Discussion response on why Special Purpose Vehicle should have a complete understanding of project financing in relation to the following discussion: As SPVs are created for financial acquisition to fund risky projects, it is imperative that their management is from the basis of sound financial expertise key if they are to successfully meet the obligations they are acquired for. In acquiring the finance to reduce or isolate financial risk from the parent company or individual owning the SPV, it is important that all legal matters attached to the funding or process accessing is well understand and managed. This understanding of the requirements and obligations of the funding ensures that resources can be efficiently used by sealing off accounting loopholes that can be exploited.