What Is a Success-Only Mandate Advisory Firm and How Does It Work

If you have searched for help raising capital, finding an offtake partner, or being introduced to investors for an infrastructure project, you will have encountered a range of commercial models — advisory retainers, monthly fees, equity stakes, and success fees. Understanding the difference matters, particularly when you cannot afford to pay for introductions that do not close.

This article explains what a success-only mandate advisory firm does, how the mandate model works in practice, and what to look for when choosing one.

What Is a Mandate Advisory Firm

A mandate advisory firm takes a formal, written mandate from a client — typically a developer, asset owner, IPP, or corporate — and executes a specific commercial objective on their behalf.

Common mandates include capital partner origination, where the firm introduces equity investors, infrastructure funds, family offices, or private capital to a project or platform. Offtake origination, where the firm sources and structures offtake agreements for energy or industrial output. Strategic partner introductions, identifying and approaching joint venture partners, co-investors, or acquirers. And debt and structured finance, sourcing lenders or arranging structured facilities.

The mandate firm acts as an extension of the client's commercial team — with its own network, its own investor relationships, and accountability to a defined outcome.

What Success-Only Means

A success-only mandate means the advisory firm charges no upfront fee and no ongoing retainer. The fee is earned only when the defined success event occurs.

Typical success events include first capital committed or first close for equity mandates, a signed and funded offtake or supply agreement for offtake mandates, and a signed joint venture or strategic partnership agreement for partner origination mandates.

This structure aligns the mandate firm's incentives entirely with the client's outcome. If no capital is raised and no agreement is signed, no fee is paid. For clients with active pipelines but limited cash to spend on advisory fees, this is often the only commercially rational model.

How the Fee Structure Typically Works

Success-only fees in capital origination vary by capital type and are set out explicitly in the mandate agreement before any work begins.

Equity and infrastructure fund capital typically attracts a fee of around two percent of gross committed capital. Private wealth, family office, and UHNWI equity typically attracts two to three percent. Debt or structured facilities typically attract one to two percent of the facility committed. Strategic partner or joint venture mandates are typically agreed on a deal-by-deal basis.

Fees trigger at the defined success event — first draw, first close, or signed agreement — and the trigger must be defined precisely in the mandate agreement to avoid any ambiguity.

What a Good Mandate Agreement Covers

A properly drafted mandate agreement should cover six things clearly.

Defined scope. Exactly what the mandate firm will do and for which asset or platform.

Ringfence clause. All existing client relationships are listed and excluded from approach before any outreach begins. No target is approached without the client's prior knowledge.

Approved target process. No investor or partner is approached without the client's written approval. The client controls the outreach list at all times.

Tail clause. The mandate firm retains its fee entitlement for introductions that close after the mandate term ends. This is particularly important for infrastructure assets with long construction or ramp-up periods, where capital may commit months after the initial introduction was made.

Trigger definition. The exact event that constitutes success, with no ambiguity. Vague triggers are the most common source of dispute in mandate advisory relationships.

Term and termination. Clear exit provisions for both sides, with no automatic rollover obligations.

What to Look for in a Mandate Advisory Firm

What is their actual investor network? Can they name the specific funds, family offices, or strategic corporates they would approach for your asset type and geography? Vague references to a broad network are not sufficient.

Do they have buyside relationships? Introductions from advisors with existing investor relationships close faster and at higher rates than cold outreach.

Do they understand your sector? An energy infrastructure project requires a different investor universe from a software business or a real estate asset. Sector depth matters.

Is the mandate agreement clean? Ringfence, tail, trigger definition, and approved-target process should all be explicit and agreed before work starts.

Is it genuinely success-only? Some firms describe themselves as success-only but require a monthly retainer, due diligence fee, or expense recovery. If there is any upfront cost, it is not a success-only model.

How Global Coalition Works

Global Coalition is a success-only mandate advisory firm operating across energy infrastructure, project development, and corporate mandates. We originate capital partners, offtake counterparties, and strategic partners for clients across the UK and internationally.

We work on a written mandate basis with a full ringfence process, approved-target discipline, and a tail clause covering assets with long construction or operational ramp periods. No retainer. No upfront fee. No cost unless an investor or partner we introduce signs and funds.

Global Coalition is a trading name of The Skills Coalition Ltd. We are an independent commercial origination and mandate execution firm. We do not provide regulated financial advice.