Funding for FantasiFarm SRL

Împrumut

• Suma € 100000.00
• Rata dobânzii 13%
• Termen 36m
• Tipul garanției colaterale Casă
• LTV - raport împrumut/valoare 33%

Descriere

This project provides LANDE investors with an opportunity to finance an agricultural loan in the amount of € 100 000, secured by a first-rank mortgage on real estate located in Tulcea, Celic Street no.2, Tulcea county, Romania, near Danube Delta, cadastre numbers 44243-CI, 44243.

The annual interest rate of 13%, LTV of 33%, and the loan term of 36 months, with monthly interest payments as of January 2024 and monthly principal payments as of February 2024.

The borrower is a new farmer and currently manages 5.49 ha of land. He will use the loan to co-finance a European Union project with a total value of € 1 735 049. The scope of the EU project is to build a cattle farm with stables, a waste basin, and an entire production unit with a capacity of 50 livestock animals. In Romania farmers overall lack production units, therefore, FantasiFarm SRL has applied to obtain financing for this project, which will bring added value to their activities. 

The full list of fully or partially financed EU projects can be found on the website of AFIR, which is the Romanian Agency of Rural Investments - Cereri de ofertă / Invitații de participare (afir.info) (position nr. 17).

Business plan summary

The company plans to implement two main lines of profit:

1) milk production and sales;

2) product manufacturing and sales e.g. cheese, sour cream, yogurt and other.

50 cattle will produce 1.000 l milk per day which can be sold at 1 euro liter/day or 154 kg of cheese, which totals up to approximately € 930 per day. Month-over-month incomes are estimated to be € 25 000 euros from dairy product sales. Besides that, the farmer will have a slaughter facility that can provide additional € 15 000 euro of income by making salami and other meat products.

Total monthly expenditures are estimated to be € 18 000 euro and monthly profit is estimated to be € 22 000 euro.

The farmer plans to sell their products to Angelo Patisserie, a prominent specialty store in the region, their forecast is up to 500 kg of cheese per day. Angelo Patisserie at the moment imports cheese from a supplier about 300km away from Tulcea, therefore, the interest in a local supply is very high.

Collateral

The collateral consists of a single-family dwelling with a total area of 234 sqm and 800 sqm of land located in Tulcea, Celic Street no.2, Tulcea county, Romania. In order to secure the claims, arising out of loan agreements a first-hand mortgage will be registered on the collateral in the Real Estate Register of Romania. Aside from the mortgage, the collateral is debt free. 

The current market value of the collateral is estimated to be € 303 000.

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

Documente

• Real estate evaluation
• EU project
• Repayment schedule