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New high-yield Envestio project – Biomass fuel – factoring 8

By MPI25th February 2019NewsBiomass fuel, Envestio, Factoring financing, invest, investing, RIETUMU ENERGIA SIA

Envestio informed today that a new investment opportunity is available at the portal to all registered participants.

By introducing the project “Biomass fuel – factoring 8”, Envestio continues the successful cooperation with the representatives of the environmental-friendly energy industry.

This loan is fully secured by commercial pledge and personal guarantee of the main beneficiary of RIETUMU ENERGIJA SIA.

As usual, you can invest any amount starting from 1 EUR. Minimum deposit to the investment account is EUR 100.

If you invest for the first time at Envestio don’t forget that you can get € 5 and a 0.5% cashback bonus for the investments made in the first nine months (270 days), more details HERE.

Investment opportunity

High-yielding investment in energy sector, factoring-type financing for a woodchips trading company.
Secured debt, 17% planned annual return.
Investment principal buyback is available at 5% penalty rate.

Project description

The company RIETUMU ENERGIA SIA is a venture that successfully works on the market of production and sale of woodchips. Woodchips are being used as raw material for a big number of cogeneration-type power plants across the Baltic region. This type of produced heat and electric energy is considered to be one of the most environment-friendly, as it does not create excessive pollution and ensures full utilization of timber, processed by woodworking factories.

Founded in 2013, RIETUMU ENERGIA SIA is cooperating with an established pool of buyers that ensures necessary and stable demand for woodchips. This pool is formed by several small and medium cogeneration power plants and Tukums city municipal company that provides heating to the city.

On the supply side RIETUMU ENERGIA SIA cooperates with big Latvian woodworking factories SIA Stiga RM un AS Latvijas Finieris, processes own timber as well as purchases imported raw materials.

The need for additional funds is justified by current situation on the Latvian woodchips market that is characterized by high seasonality and continuously growing demand for this type of raw materials. Summer season is characterized by lower prices at which woodchips are available for purchase from the bigger suppliers, however, up to 6 months payment delay from the final customer has to be faced in that case.

Covering this gap with the help of Envestio financing will allow getting extra profits during the winter season, when the price of woodchips reaches its maximum, and repay the investment principal to Envestio participants.

Market

During the last years Latvian market for woodchips was characterized by increasing demand for the qualitative product. The size of Latvian woodworking industry, which is the main internal supplier of raw woodchips for further processing, remains relatively stable; at the same time, the number of customers has been increasing almost exponentially. Cogeneration power plants and producers of wooden pellets are looking to purchase growing amounts of the raw materials. Given the constant supply and increasing number of foreign customers from countries like Estonia, Lithuania, and Poland this logically results in price increase and even product shortage on the market.

Besides the increasing demand the market also faces extreme seasonality. Woodchips can be purchased at cheaper price during the summer, at the same time, during the winter not all customers can handle the price growth (and still there is an excessive demand). In these conditions, a company that can purchase the woodchips during the low season, store it, and sell during the period of higher prices may achieve extra profits.

Sample repayment schedule

Envestio participant’s investment – EUR 1 000.00
Payments:

25.03.2019 – EUR 13.04
25.04.2019 – EUR 14.44
25.05.2019 – EUR 13.97
25.06.2019 – EUR 14.44
25.07.2019 – EUR 13.97
25.08.2019 – EUR 1014.44

Total expected return: EUR 1 084.30

New high-yield Envestio project – Production of Sawn Timber – part 2

By MPI7th November 2018News, Peer-to-Peer LendingEnvestio, Factoring financing, invest, investing, Latvia, NDINAMIKA SIA, peer-to-peer lending, Sawn Timber

Envestio informed today that a new investment opportunity is available at the portal to all registered participants.

The project is presented by the Investment Project Owner that is already familiar to Envestio participants – Latvian company NDINAMIKA SIA. By investing in the project “Production of Sawn Timber – part 2” it is possible to participate in the financing round for the production cycle of sawn timber products by a representative of European woodworking industry.

The loan is fully secured by commercial pledge and personal guarantee of the main beneficiary of NDINAMIKA SIA.

You can invest any amount starting from 1 EUR. Minimum deposit to the investment account is EUR 100.

If you invest for the first time at Envestio don’t forget that you can get € 5 and a 0.5% cashback bonus for the investments made in the first nine months (270 days), more details HERE.

Investment opportunity

High-yielding investment in woodworking sector, factoring-type financing for a sawn timber production/wood pellets trading company.
Secured debt, 20,5% planned annual return.
Investment principal buyback is available at 5% penalty rate.

Project description

The company NDINAMIKA SIA is a Latvian company that is successfully acting on the market of production and sale of sawn timber to local and international customers. Established in the year 2013, NDINAMIKA SIA is a well-known and experienced player on the Latvian woodworking market. Besides production of sawn timber, the company is also engaged into sale and delivery of wood pellets/biomass fuel to Latvian households, small agricultural complexes, and other consumers.

Sawn timber is being produced from the raw round timber, purchased directly from the owner of the forest sites. NDINAMIKA SIA has concluded long-term agreements with a number of companies and private individuals that ensures operational flexibility.

A standard production cycle includes:

Inspection of the site, marking the trees
Cutting down the trees in agreed volume using company’s equipment and vehicles
Transportation of the raw round wood to the company’s warehouse, preparation for further processing
Production of sawn wood using specialized tools and equipment
Post-production treatment, packing, sale

The funds, attracted with the help of Envestio will be used for the purchase of raw round timber, financing the production process, and covering the time gap before the final payment is received from the customers.

Market

In the first half of 2018 the overall situation in the sphere of supply of round timber has continued to improve. At the same time, assortment prices remain high, thus indicating insufficient supply of wood for further processing. As the “Forest and Wood Products Research and Development Institute” notes, the rapid increase in the prices of round wood in ports has reduced the availability of technological wood in the regions of Latvia.

Roundwood prices have risen noticeably not only in Latvia, but also in the Baltic neighbour states and Sweden. It should be noted that the increase in prices for pulpwood and saw logs in Sweden has not been as rapid as, for example, in Latvia.

The limiting supply of round timber and the high demand for wood due to climatic conditions, as a result of the increase in the prices of round timber, has affected the export performance of the industry.

In the 5 months of 2018 the amount of wood products exported from Latvia exceeded the indicator of the previous year by 21%. The value of exports of slab and plywood exceeded last year volumes by 4%, the export sales of sawn timber products remained at the same level, the volume of exported granules decreased by 14%. The export value of round timber climbed by 90%, firewood and chips – increased by 12%.

Sample repayment schedule

Envestio participant’s investment – EUR 1 000.00
Payments:

07.12.2018 – EUR 16.85
07.01.2019 – EUR 17.41
07.02.2019 – EUR 17.41
07.03.2019 – EUR 15.73
07.04.2019 – EUR 17.41
07.05.2019 – EUR 1016.85

Total expected return: EUR 1 101.66

New high-yield Envestio project – Production of wood pallets – trade financing 2

By MPI29th October 2018News, Peer-to-Peer LendingEnvestio, Factoring financing, invest, PALLET TIMBER COMPANY, peer-to-peer lending, timber processing sector

Envestio informed today that a new investment opportunity is available at the portal to all registered participants.

By introducing the new Investment Project “Production of wood pallets – trade financing 2″, Envestio expands the variety of industries available to invest in.

The loan is fully secured by mixed commercial pledge and personal guarantee of the main beneficiaries of “PALLET TIMBER COMPANY” SIA.

As usual, you can invest any amount starting from 1 EUR. Minimum deposit to the investment account is EUR 100.

If you invest for the first time at Envestio don’t forget that you can get € 5 and a 0.5% cashback bonus for the investments made in the first nine months (270 days), more details HERE.

Investment opportunity

High-yielding investment in timber processing sector, factoring-type financing for a sawn timber and wooden pallets manufacturing company.
Secured debt, 20,67% planned annual return.
Investment principal buyback is available at 5% penalty rate.

Project description

The company PALLET TIMBER COMPANY SIA is a Latvian venture that is successfully working on the market of producing sawn dimensional timber products and different types of wooden pallets since 2012. The company operates modern production facilities in Riga, Latvia, which allows it to optimize raw products purchasing and logistics costs. Latvia is one of the richest countries in Europe in terms of forest – approximately one half of its territory is covered with woods. A vast variety and wide availability of different types of local raw timber makes woodworking industry one of the country’s most advanced and well-known at different export markets. PALLET TIMBER COMPANY SIA uses trademark “Made in Latvia” as an additional competitive advantage for its produce.

Flexibility is another key asset of PALLET TIMBER COMPANY SIA. Dimensional timber it produces has vast amount of different sizes, making it suitable for a wide variety of purposes of use in different markets with diverse standards.

The same refers to the wooden pallets, produced by PALLET TIMBER COMPANY SIA. Depending on specification of cargos and type of transportation and storage, the company offers pallets of different construction, durability, and area. For the production of separate order of pallets, it is also possible to use clients’ drawings and other requirements. The range of materials, which are used in the production process of the pallets include planks, beams, plywood, OSB, pressed cubes, as well as other materials. Examples of company’s produce can be seen in the pictures below.

PALLET TIMBER COMPANY SIA is looking to attract factoring-type financing enabling it to accomplish additional purchases of raw timber and increase sales, mainly to the export markets. The PALLET TIMBER COMPANY SIA currently is actively expanding to new markets (such as Turkey, United Arab Emirates, and Scandinavian countries) but additional funds will also be used in order to increase exports to current clients. The main export markets for the company’s produce include Germany (up to 48% of the company’s produce), Poland (16%) Belgium (8%), the Netherlands (7%), and other countries (21%). Advantageous geographical location allows fast delivery of company’s produces both across the Europe and also to the Eastern direction by land or sea.

Market

Wood is the most preferred material for pallets across the globe, as it offers huge advantages in terms of response time and low startup cost for customized designs. Wooden pallets sometimes end up with sharp splinters causing injuries or protruding nails that damage food packaging. But due to the low costs, wood pallets will continue to dominate product sales in most areas across the globe. However, wood pallets these days are largely being replaced with plastic pallets. As food safety compliance and reusability is a growing attraction among manufacturers, they are looking for sustainable material handling options and thus, plastic pallets will continue to gain acceptance in a range of industries including foods & beverage, pharmaceuticals, groceries and automotive.

With a huge incremental opportunity, the global pallets market is projected to grow at more than 5% CAGR during the period of assessment.

During the period 2012 – 2016, the global pallets market expanded at a CAGR of 4.7%. However, during the forecast period – that is between 2017 and 2025 – the market is anticipated to grow at a CAGR of 5.4% owing to increasing demand for better and safe transportation coupled with the rise in demand for pallets from various industries like food, agriculture, chemicals etc. The global pallets market is projected to represent incremental opportunity of more than US$ 25 Bn between 2017 and 2025.

Sample repayment schedule

Envestio participant’s investment – EUR 1 000.00
Payments:

29.11.2018 – EUR 17.56
29.12.2018 – EUR 16.99
29.01.2019 – EUR 17.56
28.02.2019 – EUR 16.99
29.03.2019 – EUR 16.42
29.04.2019 – EUR 1017.56

Total expected return: EUR 1 103.08

New high-yield Envestio project – Production of wood pallets – trade financing 1

By MPI22nd October 20181 commentNews, Peer-to-Peer LendingEnvestio, Factoring financing, invest, PALLET TIMBER COMPANY, peer-to-peer lending, timber processing sector

Envestio informed today that a new investment opportunity is available at the portal to all registered participants.

By introducing the new Investment Project Owner “PALLET TIMBER COMPANY” SIA with project “Production of wood pallets – trade financing 1″, Envestio expands the variety of industries available to invest in. “PALLET TIMBER COMPANY” SIA has a successful and profitable experience of producing sawn dimensional timber products and different types of wooden pallets.

The loan is fully secured by mixed commercial pledge and personal guarantee of the main beneficiaries of “PALLET TIMBER COMPANY” SIA.

As usual, you can invest any amount starting from 1 EUR. Minimum deposit to the investment account is EUR 100.

If you invest for the first time at Envestio don’t forget that you can get € 5 and a 0.5% cashback bonus for the investments made in the first nine months (270 days), more details HERE.

Investment opportunity

High-yielding investment in timber processing sector, factoring-type financing for a sawn timber and wooden pallets manufacturing company.
Secured debt, 20,67% planned annual return.
Investment principal buyback is available at 5% penalty rate.

Project description

Market

With a huge incremental opportunity, the global pallets market is projected to grow at more than 5% CAGR during the period of assessment.

Sample repayment schedule

Envestio participant’s investment – EUR 1 000.00
Payments:

22.11.2018 – EUR 17.56
22.12.2018 – EUR 16.99
22.01.2019 – EUR 17.56
22.02.2019 – EUR 17.56
22.03.2019 – EUR 15.86
22.04.2019 – EUR 1017.56

Total expected return: EUR 1 103.09

New Envestio project – Wood pellets – trade financing 2

By MPI17th September 2018News, Peer-to-Peer Lendingenergy industry, Envestio, Factoring financing, invest, investors, Latvia, NDINAMIKA SIA, peer-to-peer lending, wood pellets

Envestio informed today that a new investment opportunity is available at the portal to all registered participants.

By introducing project “Wood pellets – trade financing 2″, Envestio continues the successful cooperation with the representatives of the environmental-friendly energy industry.

The loan is fully secured by commercial pledge and personal guarantee of the main beneficiary of NDINAMIKA SIA.

You can invest any amount starting from 1 EUR. Minimum deposit to the investment account is EUR 100.

If you invest for the first time at Envestio don’t forget that you can get € 5 and a 0.5% cashback bonus for the investments made in the first nine months (270 days), more details HERE.

Investment opportunity

High-yielding investment in energy sector, factoring-type financing for a wood pellets trading company.
Secured debt, 21% planned annual return.
Investment principal buyback is available at 5% penalty rate.

Project description

The company NDINAMIKA SIA is a company that is successfully acting on the market of sale and delivery of wood pellets/biomass fuel to Latvian households, small agricultural complexes, and other consumers. Taking into consideration increasing prices for traditional fuel, such as natural gas and oil products, the demand for wood pellets is constantly increasing that provides good business opportunities for the market players.

Besides pricing, one more key factor that affects demand is absence of complex and pricey requirements to the heating system of the household. Burning pellets in an ordinary stove can perfectly heat a small and medium size (up to 150 m2) private house; no special gas or oil boiler or generator is necessary in that case. Pellets are easy to transport and store, they do not require a connection to centralized supply system, and have relatively high energetic efficiency.

Installation of a special pellet stove allows using pellets as fuel also for small industrial and agricultural complexes. Specialized pellet stove ensures higher efficiency than ordinary stoves and is comparable to gas boilers.

Pellets are mostly produced from local wood that ensures maximum utilization of this renewable resource. Pellet heating is considered to be one of the most environment-friendly, as it does not create excessive pollution, produces a very small amount of waste (which is traditionally used as a fertilizer by many households) and ensures full utilization of timber, processed by woodworking factories. Pellets are produced by chopping the pieces of wood into powder that is afterwards dried and processed in a granulator mill (pellet-mill) that forms it into pellets.

Established in the year 2013, NDINAMIKA SIA sells and delivers wood pellets to the final customers across the Latvia. Current business scheme assumes purchasing the stock of pellets during the low season (summer) and gradually selling it to the households and business consumers during the high season (autumn and winter).

The need for additional funds is justified by current situation on the Latvian biomass fuel market that is characterized by high seasonality and continuously growing demand for wood pellets, woodchips, and wood briquettes. Summer season is characterized by lower prices at which the fuel is available for purchase from the producers, however, up to 6 months payment delay from the final customer has to be faced in that case.

Covering this gap with the help of Envestio financing will allow purchasing additional stock now and getting extra profits during the winter season, when the price of woodchips reaches its maximum, and repay the investment principal to Envestio participants.

Market

During the last years Latvian market for biomass fuel that includes wood pellets, woodchips, wood briquettes, and similar products was characterized by increasing demand for the qualitative product. The size of Latvian woodworking industry, which is the main internal supplier of the raw materials for further processing, remains relatively stable; at the same time, the number of customers has been increasing almost exponentially.

While cogeneration power plants and producers of wooden pellets are looking to purchase growing amounts of the raw materials, a bigger number of consumers is looking to purchase biomass fuel for their business and private needs. Given the constant supply and increasing number of foreign customers from countries like Estonia, Lithuania, and Poland this logically results in price increase and even product shortage on the market.

Besides the increasing demand the market also faces extreme seasonality. Wood pellets can be purchased at cheaper price during the summer, at the same time, during the winter not all customers can handle the price growth (and still there is an excessive demand). In these conditions, a company that can purchase the wood pellets during the low season, store those in a dry warehouse thus preserving the quality, and sell during the period of higher prices may achieve extra profits.