Sweet Pumpkin
1) As this is a Murabaha contract (Production - sell), there is no option for investors to exit in case of emergencies. We will cultivate the sweet pumpkin and sell them to Grow Up enlisted Merchants. Therefore, we cannot return your investment amount before the project is completed.
2) Duration of Investment
The total investment amount will be - 57,00,000
This investment will be for 1 Month.
3) Projected ROI(Return of Investment)
The return on investment (ROI) will be 36% annually. In one (1) month, the investor will receive a halal dividend of 3% (excluding service charges).
4) Investment Part
Here, the minimum investment would be 8,000 TK, or investors can invest up to the project limit. Halal dividends will be disbursed every month.
For example, if someone invests 100,000 TK (one lakh taka), they will receive 136,000 TK, excluding service charges (100,000 TK as the investment part and 36,000 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 bear no responsibility for any business losses after transferring the liability to the Grow Up authority. Any losses incurred after handing over the product to the agent/merchant are not shared with the investors. Therefore, there will be no loss sharing from the business after the handover of the product 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 Sweet Pumpkin Project. It will involve a buy-and-sell process where investors will initially invest in purchasing sweet pumpkins through Grow Up Authority and also ensure the sale of those pumpkins through Grow Up's marketing team.
Grow Up will act as an agent for the investors, purchasing sweet pumpkins on their behalf, assuming necessary ownership and asset possession risks, and then selling them to enlisted merchants. The merchants have agreed to buy the products with a 41% markup on the actual cost of procuring the products.
8) Risk Factor
According to our calculations, although the risk factor stands at 4%, the Grow Up sweet pumpkin expert team is confident in their ability to mitigate and manage these risks effectively, as outlined previously.
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