Remigijus Pužas own a mixed farm with 130 hectares of arable land, including the rented land. He grows cattle, rapeseed, wheat and barley.
The business owner would like to acquire or rent more land, however, it is hard in the best region for farming in Lithuania, where competition between farmers is high. Therefore, he’s looking for ways to increase the productivity by acquiring a tractor Fendt 818 made in 2003 that cost 39.200 Eur including VAT.
To acquire Fendt 818 he wants to borrow 41.200 Eur and is willing to use this heavy-duty vehicle as collateral together with another tractor New Holland TM165 and 2,29 hectares of arable land. Consequently, the loan-to-value ratio is 54%.
The farmer will pay the interest every month and the principal will be paid in four payment in August and December of each year till the end of 2022.
The personal capital of the farm reached more than 100.000 Eur at the end of last year. In comparison, personal capital exceeded 83.000 Eur in 2018.
- Investing from 100 € - interest 10,4%
- Investing from 1.000 € - interest 10,7%
- Investing from 5.000 € - interest 11,4%
- Investing from 10.000 € - interest 12,4%
- Investing from 20.000 € - interest 13,1%
Purpose of the loan:
To purchase Fendt 818 tractor.
Project investment return and interest payment:
- Start of the loan financing period on the HeavyFinance (Platform Operator) platform: 2020-10-26
- End date of the financing period: 2020-11-09, or until the loan is fully financed.
- Investment: from 100 €
- Annual return on investment: from 10,4% to 13,1%.
- Loan term: 25 months
- The project owner will repay the principal according to the schedule below:
- August, 2021 (7 724 Eur)
- December, 2021 (7 801 Eur)
- August, 2022 (7 880 Eur)
- December, 2021 (15 799 Eur)
- The Interest will be paid monthly.