Disbursement & Monitoring
Funds are released in tranches tied to agreed milestones, with progress verified before each drawdown.
Release funds as progress is proven.
Milestone funding protects everyone involved: money is only released for work that has actually been done.
- 01
Agree the schedule
The facility sets out the milestones, the amount released at each, and the evidence required.
- 02
Drawdown request
The borrower submits a request with progress reports, invoices, and any certificates required.
- 03
Verification
Progress is checked against the schedule through documents and, where appropriate, site inspections.
- 04
Release
Once conditions are met, the tranche is released, usually directly to contractors or suppliers.
- 05
Ongoing monitoring
Reporting and covenant checks continue until the facility is fully drawn and repaid.
What supports each drawdown.
| Evidence | What it shows | Typical source |
|---|---|---|
| Progress report | Work completed against the programme | Borrower or project manager |
| Payment certificate | The value of work certified for payment | Independent engineer or consultant |
| Invoices and receipts | Costs actually incurred | Contractors and suppliers |
| Site inspection notes | Physical confirmation of progress | Inspection visit |
| Insurance certificates | Cover in place for the works and liability | Insurer or broker |
Why are funds released in stages?
Staged release reduces the risk of funds being spent ahead of progress and keeps the project on budget.
What happens if a milestone is late?
The facility terms set out the process. Usually the drawdown waits until the milestone is met, and the programme is reviewed.
Are insurance requirements checked?
Yes. Valid cover for the works and liability is normally a condition of each drawdown.
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