Canvas Crest Event Structures (Pty) Ltd is positioned to capitalise on structurally growing demand for high-quality temporary infrastructure across Southern Africa. The global temporary-structures market is compounding at above 7% per annum with rental as its fastest channel; South Africa’s events economy is growing at 8% with a documented shortage of compliant, engineered-structure providers outside a small incumbent set; and the Company’s deliberate diversification into mining, warehousing, government and relief work converts a seasonal events business into a year-round infrastructure platform.

The financial plan presented here is deliberately conservative where it matters. Sponsor revenue and EBITDA targets are preserved, but every claim beneath them has been rebuilt: depreciation reflects the full asset register, tax is modelled at the statutory 27% with loss carry-forward, interest follows the real amortisation profile, and the balance sheet ties in every year. The result is a plan that shows a small Year 1 loss and a Year 1 debt-service shortfall openly, and then shows precisely how the recommended facility structure (grace period, reserve account, month-12 first measurement) absorbs both, before the business deleverages rapidly on DSCR above 2.0x from Year 3.

13.1 For lenders

• Asset-backed exposure: opening fixed-asset cover of ~1.4x on a new, insurable, movable fleet with an active secondary market.
• Rapid deleveraging: facility fully amortised within five years; DSCR of 2.07x / 3.42x / 5.34x in Years 3–5.
• Structural protections specified, not implied: 12-month principal grace, six-month DSRA, information covenants with monthly management accounts.

13.2 For equity investors

• Project IRR of approximately 44.9% at a 5.0x exit, with the sensitivity grid showing double-digit returns across most downside combinations.
• Terminal cash position of ~US$1.9 million and unlevered Year 5 EBITDA of US$2.21 million provide multiple exit routes: trade sale to a regional or international structures group, private-equity secondary, or leveraged recapitalisation.
• Clear reinvestment runway: SADC expansion and manufacturing integration are optional accelerants, gated on Year 1–2 performance rather than baked into the base case.

13.3 Conditions and next steps

Management proposes the following diligence and execution sequence: (i) term sheet on the structure outlined in Section 11.6; (ii) confirmatory diligence covering fleet supplier contracts, warehouse lease heads of terms, insurance quotations and key-hire commitments; (iii) legal documentation with security perfection over the fleet and receivables; and (iv) staged drawdown tied to the milestone plan in Section 10, with the equity tranche funding first. The Company commits to quarterly funder reporting against the same model presented in this document, so that variance is visible early and honestly, the same standard of transparency this plan has applied to its own numbers.

13.4 Indicative transaction timetable

The timetable is deliberately conventional, roughly one quarter from term sheet to first drawdown, because nothing in this transaction requires structural innovation. The assets are standard, the security is conventional, and the diligence items are all documents the Company either holds or can procure within the window. The only calendar constraint that matters is the season: a first drawdown later than Q1 of the calendar year pushes the first full peak season out by twelve months, with the revenue consequences that Section 11.7 makes explicit.