Away Fee normally between USD $50,000 – $100,000 and is only payable if Fidavora facilitates obtaining for the Client Binding Written Offer Terms that match or betters the parameters within the LoE & ITs and the Client decides it does not wish to proceed and/or the Client fails to complete post signing the Binding Written Offer Terms.

This fee is charged as otherwise it would mean that Fidavora, the Funding Channel and the Lender/Investor would have wasted considerable time and efforts obtaining Binding Written Offer Terms that the Client does not then take up or fails to execute; this also causes Fidavora's relationship issues with all parties concerned etc.

Effectively, it can be considered a break-up fee, and if Fidavora does obtain Binding Written Offer Terms as outlined above, and the Client proceeds with completing the Funding Request and completes, this Walk Away Fee would never be payable.

Offer Fee

The Funding Channel charges an Offer Fee normally between GBP £50,000 – £100,000 and is only payable if it facilitates obtaining for the Client full Binding Written Offer Terms that match or betters the parameters within the LoE & ITs and the Client decides they do not wish to proceed and/or fails to complete post signing of the Binding Written Offer Terms.

This would mean the Funding Channel and several other parties would have wasted considerable time and efforts obtaining terms that are not taken up; it also causes relationship issues with Lenders/Investors etc.

Effectively, it can be considered a break-up fee, and if the Funding Channel does obtain Binding Written Offer Terms as outlined above, and the Client proceeds with completing the Funding Request and completes, this Offer Fee would never be payable.

FIDAVORA