Short-term financing for a forestry company (I)

Kokkuvõte
The Company was founded in 2012 and it operates in the forestry business. The Company acquires felling permits, cuts the timber, and sells it to timber wholesalers and processers, including a related company that produces firewood for the export market. The Company also owns all the necessary machinery for felling and transportation.

Currently, the Company has received many offers to acquire additional felling permits; however, full advance payments to sellers have to be made. Therefore, the Company seeks additional short-term financing of EUR 20,675 for 3 months to acquire the felling permits. Investors are offered 6.6% annual (0.55% monthly) interest. The loan will be repaid at the end of the term from timber sales transactions. The financing is secured with the owner’s guarantee and with the European Investment Fund guarantee.

Altogether the Company will receive financing with the European Investment Fund guarantee in the amount of EUR 41,350. However, the amount is divided into two separate financing projects, EUR 20,675 each.

There are a number of factors that make lending to the Company an attractive opportunity and the main highlights are as follows:
  • The manager has more than 10 years of experience in the forestry industry.
  • The Company has been working with profits every year since the foundation.
  • The financing is secured with the owner’s personal guarantee and with the European Investment Fund guarantee.
ID 13321-2-LV
Valdkond Forestry
Riik Latvia
Laenu liik Business loan
Tähtaeg 3 months kuud
Oodatud tootlus 6.6%
Intressi makse Monthly
Amortiseerimine At the end of the term
Riskitase A+ (100 out of 100)
Isiklik käendus Yes, from the owner
Tagatis Full guarantee from
European Investment
Fund
Capitalia kaasrahastus 2675
Eesmärk 20675
Tagasimakstud
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