Funding for Self-employed farmer

Loan

• Amount € 19500.00
• Interest rate 10%
• Term 13m
• Collateral type Harvest
• LTV 54%

Description

This project gives LANDE investors an opportunity to provide a loan in the amount of € 19 500 for Self-employed farmer to receive a loan for working capital.

The annual interest rate of 10%, LTV of 54%, loan term is 13 months. The Loan is repaid by one payment on the last day of the Loan maturity term. The interest for the Loan  use  is  paid  each  month  in accordance with the Schedule.

The borrower is a farming company engaged in crop farming growing wheat, barley and other grains as well as manages 155 ha of agricultural land. Financial results in 2022 were: declared income € 123 194, profit € 26 275.

In order to secure the repayment of the loan, the borrower has concluded an agreement for the wheat in the volume of 150 t. The repayment of the loan will be done once the harvest will be handed to the buyer.

The price of wheat is determined by the market exchange and at the time of the harvest will be approximately € 240 per ton, thus the value of the harvest is estimated at € 36 000. 

The borrower aims to repay the loan with incoming business revenue.

The borrower is a recipient of support payments from the European Agricultural Guarantee Fund and the European Agricultural Fund for Rural Development.