LENDING SOLUTIONS
INSTITUTIONAL CAPITAL STRUCTURE
Term Loan Structure
BC Funding Solutions first raised institutional capital in 2021 via a Note Programme listed on the Johannesburg Stock Exchange (“JSE”), supported by a portfolio of community scheme loans. This programme was fully redeemed in September 2023, following the successful return of capital to noteholders.
In parallel with the wind-down of the listed Note, BC Funding Solutions launched a ringfenced Term Loan Structure in September 2023, developed in collaboration with Moore Debt Advisory. Term Loans are typically used to finance large-scale capital upgrades and maintenance projects within community schemes. These loans follow a predictable, amortising repayment profile, with scheduled repayments over the life of the loan.
The structure is underpinned by defined security arrangements, robust legal governance, and standardised reporting protocols tailored to institutional requirements.
Since the establishment of the structure in 2023, BCFS has steadily grown its institutional capital base within this structure:
- 2023: Raised R50 million through a privately placed five-year Note from a well-established asset manager.
- 2024: Completed a R40 million senior loan transaction with one of South Africa’s big five banks.
- 2024: Raised an additional R15 million in senior Note funding from the same asset manager.
- 2025: Secured a R20 million Revolving Credit Facility from a Family Office.
To date, BCFS has secured and raised over R120 million in institutional capital, with further capital raising efforts currently underway.
For further information on the institutional capital structure, please contact us.
Levy Funding Structure
Following the success of its Term Loan Structure, BC Funding Solutions will be launching a ringfenced Levy Funding Structure in the latter part of Q3 2025. This new structure is designed to address liquidity pressures arising from non-payment of levies by unit owners within South Africa’s community schemes. These loans differ from Term Loans in that repayment is tied to the recovery of historic levies, resulting in a more variable cash flow profile. The structure will adopt the same robust legal and operational framework as existing SPVs, offering institutional funders access to a differentiated credit strategy with well-defined governance and risk management standards.
For further information on the institutional capital structure, please contact us.