Explanation

Answer Example

I would begin by understanding the project’s cash flow projections, timelines, and regulatory requirements. Based on this, I would structure a mix of debt and equity financing, supplemented by government subsidies if available. To mitigate risks, I’d propose loan covenants tied to project milestones and consider hedging options for market volatility. For example, I structured a $10M financing package for a solar energy project, aligning repayments with expected revenue streams and securing a government-backed guarantee to reduce risk.