Update from the originator:
The originator would like to inform you that the money you invested in a loan Equipment loan for a tractor, a front-mounted mower, and a rake will be transferred directly to the farmer’s bank account within two weeks. Consequently, right after the successful payment transaction, the billing period for the project owner will begin.
The originator makes every effort to shorten the period of time taken to collect all the documents and start the billing cycle for project owners. Therefore, the originator will soon present new rules to grant even more security for our investor community.
This project provides the HeavyFinance investor community with an opportunity to invest in the development of the Lithuania-based farm. The funds are being collected to purchase new equipment - a tractor, a front-mounted mower, and a rake. The purchased heavy equipment will be pledged as collateral to secure the loan.
The project owner has been engaged in farming since 2012 and now has 110.59 ha of land in the Rokiškis district, Lithuania. Sheep and dairy cattle are grown on the farm, as well as crop production is developed there.
Preparing for the upcoming season, the entrepreneur aims to expand the existing heavy-equipment fleet. Therefore, he is borrowing 60.900 € from the HeavyFinance investor community. The received funds will be used for the purchase of new equipment:
The farmer has already received support from the National Paying Agency (NPA), which will reimburse up to 48% of the total eligible project costs. The support received by the farmer can cover up to 48.000 €. The farmer will receive support after submitting the equipment purchase documents to the NPA. The support should be received by the end of October.
The farm’s financial statement shows lower income in 2020, compared to 2019. It happened due to the fact that harvest buyers did not have sufficient funds to pay farmers in time. Consequently, the farm has 20 tons of oats from last year and the sale of these crops will already be recorded in the 2021 financial statements.
Currently, the farm’s technical fleet consists of several tractors, a combine harvester, a drill, a cultivator, a mower, and other technical implements necessary for farm operations.
The risk class for this loan provided by the originator is C.
Value of morgaged property: 121.000 €
Loan to current asset value ratio: 50,33 %
The Interest will be paid monthly.
The Interest is calculated from the date on which the loan amount is paid.
Minimum loan term: 4 months
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.