Business Due Diligence Framework

Business Due Diligence Framework

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ReFi Hub lists operating energy infrastructure.Before any listing, we validate three fundamentals:

1. The asset can generate durable cashflows typically ranging 10-15% IRR.
2. Legal and contractual rights are enforceable.
3. Risk is transparent and structurally understood.

Tokenization enables the administrative infrastructure, cashflow quality is the foundation.
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Geographic Assessment (Macro Filter)

All projects are screened at the jurisdiction level before asset review.

We assess:

• Energy market economics
• Contract enforceability
• Creditor protections
• Currency stability and convertibility
• Historical precedent for similar projects
• Depth and reliability of local operators

Core Geographical Focus Regions

Brazil

• High solar irradiance and favorable generation economics
• Established operator partnerships
• Competitive installation costs
• Contracted or semi-contracted revenue visibility

Singapore

• Strong rule of law and contract enforcement
• Currency strength and lower FX volatility
• Premium REC pricing dynamics
• Institutional-grade counterparties
• Established developer ecosystem
• Strong, repeatable developer relationships

Southeast Asia (via Singapore-Based Developers)

Regional expansion is pursued selectively and only through:

• Singapore-incorporated or Singapore-regulated developers
• Operators with established governance standards
• Structures where contractual enforceability can be anchored in Singapore

Singapore functions as a beachhead jurisdiction, enabling access to broader regional energy demand growth while maintaining institutional counterparty standards.

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ReFi Hub Validation Process (Project-Level)

Once a project passes the geographic filter, we conduct structured validation across five areas.

Economic Viability

• Historical or modeled kWh generation and settlement history
• Percentage of plant contracted and electricity pricing cross-checks
• Financial statement analysis
• Sensitivity to downtime or underperformance

Contract Integrity

• Revenue contracts are active and current
• Payment obligations are clearly defined
• Rights are not dependent on fragile assumptions

Foreign Exchange Exposure (If Applicable)

• Currency volatility profile reviewed
• Conversion mechanics into USDC tested
• On/off-ramp reliability assessed

Operator Assessment

• Track record in solar or energy infrastructure and prior project delivery
• Counterparty quality and incentive alignment
• Depth of Singapore and regional developer relationships (repeat operators preferred given the trust built and ability to scale)

Operational Controls & Insurance

• Insurance coverage and maintenance procedures
• Breakdown response framework
• Reporting capability (energy generation, billing and invoices)

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Documentation & Execution Requirements for Solar Developers

The following documentation is collected and verified:

1. Revenue contracts and off-take agreements; confirms contractual cashflow source and enforceability with counterparties
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2. Renewable Energy Credits (RECs) issuance documentation; validates secondary revenue stream where applicable
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3. Historical generation data and settlement statements; demonstrates actual energy output, kWh delivered, and revenue realized over time
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4. Project asset schedule and operating control documentation; identifies financed equipment, physical location, and operational oversight rights
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5. Insurance policies and maintenance framework; verifies asset protection
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6. Corporate formation documents and authorized signatories; establishes entity legitimacy and contractual authority
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7. Financial statements; includes balance sheet, income statement, cash flow statements, and other financial records demonstrating fiscal health and performance
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8. Financial structure and waterfall mechanics; details raise parameters, Net Revenue allocation, and payment schedule
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9. Operational payment readiness; confirms USDC wallet setup and successful test transaction

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Reach out to us for any questions

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You can visit our: 
‍Discord investor support server.


Alternatively get in touch via email with Christian, Head of Legal & Due Dilligence team:
christian@refihub.io