Kamran Ali Kamran Ali, a famous surgeon in Lahore, volunteered quite a bit at charity hospitals in low income neighbourhoods of the city. However, he had started feeling disillusioned with these charity hospitals, and wanted to establish a model trust hospital. After discussing the idea with some of his friends from medical school, he planned to establish his trust hospital project within five years. On the advice of one of his childhood friends, Kamran approached Raza to discuss financial planning for his dream project. Kamran had appraised Raza in the previous meeting that he and his friends estimated the hospital would start with a 2 room outdoor patients' service. This would cost PKR 20 million for construction, and the land would be donated by Kamran. In addition to that, it would cost PKR 1 million per annum to maintain the outdoor centre. After two years, the hospital was to be expanded to include a surgical ward, which would cost another PKR50 million for building and equipment, and an additional PKR 5 million per annum for running expenses. Kamran and his friends had decided to set up a foundation to support this project for 10 years and wanted to start a fundraising campaign. Raza opined that these funds should be invested in fixed income generating products which would generate a 9% discount rate.

1. What are fundraising targets Kamran should be aiming for? What else should he be vary of? Draw financial evaluation.