Founded in 2018, the Company recently has finished the construction of the largest rabbit farms in the Baltics. The total investments made in the farm is around EUR 3.7M out of which approx EUR 1.4m are granted by the Rural Support Service (Lauku atbalsta dienests). The main customers of the Company are large food market chains and rabbit meat wholesalers, such as Sanitex, NovoBaltic, Stockmann, and others.

Since customers usually pay with a deferred payment, the Company seeks factoring financing with a total limit of EUR 50,000. Investors are offered a 12% annual interest rate (1% monthly). The accepted buyer for factoring settlements is a well-known wholesale company that will make direct payments to the Capitalia account.

 

The duration of a factoring contract is 1 year and we seek financing for the full approved credit limit of EUR 50,000. If the credit limit is regularly not used up by the client, we will reduce the financed amount by returning money proportionally to the investors. Alternatively, if the client would seek an increase in the credit limit, we will offer to investors to invest additional capital. 

Further notes about interest calculations:

A)  Interest will be paid every month until the 5th day for the interest charged in the previous period. Under the factoring contract Capitalia charges interest upfront for the entire period of the financed invoice;

B)  There can be gaps of a few days between invoice repayment and new invoice placement hence the actual return might be in the range between 10%-11.5%.