At BC Funding Solutions (part of the same group as Sectional Title Solutions), we’ve always been committed to supporting community schemes (which include gated estates, sectional title body corporates, and homeowners associations) by providing loans to maintain and enhance their living environments. As the Group CEO, Johnny Wates, recently shared in an interview, BC Funding Solutions has entered an exciting new chapter that will significantly benefit our clients.
Unlocking new opportunities for clients: A new era in Capital Raising
A new approach to funding
Historically, BC Funding Solutions has focused on raising private capital to fund loans for community schemes. As the business has grown, so too has the need for additional sources of capital. This led to us collaborating with Moore Debt Advisory in 2023 to explore additional funding strategies, ultimately resulting in a diversified approach to raising capital in the Debt Capital Markets.
This new funding structure is a game-changer for the group, and more importantly, for our clients. It allows BC Funding Solutions to tap into larger pools of capital more frequently accessing longer term Capital, ensuring that we have the necessary resources to support the ongoing growth and development of community schemes across South Africa.
What this means for our clients:
The benefits of the additional funding structure extend directly to our clients. By having access to Institutional Investors utilising our portfolio of loans to community schemes, BC Funding Solutions can provide more competitively priced and range of loan products to our clients. The flexibility of the new structure also allows us to cater to a broader range of funding needs, ensuring that we can expand support to our client base and attract more clients offering term loans as well as arrear levy funding specific to the needs of our clients.
The new structure is governed by a Common Terms Agreement that simplifies the administrative process, making it easier for us to manage and attract funding from Banks as well as Asset Managers. This structure not only enhances our operational capabilities but also translates into an efficient experience for our clients.
A partnership built on trust and innovation
Throughout this process, BC Funding Solutions has deepened its understanding of the dynamics of our loan portfolio, thanks in part to the expertise and innovative approach of the Moore Debt Advisory team. As Johnny Wates highlighted in his interview, working with Moore Debt Advisory has been an enjoyable experience, and we’re looking forward to exploring further opportunities to collaborate with them within our group.
For our clients, this partnership means that BC Funding Solutions is better equipped than ever to provide the financial solutions that community schemes need to thrive. Whether it’s funding for maintenance projects, upgrades, or other essential services, our clients can rest assured that BC Funding Solutions is committed to delivering the best possible solutions.
Looking ahead
As we continue to grow and innovate, BC Funding Solutions remains dedicated to supporting the community schemes that form the backbone of South Africa’s residential landscape. Our expanded approach to capital raising marks the beginning of an exciting new chapter, one that will enable us to better serve our clients and contribute to the sustainable development of communities across the country.
BC Funding Solutions
BC Funding Solutions is a trusted leader in providing private credit solutions to Community Schemes across South Africa. With a legacy built over decades, BCFS has established enduring relationships and a reputation for reliability and excellence. We cater to both retail and institutional clients, offering innovative and sustainable funding solutions that drive long-term value.
Disclaimer
This article is provided for informational purposes only and does not constitute financial, legal, tax, or investment advice. The views expressed are those of the author and do not necessarily reflect the views of BC Funding Solutions (Pty) Ltd or any of its affiliates. Nothing in this article should be interpreted as an offer, recommendation, or solicitation to invest in any financial product or structure.
Lending to community schemes and the recovery of arrear levy debt are not regulated financial services under the Financial Advisory and Intermediary Services Act No. 37 of 2002 (“FAIS Act”) and do not constitute the promotion of a financial product as defined by the Financial Sector Conduct Authority. BC Funding Solutions (Pty) Ltd is a private entity that facilitates loans to Community Schemes and is not a licensed financial services provider.
The examples and return figures referenced in this article are provided for illustrative purposes only. Past performance is not a guarantee of future results. Returns quoted are indicative, unaudited, and may be affected by market conditions, legal developments, liquidity, or other operational factors. No assurance is given that any future investment or lending opportunity will achieve similar outcomes.
Readers are strongly advised to consult with a qualified attorney, tax advisor, and/or financial planner before making any investment or lending decision. Any consideration of an opportunity involving community scheme lending should take into account the legal framework, potential risks, liquidity profile, and personal financial objectives of the individual or entity concerned.
BC Funding Solutions (Pty) Ltd does not provide tax or financial planning advice. Individuals should consult with appropriate professionals regarding the tax and regulatory implications of participating in any form of private lending or credit facilitation. Click here for full disclaimer.