During the flooding event of January 2011, Goodna Services Club Inc was inundated by flood waters, completely destroying all assets of the club with only the shell of the original building remaining. In the absence of appropriate flood insurance, DWS was commissioned to produce a funding memorandum and to acquire a finance offer to the value of $6.4 million including redevelopment and equipment finance.
DWS produced a detailed funding memorandum that incorporated:
- Background information incorporating location and site appraisal, details of existing business and financial performance appraisal.
- Market information including economic profile and outlook, gaming market performance, tourism assessment, pipeline investment projects and new competitive entrant assessment.
- Project overview including proposed facilities, configuration and associated development costs.
- Projections of earnings involving detailed profit and loss projections derived from department specific modelling.
- Cash flow modelling assessment and investment appraisal.
- Banking covenant assessment.
DWS distributed the document to contacts in the hospitality funding sector and worked on behalf of Goodna Services Club in the negotiation of finance offers. In conjunction with the funding memorandum, DWS applied for special grant and loan assistance that was issued by the Queensland government to a maximum value of $650,000.
DWS secured a complete funding offer for the redevelopment of the club and equipment facilities as well as being successful in the acquisition of $75,000 in grant funding and $600,000 in low interest loan assistance from the Queensland government. Construction commenced in January 2012 and the club reopened their doors in July 2013.
‘DWS was responsible for managing the complete funding process and were highly successful in this regard. Without their assistance, we could not have undertaken the redevelopment in and be confident of our financial positions. We would recommend DWS without hesitation.’ – David Christie, President, Goodna RSL Services Club Inc.