Funds management is reviewed on the basis of following points.

• Purpose
• Source
• Risk Factor

Purpose:
Finance is the immediate need after the approval of project feasibility in order to have the desired outcome. The main emphasis now can move towards the purpose of utilization of funds. Hence the need arise to workout a comprehensive and careful budget planning considering the different phases from the purchase of land to the completion of the project covering designing costs, procurements of construction materials, contracting costs contingencies as well as legal and financial cost.   

Source:
There are several options available to finance a project. Company itself has enough potential and personal sources to meet the working capital needs of the projects depending upon the significance of the opportunity. Considering the credentials and standing of the company many of the financial institutions and bank always seek opportunity to finance its projects on reasonable terms and conditions. The use of real estate as security against a loan facility always represents a standard basis for lenders to secure debt finances. The level of commercial risk to the investor is usually reflected in the interest rate charged and the extent of the loan to value ratio.  Under the current market conditions, up to 70% of the asset is taken as security.  Hence the project also can serve as a sufficient security to acquire finances from the bank