Section 19 · Business Plan
Use of Funds
The R60 million equity investment will be deployed across the following categories. The allocation has been designed to ensure the Company has sufficient resources to establish a fully operational farm and fund working capital through the first two production seasons, by which…
Funding land, mechanised equipment, infrastructure and working capital for the maize operation.
The R60 million equity investment will be deployed across the following categories. The allocation has been designed to ensure the Company has sufficient resources to establish a fully operational farm and fund working capital through the first two production seasons, by which time the business is expected to be self-funding from operating cash flows.
| Use of Funds Category | Amount (R'000) | % of Total | Timing |
|---|---|---|---|
| Land Acquisition / Lease & Preparation | 10,000 | 16.7% | Month 1-5 |
| Tractors, Planting & Harvesting Machinery | 12,000 | 20.0% | Month 3-6 |
| Irrigation Infrastructure | 8,000 | 13.3% | Month 4-7 |
| Grain Storage & Drying Facilities | 15,000 | 25.0% | Month 5-8 |
| Working Capital (Seasons 1 & 2) | 12,000 | 20.0% | Month 6-18 |
| Professional Fees & Contingency | 3,000 | 5.0% | Month 1-12 |
| Total Investment Required | 60,000 | 100.0% |
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