This project provides the HeavyFinance investor community with an opportunity to invest in the development of the Lithuanian farm. The funds are collected to purchase a used tractor Case IH MX200 and to increase working capital. The purchased heavy-equipment and 2,05 ha of arable land will be pledged to secure the loan.
The project owner has been engaged in mixed farming since 2007. He is continuously expanding the farming territory and now the farm has 347,82 ha of arable land, two tractors, a combine harvester among other equipment needed for farming.
Part of this land is being used to raise sheep. It is a quite uncommon farming activity in Lithuania, however, an increasing number of farmers start raising domestic sheep due to higher prices of lamb in international markets. Furthermore, another part of the land is dedicated to ecological farming, therefore the farm receives more money in subsidies because ecological farming is one of the EU-supported priorities.
The farm’s financial statements show the difference between 2019 and 2020 income since 2020 income is significantly lower. It happened due to the fact that harvest buyers did not have sufficient funds due to the consequences of the COVID-19 pandemic to buy the contracted harvest worth 52.150 € in 2020. The farmer received this amount of money only in 2021, so this fact is not reflected in the 2020 financial statements.
To implement all the farm's development plans, the farmer decided to borrow from the HeavyFinance investor community. There will be several stages of this project, during which the entrepreneur is planning to borrow a total of 98.000 €. During the second stage, the farmer borrows 19.000 €. The funds are collected for the purchase of the used tractor Case IH MX200, for which the part of the amount has already been paid. From the borrowed funds, the farmer will allocate 12.700 € for the final redemption of the tractor. The remaining 6.300 € will be used to increase working capital.
This is not the first farmer's project on the HeavyFinance platform - the project owner has previously borrowed 83.000 € to increase working capital. The entrepreneur makes the payments on time. Besides, during the first stage, the farmer borrowed 28.000 € for the purchase of a 15.57 ha plot of land and for working capital increase.
Investing from 100 € - interest 12%
Investing from 500 € - interest 12,8%
Investing from 1.000 € - interest 13,5%
Investing from 2.000 € - interest 13,7%
Investing from 5.000 € - interest 14%