Possible Investment Opportunity

The ultimate aim of this project is to ensure that communities, both large and small, can develop to become self-sufficient in both edible oil and fuel oil. For this purpose, the Paradise Tree offers compelling advantages over other oil-bearing crops, such as Palm-Oil. However, in order to achieve the stated aim, large-scale commercial plantations will be required.

Paradise-Tree.org appreciates the fact that no single person will be likely to want to invest the sums of money required for such a venture, even on a relatively small scale. Having said this, it would seem like a good idea to pool financial resources from many like-minded business-people, who should hopefully be able to see the advantages of such a scheme.

 

Business Plan

If Paradise-Tree.org can generate enough interest from potential investors, the plan will be to establish a Private Limited Company in India, with each contributor becoming a shareholder and / or director of the Company. The initial proposal is that this Company will then invest 90% of the capital raised, to acquire disused farm-land or even waste-land, at competitive (cheap) rates. The remaining 10% of the funds will be allocated as Working Capital, to be used to cover the costs of the necessary plantation work.

One clear advantage of such a scheme will be that each share-holder in the Company will have his / her stake effectively protected by the asset value of the farm-land. This value is unlikely to decrease and, realistically, it will increase significantly over time - especially if the land results in a high-yielding agricultural output.

Five years down the line, the plantation can either be sold off as a whole or in part, or retained to generate revenues for the Company, from the sale of Paradise Tree Oil and other related products.

 

Example With Numbers

Let us assume that a 50 Lakh Rupees investment is required(*). Only 45 Lakhs would be used to purchase the land, but this figure would still buy a significant amount of "waste-land", even in certain parts of Goa (between 10 and 50 acres, depending on how greedy the seller wants to be!).

The remaining 5 Lakhs would be used as Working Capital, which should easily be sufficient to fund all the initial plantation costs.

Clearly, there are a number of ways that this total investment can be raised and it depends on how much each person is willing to invest. Therefore, if you like the sound of this plan, please express your interest by initially emailing David, Ishu or Andrew, using the "Contacts" button at the top of the page.

Please note that everything will be done legally and above-board. Once Paradise-Tree.org has ascertained the viability of such a commercial project, then a Chartered Accountant will be appointed to handle the formalities.

Ok, are you interested? If so, please get in touch and let me know how much of a "share" you might be prepared to invest.

Thanks.

David, Ishu and Andrew

 

(*For the benefit of international readers, One Lakh Rupees = Rs.100,000 or about £1200 / $1800 at the time of writing.)