Create an account to make your first investment in only few steps!
Green loan
Green Loan is a type of financing that enables farmers to use the proceeds for projects contributing to the environment. For investors, Green Loans give an opportunity to indirectly contribute to the generation of high-quality soil carbon credits, which are later sold on the Voluntary Carbon Market and receive part of the proceeds from their sale.
-5,439,864 kg CO2e
LT0003279
Goal
55,000 €
Raised
45,492 €
Return rate 
13.9%
Rating
B+
Period
35
Time left
LTV
68%
Country
Lithuania
Loan purpose
Working capital
Business information
Security measures
Loan history
Project owner | Address |
|---|---|
header_1 | Declared | Owned |
|---|---|---|
| Dirbama žemė | 176.37 ha | 100.00 ha |
| 2024 | 2023 | |
|---|---|---|
| Revenue | 237,212.00 € | 287,369.00 € |
| Net profit | 49,824.00 € | 48,615.00 € |
| Equity ratio | 77.38% | - |
Project description
Documents
Payment schedule
FARM OVERVIEW
The arable farm was established in 2011 in the Molėtai district and has been consistently developing grain crop production for the past fourteen years. The farmer currently declares 176.37 hectares of arable land, of which 100 hectares are owned, while the remaining area is cultivated under lease agreements. The farm is operated by a single owner who is fully equipped with the necessary machinery, including a tractor, a combine harvester, a trailer, and additional implements, allowing all land preparation, sowing, and harvesting operations to be carried out independently and efficiently.
CROPS GROWN
According to the 2025 crop declaration, the farm cultivates winter wheat, winter rapeseed, beans, and hemp. In the coming years, the farmer plans to further develop the operation by splitting activities into two directions—arable farming (grains) and vegetable production—while expanding the areas dedicated to beans and peas. The land is cultivated using no-till farming practices, which help reduce fuel consumption, preserve soil structure, and improve long-term soil fertility. This approach aligns with sustainable farming standards and strengthens the farm’s long-term competitiveness.
FINANCIAL PERFORMANCE (2024)
The 2024 financial statements indicate stable and profitable farm operations. Sales revenue reached €198,179, while subsidies amounted to €39,033. The farm generated a net profit of €49,824, confirming effective cost management and the ability to maintain profitability even under fluctuating market conditions.
Balance sheet figures further demonstrate a strong financial position. Total assets amount to €788,566, while equity stands at €589,930. This asset and equity structure reflects solid financial stability, with a moderate and well-managed level of liabilities proportionate to the scale of the farm.
USE OF FUNDS
The farmer is applying to the Insoil investor community for a green loan aimed at increasing working capital. The funds will be used to support farm expansion, finance land cultivation activities, settle obligations with suppliers, and ensure smooth preparation for the upcoming season.
LOAN SECURITY
This is the farmer’s first project on the Insoil platform. The loan will be secured by a pledge of a 2016 Valtra tractor owned by the farmer.
PROJECT ASSESSMENT
The project is assessed as a reliable and low-risk investment opportunity, based on the consistently declared arable land area, positive financial results and actual EBITDA generation, a strong equity structure, well-managed liabilities, and the application of modern and sustainable no-till farming technology. This project offers investors the opportunity to earn stable returns while contributing to the efficient and sustainable development of Lithuania’s agricultural sector
Main Terms
Main Terms
The principal will be repaid by the farmer in regular instalments over the span of 3 years in accordance with the repayment schedule.
170 hectares of land are included in the Green Loan program. It is estimated that a total of 867 carbon certificates will be generated in 4 years (based on a conservative estimation). Consequently, investors will receive below indicated portion of sales proceeds from every carbon certificate generated from the land of the project owner involved in the program;
(1) 60% of income received during the loan period;
(2) 40% of income received for the following year after the loan period.
It is expected that the first carbon certificates will be generated and sold in the second quarter of 2026. The exact return will depend on the amount of sequestered CO2 levels and the sale price of the carbon certificates.
If the project owner (farmer) withdraws from the Carbon Credits Agreement and does not intend to follow the agreement on the carbon revenue split with investors, the project owner will be obliged to repay the entire loan as well as pay the penalty, calculated by multiplying the interest rate by the entire loan amount and period equal to the duration of the loan agreement plus 12 (twelve) months.
Investors of this loan would receive a penalty of 55000 EUR * 11% * 4 year = 24200 EUR. This penalty can be reduced by the return earned by investors from the carbon credits generated
If the project fails to be delivered successfully through no fault of the farmer, the farmer commits to paying investors a minimum interest rate of EURIBOR 6M + 1.5%. This commitment applies in situations such as the lack of market demand for selling carbon credits, among others.
Annualized return forecast
Conservative scenario (€20 per carbon certificate): 9,02% IRR*
Today's scenario (€35 per carbon certificate): 13,88% IRR*
Optimistic scenario (€100 per carbon certificate): 30,53% IRR*
Read more about the return scenarios in the document section
*The internal rate of return (IRR) is a metric used in financial analysis to estimate the profitability of potential investments. Learn more about it
Keep in mind that the return forecast is an estimation and does not guarantee you the returns mentioned above."
Project risks
Please note that investing in this project carries inherent risks, including the potential for the loss of profits and invested funds.
In the event that the Project Owner fails to fulfil their obligations, InSoil will take all necessary measures to safeguard the interests of investors and utilise the provided collateral. However, the Platform Operator does not guarantee the complete fulfilment of the Project Owner’s obligations.
There is also the possibility that carbon certificates may not be generated due to various reasons, such as the actions of Heavy Finance UAB, the project owner, or external factors.
Due to changes in market conditions, measurement methodologies and other factors, the price of carbon certificates is subject to change.