Chicken Farm
1) As this is a Murabaha contract (production and sale), investors do not have the option for emergency exits. We will purchase the chicken chicks for nurturing and raising, and subsequently sell them to the enlisted merchant. Consequently, we cannot return your investment amount before the project's closure.
2) Duration of Investment
The total investment amount will be - 18,00,000
This investment will be for 4 Months.
3) Projected ROI(Return of Investment)
The return on investment (ROI) will be 25% annually. In four (4) months, the investor will receive a halal dividend of 8.3% (excluding service charges).
4) Investment Part
Here, the minimum investment would be 20,000 TK, or investors can invest up to the project limit. Halal dividends will be disbursed every four months.
For example, if someone invests 100,000 TK (one lakh taka), they will receive 125,000 TK, excluding service charges (100,000 TK as the investment part and 25,000 TK as the profit part in a year).
5) Loss Sharing
Grow Up is a Shariah-compliant project, and according to the Murabaha principle, investors are not liable for any business losses after transferring the responsibilities for chicken production and sale to the merchant. Losses incurred after delivering the meat to the merchant will not be shared by the investors, ensuring no loss sharing from the business after the product is handed over to the merchant.
6) Service Charge
Grow Up will apply a 5% service charge on investors' profit. It should be noted that all of the mentioned ROI above are provided after excluding this service charge.
7) Contract Conditions
The investors will engage in a Murabaha Agreement (Production-Sale) contract with Grow Up for the Chicken Farm Project. This contract will involve a "Production-and-Sell" process, wherein investors will initially purchase chicken chicks through Grow Up and also oversee their nurturing and raising for subsequent sale through Grow Up.
Grow Up will serve as an agent for the investors, handling the purchase of chicken chicks, overseeing their nurturing and raising, assuming ownership and risk of asset possession on behalf of the investors, and then selling them to the enlisted merchant.
8) Risk Factor
According to our calculations, although there is a 5% risk factor, GrowUp's team of experts in purchasing chicken chicks, nurturing and raising, as well as our excellent marketing team, are well-equipped to manage and mitigate these risks, as outlined earlier. Additionally, at the request of investors, we also offer an insurance policy to provide further assurance.
9) Payment Delay
Grow Up has conducted an in-house analysis of the projected returns of the business and expects to be able to repay on time, barring any unforeseen risk factors.
10) Security
Grow Up provides the following documents to investors:
- Contract Deed (300 tk Stamp)
- Security cheque
- Money Receipt
- Guarantor
- Copy of Authorized deed
- Insurance