Importance Whereas construction companies have to raise large amounts of funding from various sources, they become dependent on investors. Investors lose confidence in the construction sector due to such negative factors as embezzlement, executives' abuses, unreasonable use of resources, fraud, etc. In this respect, there is the need in regular systemic control over expenses and use of resources. Whereas sources of finance for construction may be different and each category of investors has its own requirements and criteria, it is practicable to develop a control model, considering the assumptions. Objectives The research aims at devising a model of control at the preliminary stage of investment and construction activities that would consider specific requirements and criteria of various source of finance. Methods The article describes various sources of finance for investment and construction in line with functions. We determine items and areas for control at the preliminary stage per each source of finance since it provides unbiased information about the investee and the prime contractor, thus mitigating risks associated with investment activities. Results We formulate a model for designing internal controls at the preliminary stage. The model implies using various sources of finance and considers investors' functions and goals of parties involved into investment and construction. The above aspects accumulate several blocks, i.e. items of control, financial, management and tax control, with areas of such control being determined. Conclusions and Relevance Selecting a source of investment, construction companies should analyze possible implications of finance that may arise from different interests of parties to construction activities. They should also have preliminary preparation in order to satisfy requirements of the investor, creditor, customer and user. If practically applied, the model will enable the construction company to obtain necessary information and choose a source of finance, meanwhile the investor will be able to take a reasonable managerial decision on the investee and provide the prime contractor with an unbiased evaluation.
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