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Briefly describe your project, LTV, securities, location, and timeline. We will contact you within 24 hours. All communication is handled with full discretion.
*Please review our security expectations and due diligence process below, before applying for a loan and/or investment.

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Due Diligence for Project Approval
1. Initial Project Assessment
  • ​Objective: Confirm alignment with investment goals, risk tolerance, and compliance requirements.
    Steps:
    • Conduct a comprehensive review of the project’s business model, financial forecasts, and potential returns.
    • Assess initial risks, including market, operational, and financial risks.
    • Confirm that the borrower or project sponsor provides a bank guarantee (e.g., from HSBC) to secure loans and interest payments.
3. CP (Condition Precedent) List Verification
Objective: Ensure that all critical preconditions for lending are fulfilled before funds are disbursed.
Steps:
  • Work with legal teams to develop a detailed CP list covering requirements like signed contracts, bank guarantees, insurance, and project permits.
  • Obtain confirmation from legal advisors that each CP is met before approving the loan.
5. Security Package Verification
Objective: Safeguard investor funds through a structured security package tailored to project risk.
Steps:
  • Design a security package with a combination of liens, asset pledges, and guarantees, based on the borrower’s asset profile.
    • Engage Danish and Swiss lawyers to validate the enforceability of all security instruments under local laws.
    • Register security agreements with local authorities as needed to ensure enforceability.
7. Compliance and Regulatory Review
Objective: Ensure that all regulatory and compliance requirements are fully met.
Steps:
  • Verify that the project complies with Danish and Swiss financial regulations.
    • Ensure that the project adheres to anti-money laundering (AML) and “Know Your Customer” (KYC) protocols.
    • Confirm that all documentation and processes align with Watson AM’s compliance standards.
2. Legal Due Diligence
  • Objective: Verify compliance with legal standards, confirm borrower’s financial and legal standing, and identify any legal risks.
    Steps:
    • Engage Danish and Swiss lawyers to conduct a thorough background check on the borrower, project sponsors, and related entities.
    • Check for any legal or regulatory issues affecting the borrower or project assets.
    • Validate the legal structure to ensure protection for Watson AM and its investors under Danish and Swiss law.
4. Financial & Collateral Review
Objective: Confirm the borrower’s financial health and ensure collateral security for the loan.
Steps:
  • Review financial statements, cash flow projections, and any relevant fiscal documentation.
    • Secure collateral in the form of assets, mortgages, or other security packages, validated through legal advisors.
    • Confirm that collateral meets the standards set by Watson AM and secures the full value of the loan.
6. Notarial Registration
Objective: Legally register and validate all documents related to the transaction.
Steps:
  • Use a notary to formalise the loan agreement, collateral documents, and any other critical contracts
  • Ensure that all records are notarised and stored according to regulatory standards to facilitate legal recourse if necessary.
  • Maintain a secure record of notarised documents accessible to Watson AM and investors as needed.
8. Final Approval and Documentation
Objective: Obtain formal authorisation from Watson AM and ensure all documentation is in place.
Steps:
  • Present the project, due diligence findings, and security package to the approval committee.
    • Obtain signatures from all relevant parties, with final documentation verified and archived.
    • Issue a final report to investors, summarising due diligence findings, security measures, and expected returns.
9. Ongoing Monitoring
Objective: Continuously assess project performance and risk management.
Steps:
  • Schedule regular check-ins with the borrower for project updates and financial reporting.
    • Engage legal and financial advisors as needed for ongoing assessments.
    • Monitor compliance with the loan terms and trigger enforcement if conditions are breached.
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