You can get an idea of the job from the name itself. Project Finance jobs are the ones that require you to handle the finance aspect of any industrial or infrastructure project. Under this, you need to make decisions for the following functions:
- Fund Raising
- Vendor Contracts
- Contract Negotiations
- Generating Capital
- Project Earning
You have to look through everything that comes under the finance department on long-term projects. These may include various industrial projects that run for a longer duration. You may also need to travel a lot as you will have to visit the site of the project, meet financiers and clients, etc. If you are looking up for a career in project finance, then here is a guide that will guide you through the whole domain.
Project Finance Streams
Almost all job domains are further divided into sub-jobs. These sub-jobs depends on the work that you are supposed to do. Jobs in project finance are broadly divided into two categories. They are:
Lending
For large scale projects, a single person’s investment is not enough. So they collect money from different sources/banks. Lending stream of project finance is the one where various sources lend money for a project. In this stream, you can find a job under the debt/project syndication in a bank. And if you do so, you will need to perform the following activities in it.
- Negotiate loan terms with banks/financial institutions.
- Work as an intermediate between the client and the financial institution for getting loans sanctioned.
Advisory
In the advisory stream, no money transactions are involved. Instead, you work only through financial advice. If you are willing to work in this stream, then you can expect the following work:
- Interact with the clients for their financial needs and providing them sources for the same.
- Analysis of several projects and various available debt policies, so that you can advise the clients about the most beneficial plans.
- You might also need to reach out to the financing markets to raise the required finance.
Now that you know the streams from which you can choose. So let’s move on to the procedure of getting a project finance job.
Levels Of Project Finance
Just like any other domain, this one also has different standards of jobs. Here are the three levels of project finance jobs which you will explore through your journey in the sector.
- Analyst: Once you are done with your MBA in finance, you can apply for the analyst position in the sector. You should know the report generation process. Along with that, management skills are a must, and if you have excellent communication and negotiation skills, then you can make it to the top firms.
- Managers: After gaining 3-5 years of experience as an analyst, you will get an opportunity of becoming a manager. The duration of your analyst period depends on your skills and work. If your firm does not promote you, you can start applying somewhere else.
- Director: After another 5-7 years, you can become a project finance company’s director. However, everyone does not get this chance due to their lack of leadership skills.
Conclusion
So this was all about jobs in project finance. There are various tasks and challenges that you might need to face once you enter into the world of finance. So you have to be ready for that.
