Working capital for experienced metalworking and mechanical engineering manufacturer

Summary

The Company is a Latvian company specializing in metalworking and mechanical engineering services. The Company offers a wide range of metal processing services, manufacturing spare parts for industrial machinery, as well as designing, producing, and installing custom and non-standard equipment tailored to client needs. The Company serves clients from various industries, including agriculture, forestry, construction, road building, and the military sector. The Company and its management have built a strong reputation for quality and innovation over 25 years of experience.

As many of the Company’s clients during the winter undergo modernization and repair works, the Company would like to attract additional working capital to increase the supply of various manufacturing parts, raw materials and to have funds to hire additional employees during this period.

Therefore, the Company is seeking EUR 102,592 financing for 12 months for working capital needs. The loan will carry a 8.52% annual interest rate (0.71% monthly) and it will be amortized starting from May, 2026. One board member as well as the mother Company will provide guarantees for the loan. The project risk rate is B (85 out of 100).

Key investment highlights

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

  • Two personal guarantees from a board member and the sole shareholder will be provided.
  • The Company has 25 years of experience in forestry and metalworking industries. 
  • The Company is an existing client of Capitalia, with an excellent payment discipline having repaid more than EUR 150,000 of loan principal.
  • The Company operates a modernized production facility spanning 3,000 m², equipped with advanced machinery to meet diverse client needs.
ID 08103005-LV
Industry Manufacturing
Location Latvia
Loan type Business loan
Term 12 months
Expected return 8.52%
Interest rate Monthly
Amortisation Starting from the 3rd month
Risk grade B (85 out of 100)
Personal warranty From the board
member and the
parent company
Collateral None
Target amount 102592
Successfully funded
This loan is already funded.
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