Wholesale Distribution Center of Dairy Products

Opportunity Snapshot

Investment Opportunity

The annual trade turnover of dairy production in the city of Perm makes more than 1,5 billion rubles. Because of the large number of intermediaries the price of the goods grows often by 30% to the end user.

The purpose of the project is to become the unique intermediary between producers and shops, thereby to reduce the price for dairy production for the consumer and to increase the purchasing ability of the population.
The project aims at further development of the company to start own agricultural direction.

Competitive Advantage

Due to its position the company can easily go to dairy production with low intermediation while the present existing small organizations are not in a condition to compete.

Rationale for the deal

The payback period will make 24 months at full volume of investment.

Use of financing

$400.000 for acquisition of the land lot and its registration in commercial use
$800.000 warehouse construction
$250.000 for acquisition of trucks and specialist of equipment
$300 000 for acquisition of goods for realization
$30.000 for warehouse rent for the period of construction of own warehouse
$50.000 for initial expenses on the personnel
$3.000 for registration of joint-stock company

Opportunity for the investor

I will consider any option of investment.

I will give preference to the investor who will act as the creditor, it is to consider a rate of 60% per annum.

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