1) Project Overview
This is a Mudaraba project, a profit-loss sharing agreement. Under the Mudaraba principle, investors are called Saheb-al-Mal and Agro Next acts as the Mudarib. Investors provide capital, and Agro Next invests effort, expertise, and time.
In this project, investors’ money will be used to buy pullets, feed, pay utility bills, labor costs, shariah fees, and other expenses. After 6 months to 12 months egg will be sold and the net profits will be shared with investors . There is no early exit option for investors, and investments cannot be returned before project completion.
2) Duration of Investment
The total investment amount will be 27,00,000 TK.
The investment period will last for 12 months.
3) Expected ROI (Return on Investment)
Since this is a Mudaraba project, returns are not fixed. However, expected ROI is expected between 20% to 25% over 12 months. Profit will be shared a total of six times, from the 7th month to the 12th month. After 12 months, the principal investment will be returned to the investors.
Profit distribution:
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Investors: 70%
- Agro Next: 30%
4) Investment Part
Minimum investment: 5,000 TK.
Maximum investment: Up to 30% of the project limit.
Halal dividends will be paid 6 times from 7th month to 12th month.
5) Loss Sharing
If a loss occurs without negligence or misconduct by Agro Next (Mudarib), losses will first be deducted from available profits. If insufficient, losses will be shared proportionately by investors, who may lose part of their capital. Agro Next will lose its time, effort, and expertise.
6) Service Charge
No service charges will be applied for this project.
7) Contract Conditions
Investors enter into a Mudaraba contract, agreeing on profit-loss sharing. Profits will be distributed after project completion. The invested amount will be returned after successful project closure.
The project may be extended by a few days, with prior notice to investors.
8) Risks and Mitigation Strategies
Disease Outbreaks in pullets
Risk:
Pullets may suffer from diseases such asplague, influenza, or parasitic infections, which can lead to reduced productivity or mortality.
Mitigation Strategy:
Theft of Pullets
Risk:
Theft can result in financial loss and disrupt farm operations.
Mitigation Strategy:
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Secure fencing will be installed around Cage.
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Night lighting, 24/7 security personnel will monitor the premises.
Note: If a loss occurs despite all precautions, Clause 5 will apply.
9) Payment Delay
Agro Next expects to repay investors on time based on an internal analysis. However, the project may be extended for a few days, with prior investor notification.
10) Authorization Letter
Investors must download, fill out, and submit an authorization letter during investment form submission. Failure to submit will result in investment rejection.
11) Security
Agro Next will provide the following to investors:
