Duration

11 months
Min. Investment

৳ 10,000
Projected ROI

17% annualized
Risk Grade

B

Overview

Ahlan Agro is a growing cattle business looking to raise funds for purchasing cattle. They had previously raised 20 lac from biniyog.io and successfully completed repayment in Jul’22 after Eid-ul Adha. They are planning to purchase bulls which they will rear and sell. This is a halal buy-and-sell campaign, and investors will be able to enjoy a projected ROI of 15.5% for an investment period of 11 months (approximately 17% per annum).

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Bosila, Dhaka, Bangladesh

Ahlan Agro [2]

৳ 3,020,000 Raised
৳ 0 Being Processed
0 Days Left
Raised:
120.80%
Goal: ৳ 2,500,000
The campaign is successful.
By saeed
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The Business

Accordion Content

Ahlan started their business in 2015 with organic products and spices. Over the years, they have ventured into eggs, poultry, honey and cattle.

In 2021, the business explored Qurbani project by rearing around 19 cattle for 2 months prior to Eid and also renting out the shed to 100+ cattle. During the Eid-ul Adha 2022, they purchased 24 bulls using financing from biniyog.io, this time they reared the cattle for 4+ months. They have successfully completed the repayment to investors ahead of time. 

The business promises to deliver cattle to consumers which are free from steroids, growth hormones, antibiotics and are given organic diet only. They are located in Bosila and investors are free to visit their premises.

Address: Ahlan Agro, Bosila Garden City, Hakkar Par, Bosila, Mohammadpur (Near Meghdubi Agro, opposite of Simba Agro)

Mr. Abul Hasnath (Sagor), owner of Ahlan Agro, started his own venture as a side-project in 2015, while working for an autonomous institution. He is the founder of Zosh Gear, Baggaging and Ahlan. He completed his BBA and MBA from IBA (Jahangirnagar University).

Given his academic and family background, he always had a keen interest in business and this passion has led him to grow Ahlan over the years. Sagor wants to leave an impact with quality products and service in the food industry.

  • Promise to provide good quality cattle, which are free of steroids, antibiotics, growth hormones or any harmful material
  • Established customer base regularly purchasing fresh meat (individuals and businesses)
  • Planned approach with clear selling proposition to return investor funds
  • Successful repayment of financing from biniyog.io after the Eid-ul Adha 2022 project.

The Contract

Accordion Content

The investment is for a period of 11 months, from mid-August 2022 to mid-July 2023.

Projected ROI (total): 15.5%
Projected ROI (annualized): 17%

biniyog.io will NOT charge the investors any fees for its services. 

Example: if someone invests BDT 100k in the project, he/she can expect to receive a total of BDT 115.5k after mid-July 2023.

  • Investors will go into a Murabaha agreement (sale contract) with Ahlan Agro
  • It will be a halal fixed return contract, where Ahlan Agro will be buying bulls from investors at a markup price and pay the amount after the Eid-ul Adha 2023.
  • biniyog.io will act as an agent for the investors and buy the products and take necessary ownership and risk of asset possession on their behalf, and then sell to Ahlan Agro
  • biniyog.io has proposed that a markup price of 15.5% on actual cost will be charged to the business for each bull, and Ahlan Agro has agreed that it’s a fair price for both the business and the investors
  • Investors can expect to get their returns within 16th July 2023

Shariah Compliance

Accordion Content

Investors appoint biniyog.io as an agent to deal on their behalf (Wakalah) and invest into the business through buy and sale of assets under a fixed return (Bai Murabaha) agreement.

biniyog.io‘s Shariah advisors have approved the basis and application of this Murabahah contract.

Potential Risks

Accordion Content

Livestock business is inherently more risky than most other businesses. biniyog.io has identified several risks and their possible mitigation:

    • Disease or death of an asset (bull), which will result in a loss in capital. 
      For regular check up and diseases, Ahlan Agro has access to veterinary services.
      However, even with 10% potential loss (e.g., 3 out of 30 bulls), the business can still earn enough profit by selling the rest 90% and pay back investors.
       
    • Theft: This risk occurs mostly during storage, and would lie with the business after handover. biniyog.io has visited the cattle shed of the business and found that there are security measures like closed-circuit (CCTV) cameras.

    • Cost management and growth of cattle: the major cost of cattle rearing is in food. And ensuring a balanced diet is vital for proper growth.
      Ahlan Agro has around 2 years of previous experience in rearing cattle and has know-how of good quality cattle feed.

    • Sale of cattle: Ahlan Agro has a regular stream of customers whom they have served during the last 2 Eid and also continues to serve with their weekend cattle slaughterings.
      They plan to sell the cattle weekly to deliver to individuals and businesses, as well as keep good quality cattle till Eid-ul Adha 2023. Besides, they also plan to repay 30% of the amount in Feb’23 and raise another round of financing targeting Eid-ul Adha 2023.

biniyog.io will buy the bulls on behalf of investors first and secure the ownership for some time.
This is a necessary risk to ensure Shariah compliance of the transaction.

In this case, the business wants biniyog.io to buy the cattle from a market outside Dhaka to get better prices. biniyog.io will therefore buy cattle through a trusted agent and hand over ownership of the cattle once they are transported to Dhaka. So investors will have to bear the risk before handover is complete.

While chances of any damage occurring to the cattle is low during possession, investors will have to keep in mind that responsibility for such damage cannot be borne by the product buyer (Ahlan Agro) during that period of time.

This is a project based investment. Hence, delay is not expected after Eid ul Adha in mid-July 2023.

Ahlan Agro will share a security cheque with biniyog.io, which will be encashed in case of any breach of contract.

Disclaimer

This investment opportunity is based on a first come first serve basis. Your investment is secured only after your transfer-proof has been received. If the investment quota is already filled, your transferred amount shall be returned.

Return of your capital is NOT guaranteed. Investment, by default, requires a risk appetite. Past performance is not a guaranteed indicator of future outcomes.

biniyog.io only acts as a consultant to the investor and the business, and does NOT manage funds for any party.

biniyog.io does risk assessment to a certain extent, but will NOT be liable if the business does not perform as per expectation.

For any questions, please use the chat icon on the right or leave a message.

  • 29-07-2022

    This campaign is now live on biniyog.io!

    The funding campaign has started. The target is BDT 25 lac with a stretch goal of BDT 30 lac.