First crowdfunding platform devoted to supporting underfunded rural Europe
LendSecured has launched a one-of-a-kind crowdfunding platform that helps European farmers safe finance, utilizing grain as collateral.
RIGA, LATVIA, March 9, 2021 /EINPresswire.com/ – Prepared closes the financing hole of 9 billion within the agricultural sector, which has an impression on the financing of rural Europe and the engine of its progress.
Farmers in rural Europe, particularly in international locations like Hungary, Latvia, Estonia, Lithuania, Greece, Romania, Bulgaria, Croatia and Spain, are struggling to get the working capital wanted to finance pre-harvest rental and purchase the mandatory equipment, stifling progress.
In line with a survey developed by the European Funding Financial institution and the Directorate-Common for Agriculture and Rural Growth (DG AGRI):
– 12.2% of farms report that entry to finance for investments has been tough the earlier yr and 10.4% have issue accessing finance for working capital.
– For 10% of respondents, the primary cause for not making use of for financial institution financing was worry of rejection.
– 10% of rejected financial institution requests had been because of the non-acceptance of livestock or different movable agricultural property as collateral.
The LendSecured platform will ease the method of financing investments within the agricultural sector, thereby bringing extra progress alternatives to rising international locations in Europe. The makes use of a 3-way mannequin to finance the mortgage. An settlement might be made between the buyers, the farmers and the patrons of the crop, with the patrons of the crop shopping for the grain from the farmers and returning the curiosity to the lenders.
The thought is kind of easy, at first of every season, farmers want working capital to purchase fertilizer, pay wages, restore machines, in order that they borrow cash and pay it again on the finish of the season. by promoting their harvest.
For buyers, the platform permits them to diversify their portfolios, assist the event of rural Europe and even select to assist natural or non-organic farmers.
“By bettering entry to funds for the EU’s rural space, we stimulate innovation and create extra respectable working situations. On the identical time, providing buyers a diversified portfolio, which additionally occurs to be an important various to short-term loans. Investing in initiatives that even have added worth for the EU financial system combines the ethics of accountable funding with mutual advantages, which we imagine is the way forward for investing, and is within the making. made according to the United Nations Sustainable Growth Targets. – Nikita Goncars, co-founder of LendSecured
The workforce behind LendSecured has over 12 years of expertise as a monetary providers supplier and has constructed the platform with safety and transparency in thoughts. Consequently, no financing is held on LendSecured accounts, however relatively on accounts held by the BNP Paribas financial institution through our LemonWay companions. The platform is within the strategy of acquiring the EU crowdfunding license which was launched in November 2020. As well as, the platform is AML compliant and solely accepts funds from SEPA international locations.
LendSecured is a part of a gaggle of firms working on the intersection of actual property, mortgages and building, based by Nikita Goncars and Edgars Talums over 10 years in the past. Their initiatives have yielded a return of over 10% for his or her buyers, and the event of LendSecured will present the general public with equally worthwhile funding alternatives.
For extra data, contact Media Consultant Julia Gifford.