According to the Financial Services Commission's Glossary of Financial Terms, PF is a financial technique in which financial institutions such as banks provide financial support for the business feasibility and future cash flow of a specific business such as social overhead capital. The PF business is a technique in which an employer who carries out a specific project collects investors with only the assets of the project, such as the cash flow generated from the project itself, apart from his own credit, and raises funds necessary for the project.
Let's take an example. A company that wants to do a new business but does not have the funds establishes a special corporation (B) for new business only and attracts financial investors. Once the investment is made, the new project (C) proceeds and the funds are reimbursed by generating revenue from the constructed structure.
There are many ways to earn money from structures. How to lease to the government after construction, how to earn money from general users like tollgates, how to get the money after transferring the operating rights to a third party. As such, PF makes a variety of revenues to repay debts.
SGN has started full-scale PF consulting since 2016, and is currently acting as Korea agent of THE VITALA GROUP.