Descripton

Introduction

This project provides the HeavyFinance investor community with an opportunity to finance an equipment loan for a Lithuanian company Elicon Baltic, UAB. The received funds will be used to purchase a new heavy equipment set: a Basak 5120 tractor and a telescopic loader Basak 740.

Elicon Baltic, UAB was established in 2013 by a German businessman. Since then, his venture grew into the company managing a farm with more than 680 hectares of arable land.

Furthermore, his family owns one more agricultural firm thus, the household works around 1.000 hectares of arable land. A big part of this land is being leased from other companies. The company currently has eight employees who take care of winter wheat and rapeseed among other plants.

The company already has several tractors, a combine harvester, and other heavy-duty vehicles. However, for further productivity increase, Elicon Baltic is purchasing a new tractor Basak 5120, and a telescopic loader Basak 740 for 82.500€ including VAT. The new equipment will be purchased from a factory in Turkey. Consequently, the company is borrowing 57.750 € from the HeavyFinance investor community to partially finance this acquisition.

It is not the first time the company lists an agricultural loan project on the platform - HeavyFinance investors have already assisted the company with a 70.000€ equipment loan for a new tractor Deutz-Fahr 6215 Agrotron. The loan payments have been made on time.

The risk class for this loan provided by the originator is A.

Detailed Information

Collateral:

• A new tractor Basak 5120, which value is 43.500€ including VAT (according to the received invoice)
• A new telescopic loader Basak 740, which value is 39.000€ including VAT (according to the received invoice)

Value of mortgaged property: 82.500€

Loan to current asset value ratio: 70%

Financial information:

Income

• 2020       1.011.870€
• 2019        332.917€

Net profit

• 2020       210.153€
• 2019       -63.601€

Equity ratio

• 2020      30%
• 2019       17%

The project owner will repay the principal amount of the loan according to this schedule:

• 2021-10 (14.240 €)
• 2022-04 (14.371 €)
• 2022-10 (14.503 €)
• 2023-04 (14.636 €)

The Interest will be paid monthly.

The Interest is calculated from the date on which the loan amount is paid.

Additional information:

Minimum loan term: 4 months

Project owner

• ELICON BALTIC, UAB
• Raseinių St.. 33, Ramonai, Raseiniai district

Project risks

• There is a risk of losing all the profits made and the funds invested.
• In this case, if the Project Owner fails to fulfill its obligations, the Platform Operator will take all necessary measures to protect the interests of investors and use the provided collateral, but the Platform Operator does not guarantee the full fulfillment of the Project Owner's obligations.
• Financial agreements are not subject to the insurance protection established by the Law on Insurance of Deposits and Liabilities to Investors of the Republic of Lithuania.

Additional information:

If the project owner does not collect the amounts to be financed, the collected funds will be returned to the funders by transferring them to the account from which they were transferred. The Platform Operator also has the right to offer the Project Owner to reduce the amount to be financed during the Project financing term or to extend the Project financing term. In this case, if the amount to be financed is reduced or the term of financing the Project is extended, it shall in all cases be announced on the Platform and the Fund's financiers shall be informed.