The Company has been operating since 2012 and is quite a sizeable farming business in Rēzekne region. The Company grows crops and sells the harvest to the largest grain wholesalers and exporters as well as operates in dairy farming by selling milk to largest dairy companies in Latgale. In total, the Company manages 2,000 ha of land. Out of which 450 ha are owned by the Company and the rest is rented.

Due to the high seasonality of the grain farming business, the first half of the year usually requires additional working capital. To minimize risks related to the availability and the price of fertilizers and other materials, the Company is heavily stocking up inventories for the ongoing farming season. In addition, the harsh previous year for farmers has affected the cash reserves and the harvesting plans for it.

Therefore, the Company is seeking financing of EUR 83,480 for 22 months to increase the working capital prior to the start of the farming season - to settle with suppliers, purchase additional cows and facilitate the expansion. The loan will carry a 14.76% annual interest rate (1.23% monthly) with monthly interest payments and principal repayment in two parts in December 2024 and December 2025.  The repayment of the loan is based on seasonal income from the sold grain and received subsidies in autumn 2024 and 2025. As collateral two tractors with an estimated value of EUR 190,000 will be provided, in addition, the owner will provide a personal guarantee for the loan. The project risk rate is C (72 out of 100).

There are a number of factors that make lending to the Company an attractive opportunity and the main highlights are as follows:

• The Company has more than 11 years of experience in the industry and has received prizes as the best farm in the region.
• As collateral two tractors with an estimated value of EUR 190,000 will be provided as well as a personal guarantee from the owner.
• The turnover of the Company has grown significantly over the last couple of years.
• The loan repayment is based on seasonal income from grain and guaranteed state subsidies.