General Information

  • IRR%: 16.08
  • CoC%: -
  • Minimum: 100 EUR
  • Type: Secured debt
  • Asset: Working capital
  • Investors: 1.1k
  • Start Date: 2019-01-18
  • End Date: 2019-10-05
  • Target: 160k EUR
  • Completed: 100%

Additional Information

  • Estonia

The purpose of this project is to finance acquisition of neighbouring unimproved property at Paikuse, Pärnu by the project sponsor, Baltic Forest OÜ. The Sponsor seeks for a loan in the amount of EUR 160 000 with a 12-month term.

The issued loan is secured by a mortgage on the acquired property and with owners' personal guarantees in the loan amount. It is a so-called bullet loan, investors will receive monthly investment payments and the principal is repaid at the end of the loan period as a one-time payment.

The loan interest rate is 15.0% per annum and the expected return of return (IRR) is 16.08% on an annual basis.

The property has a strategic importance to the Sponsor as it enables improved access to production line. It provides more efficient logistics for raw materials transport vehicles. Additionally, the acquisition makes possible to expand the production in the future, if it proves to be necessary.   

Crowdstate investors have previously participated in four financing rounds and have made investments of EUR 3 436 600 in total in the Sponsor, Baltic Forest OÜ:

  1. In August 2018,  a working capital loan was issued in the amount of EUR 650 000. The purpose of the loan was to finance purchase of raw materials. Loan term was up to 12 months and expected rate of return (IRR) of that loan was 16,08%. The  loan was secured by a mortgage on the acquired property and with owners personal guarantees in the loan amount.
  2. In July 2018, a working capital loan was issued in the amount of EUR 836 600 (this was the first round of working capital financing, with the aim of including EUR 1.5 million in two to three funding rounds). The aim was to finance the acquisition of raw materials for the third quarter of this year.
  3. In March 2018, an investment loan was issued in the amount of EUR 500 000. The purpose of that project was to set up the most effective sawing industry in the Baltics, and the funds involved from investors were used to complete the investments required to start production.
  4. In May 2018 an investment loan of EUR 1 450 000 was issued. The purpose of the loan was to refinance third-party loans at an interest rate of 25% per annum, thereby improving the company's profitability.

Project offered by

Crowdestate

Real estate crowdfunding marketplace, with a historical yield of 21.88%. No fees. Minimum investment 100€. Sign up and invest: https://crowdestate.eu/home

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