Message-ID: <000701bdac73$60451ac0$7a41398b@keloucks.ac.brocku.ca> Date: Fri, 10 Jul 1998 22:26:57 -0400 From: Loucks <mailto:keloucks@SPARTAN.AC.BROCKU.CA> Subject: Re: BAD EXPERIENCES etc.. To: mailto:DEVEL-L@AMERICAN.EDU
-----Original Message----- From: Technology Transfer in International Development [mailto:mailto:DEVEL-L@AMERICAN.EDU] On Behalf Of uwe Sent: Thursday, July 09, 1998 1:28 PM To: mailto:DEVEL-L@AMERICAN.EDU Subject: Re: BAD EXPERIENCES etc..
> OK, 'donors' sending a handful of, ehm.. advisors packaged with their
> money so that it is better spent ('better' may be in the donors' own
* eyes) DOESN'T work. So, what DOES? Can anyone suggest from experience?You can always try not applying for and not accepting donor "assistance" and when they come marketing their wares send them packing. After all you are in a good position to get along without them - you have the local knowledge foreign consultants don't have, and the expertise every bit as good as theirs to know what are viable projects. Viable projects will always find financing and if they are not viable don't do them. However getting the financing has a price. When I seek a mortgage my lender wants me to provide at my cost using his approved suppliers, proof of title, property insurance with the mortgagor as prior beneficiary, and he also wants me to pay service fees to have his lawyer draw up the mortgage. Increasingly with the concentration of financial institutions taking place I find myself subjected to 'tied selling' i.e., if you want the mortgage you really should have your insurance and other financial products with us as well. When I seek venture capital for my business I pay commitment fees to cover the due diligence costs by people who probably know less about my business than I do. Does it work? Well there are lots of horror stories out there, even corrupt and fraudulent practices. But on balance I think it works in spite of the levels of debt, restraint, austerity, downsizing, restructuring, social inequities, etc.