Descripton

Introduction

This project provides the HeavyFinance investor community with an opportunity to invest in the heavy-equipment fleet development of the Lithuanian farm. The collected funds will be used to purchase a new round baler GOWEIL G1 F125. The purchased equipment will be pledged to secure the loan.

Six years ago, after completing the training of young farmers, the businesswoman started to develop a 129.86 ha mixed farm in the Telšiai district. Almost all available land is rented, 1.75 ha - owned by the farmer herself. The woman currently grows crops, like oilseed rape, barley, wheat, hemp seeds. The part of the farm's land is used for grass seed production, and the rest is used for meadows, where 20 breeding heifers graze.

The farm's technical fleet consists of grain drying equipment and an oil press. Before the upcoming season, the farmer plans to purchase a new round baler-wrapper GOWEIL G1 F125. The entrepreneur will purchase this piece of heavy equipment for 81.433 € from the agricultural machinery sales company AGROTEKA. To implement this project, the businesswoman borrows 48.658 € from the HeavyFinance investor community. For the purchase of the wrapper, the farmer has received support from the National Paying Agency (NPA), which will reimburse a part of the press price - 31.775 €. This is the first stage of the received support - the farmer will use the received second stage NMA support in the future to purchase a semi-trailer and a mounted rotary disc mower.

The farmer's future plans are not limited to the expansion of heavy-equipment - in the future, she will continue to develop the field of animal husbandry and purchase new breeding heifers.

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

Interest

• Investing from 100 € - interest 10,7 %
• Investing from 4.000 € - interest 11,3 %
• Investing from 7.000 € - interest 11,9 %
• Investing from 13.000 € - interest 12,3 %
• Investing from 25.000 € - interest 12,8 %

Detailed Information

Collateral:

• New round baler GOWEIL G1 F125, which value is 81.433 € including VAT (according to sale and purchase agreement with AGROTEKA, UAB)

Value of mortgaged property: 81.433 €

Loan to current asset value ratio: 59,75%

Financial information

Total farm income

• 2019:     69.413 € (the value of received subsidies - 27.161 €)
• 2018:     28.097 € (the value of received subsidies - 27.110 €)

Net profit

• 2019:     24.907 €
• 2018:     12.347 €

Equity ratio

• 2019:     56,9 %
• 2018:     44,3 %

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

• 2021, December (11.241 €)
• 2022, December (11.353 €)
• 2023, December (26.064 €)

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

• The farmer Sigita Martinkienė
• Sviraičiai village 13, Telšiai 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.