Agriculture loan

Agriculture loans are tailored to acquire capital for various purposes such as expansion, inventory purchase, equipment acquisition, hiring staff, or to manage day-to-day operational expenses. The terms and conditions of these loans vary depending borrower's creditworthiness, collateral, repayment tenure and other factors.

LT0000016

Goal
82,000 €
Raised
82,000 €
100%
Return rate
From 10.4%
Rating
B
Period
26
Time left
LTV
70%
Country
Lithuania
Loan purpose
Equipment purchase
Business information
Security measures
Loan history
Project owner Address
Xxxxxxx Xxxxxxė
header_1 Declared Owned
Farming land--
Revenue
Net profit
Equity ratio
Project description
Documents
Payment schedule

Violeta Mickute continues the farming tradition of her family in Lithuania. Currently, she owns a mixed farm with 88,5 hectares of arable land.  

Due to a major engine failure, she had sold her agricultural telehandler with a 29.000 Eur discount in comparison to its’ book value. Therefore, Violeta had 24.800 Eur in the annual loss in 2019. However, the cash flow statement indicated that the net cash flow of her farm increased by 6.000 Eur.  

In 2018 Violeta had 11.000 Eur in profit. Besides, annual revenue of the farm was 20.000 Eur, while in 2018 it as 12,700 Eur.  

Now Violeta wants to acquire a new agricultural telehandler Massey Ferguson MF TH.6030, which costs 76.000 Eur including VAT. Consequently, she is taking the loan of 82.000 Eur to acquire this heavy-duty vehicle and increase working capital.  


Interest rates:


  • Investing from 100 € - interest 10,4%
  • Investing from 1.000 € - interest 10,8%
  • Investing from 5.000 € - interest 11,2%
  • Investing from 10.000 € - interest 11,6%
  • Investing from 15.000 € - interest 12%
  • Investing from 30.000 € - interest 13,1%

Purpose of the loan:


To purchase telescopic loader “Massey Ferguson MF TH.6030” and to increase working capital.

Project investment return and interest payment:


  • Start of the loan financing period on the HeavyFinance (Platform Operator) platform: 2020-10-17
  • End date of the financing period: 2020-10-31, or until the loan is fully financed.
  • Investment: from 100 €
  • Annual return on investment: from 10,4% to 13,1%.
  • Loan term: 26 months
  • The borrower will repay the loan in two payments: in the 14th month after the disbursement of the loan, she will repay EUR 20,806 and in the 26th month she will repay EUR 61,194. Interest will be paid every month.

Project risks

For this project, 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.