1) Project Overview
This is a Mudaraba project, based on a profit-and-loss sharing agreement. Under Mudaraba principles, the investors are known as Sahib al-Mal, while Agro Next serves as the Mudarib. Investors will provide the capital, while Agro Next will contribute its effort, expertise, and time.
In this project, the invested funds will be used to purchase cattle, cattle feed, medicines, and cover cattle maintenance costs, shed construction, and Shariah compliance approval cost. After a specific period, the cattle will be sold, and the profits will be shared between Agro Next and the investors.
Note: There is no option for investors to withdraw their funds during the project period, even in emergencies. The investment will only be returned upon project closure.
2) Duration of Investment
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Total investment amount: 15,000,000 BDT
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Investment period: 12 months
3) Projected ROI (Return on Investment)
As this is a Mudaraba-based project, returns are not fixed. However, the projected ROI is estimated to be between 22% and 25% over a 12-month period. After every 4 months, investors will receive a halal dividend.
Profit distribution:
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Investors: 50%
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Agro Next: 50%
4) Investment Participation
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Minimum investment: 5,000 BDT
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Maximum investment per investor: 20% of the total project limit
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Profit disbursement: Halal dividends will be distributed every 4 months
5) Loss Sharing
According to the Mudaraba principle, in the event of a loss, investors will bear the loss proportionately based on their investment ratio.
Agro Next will lose its invested effort, time, and expertise.
6) Service Charge
There is no service charge applicable for this project.
7) Contract Conditions
Investors will enter into a formal Mudaraba contract, governed by profit-and-loss sharing terms.
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Profits will be distributed every 4 months.
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The principal investment will be returned upon successful completion of the project.
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If the project requires an extension, investors will be notified in advance.
8) Risks and Mitigation Strategies for the Cattle Project
1. Disease Outbreaks
Cattle are vulnerable to diseases such as Lumpy Skin Disease, Foot-and-Mouth Disease, and others. These illnesses may weaken the cattle or lead to death.
Mitigation Strategy:
Timely vaccination under the supervision of qualified veterinary professionals is ensured. If any symptoms are observed, experienced veterinarians are immediately consulted for diagnosis and treatment.
2. Theft
Cattle theft poses a potential financial risk.
Mitigation Strategy:
All cattle sheds are equipped with 24/7 CCTV surveillance, and security personnel are assigned to monitor and safeguard the premises continuously.
9) Payment Delay
Agro Next has conducted a thorough internal feasibility analysis and is confident in timely payments.
However, in the event of unforeseen challenges, investors will be informed and a short extension may be requested.
10) Authorization Letter
As part of the investment process, investors are required to download, fill out, and submit the Authorization Letter during form submission.
Failure to provide the letter may result in rejection of the investment by Agro Next.
11) Security
Agro Next ensures transparency and accountability by providing the following official documents to all investors:
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Official Money Receipt issued by Agro Next
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Contract Deed between the investor and Agro Next, executed on a 300 BDT government stamp paper
