Guide

Finance the preparation before the project

Published 10 October 2026 · Invest Zimbabwe

The first funding requirement may be a feasibility study, technical test or transaction plan. Define that work before asking for construction capital.

Many promising opportunities reach the same early obstacle: the owner needs capital, while a potential funder needs evidence that has not yet been produced. Preparation addresses that gap. Its purpose is to resolve the questions that control an investment decision, with a budget and timetable proportionate to the opportunity's stage.

Separate preparation funding from implementation funding. A proposal may first need a site survey, technical testing, market work, preliminary design, environmental assessment or a financial model. Buying those services does not mean construction is funded. IDBZ's published 2018 preparation-fund statement illustrates the distinction by identifying feasibility, design, financial analysis and advisory work as preparation activities. That historical document is not evidence of a currently open funding offer or eligibility today.

Begin with the decision that cannot yet be made. A mine may need a recovery test; a farming proposal may need water and land questions resolved; a tourism business may need demand evidence and an operator plan. Rank the uncertainties by their ability to stop or materially change the project. Address the decisive ones before paying for a complete set of polished documents.

Commission specific deliverables. A scope should name the question, method, site or data access, responsible specialist and acceptance criteria. Request the underlying calculations and assumptions alongside a report. Agree ownership and permitted use of the work so that it can be reviewed by later investors. Use qualified external advisers where technical or professional judgement is required, and declare any interests that could affect their conclusions.

Build a preparation budget in stages. Include specialist fees, testing, travel, official charges where verified and a sensible allowance for additional investigation. Set an explicit decision after each stage: proceed, revise, pause or stop. Where a preparation service is paid, agree the scope, milestones and charges in writing. Payment should purchase defined work rather than an assurance that funding or approvals will follow.

Match the eventual financing request to the business. Equity, debt, equipment finance, an offtake arrangement and an operating partnership create different obligations. Record how capital would be used, the owner's contribution, the expected cash-generating period and the risks a partner would assume. Model a downside case and explain what would happen if development took longer or revenue arrived later than expected.

A well-prepared project gives a prospective partner enough reliable information to make a decision. It may still receive a no, or require further work. Invest Zimbabwe's intake can help identify the present stage and the gaps that need attention. Submit what exists, including unfinished studies and unresolved questions, so the next preparation step can be defined clearly.