This project provides the HeavyFinance investor community with an opportunity to finance an equipment loan for a Lithuanian company Doro LT, UAB. The received funds will be used to purchase a used CLAAS LEXION 770TT combine harvester.
Doro LT, UAB is an agricultural machinery rental company based in Kaunas. The company currently uses three heavy machinery units to provide rental services - two combine harvesters and a tractor.
In the third year of business operation, the company earned more than five times more revenue than in the previous period due to the successful sale of equipment and the constantly growing customer demand. The company earned about 133.000 € in equipment sales, and the company's income received from rental services was 112.000 € in 2020.
After finding partners, the company has entered the Latvian market - this event led to the successful growth of the company. Doro LT, UAB has already entered into preliminary lease agreements with future customers and estimates revenue from equipment rental in 2021 between 160.000 and 180.000 €. To grow its income every year, the company plans to expand its heavy-equipment fleet, therefore it borrows 132.900 € for the purchase of a CLAAS LEXION 770TT combine harvester (made in 2014). The purchased equipment will be used for rent in Lithuania and Latvia.
This is not the first company's project on the HeavyFinance platform - at the beginning of the summer, the company borrowed 55.000 € to buy a Case IH Magnum 315 tractor (made in 2013). The company makes loan payments on time.
The risk class for this loan provided by the originator is A.
Value of mortgaged property: 189.970 €
Loan to current asset value ratio: 70%
Interest will be paid monthly.
The Interest is calculated from the date on which the loan amount is paid.
Minimum loan term: 4 months
The seller of a heavy-duty vehicle is considered to be a person related to the Platform operator (its shareholder). The platform operator shall ensure that the value of the item corresponds to the market price.
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.