Shariah-Compliant Farm - 7

Shariah-Compliant Farm - 7

BDT 45000/Share

Lalmonirhat

Duration

Profit Sharing

12 Months

40.0%


Shariah-Compliant Agriculture Financing through iFarmer: 

 

iFarmer follows the concept of Mudrabah for receiving and managing the fund for agriculture investment. 

 

The iFarmer Mudarabah Investment Guideline: 

 

This is an agreement made between two parties- Party A, 'Financier' is known as ‘Rabal-Maal’ the one who provides‘ 100 percent of the capital’ for the project and Party B, "iFarmer" is known as a ‘Mudarib’ who using his entrepreneurial skills, manages the project.

Profits arising from the project are distributed according to a predetermined ratio. Any losses accruing is borne by the provider of capital. The provider of capital has no control over the management of the project.

The Mudarib (iFarmer) will invest the funds provided by the ‘Rabal-Maal’ (Financier) for agricultural ventures and returns to the investor the principal and a pre-agreed share of the profit. 

 

Mudarabah Implementation Guideline for iFarmer:

 

  1. Two parties (Financier and iFarmer) execute Mudaraba Agreement by way of which they decide that one party will provide Mudaraba capital and another party manages the capital for a particular period. 
  2. The profit rate is to be pre-agreed between them. 
  3. Mudarib (iFarmer) has management rights and, therefore, he will utilize the partnership capital in an agreed manner. 
  4. At the end of the tenor, Mudarib (iFarmer) will return the principal and pre-agreed share of the profit to the Rabal-Maal (Financier). 
  5. If the business incurs a loss, it will be borne by Rabal-Maal (Financier) if there happens no negligence on the part of Mudarib (iFarmer). 
  6. Rabal-Maal (Financier) is not liable for the losses beyond the capital he has contributed.

 

Portfolio brief of iFarmer's Currently Active Shariah Farm:

 

  • Each Farm contains 20 cattle. 
  • All the cattle investment is received between a specific timeline. 
  • All the 20 cattle are sourced within one month and the farm investment gets live on a specific date. 
  • All the cattle are managed by our iFarmer Team for preset timeline will sell to the market for a better price and share profit with Financier (Within the contract timeline)
  • All transactions for Shariah Farms are maintained separately through Shariah Compliant Banks.

 

Partnership with Farmer:

 

  • A partnership agreement is signed between iFarmer and Farmer.
  • Whereas Farmers are responsible for rearing the cattle. 
  • iFarmer provides required management support to the farmer. 
  • Farmer gets pre-decided profit sharing for his service.

 

Profit Distribution:

 

  • Maturity = 1 year
  • Financiers get investment capital and 40% of the profit if made. 
  • iFarmer gets 60% of the profit including profit sharing with farmers. 

 

Our Shariah Farms are based on a portfolio model, where the funder gets a profit portion based on the return of the overall portfolio of 20 cattle of each farm, not on specific cattle. From our previous experience, our expectation of the return would be between BDT 6,750 (15%) to BDT 11,250 (25%) .

 

For this farm, iFarmer has a farmer capacity of 500 skilled farmers who have experienced livestock farmers with adequate training. iFarmer consists of sector experts who continuously monitor operations to minimize the risk of loss within their best capacity.

Investment Policy
What is iFarmer?

 

iFarmer is an impact tech startup that has developed an innovative online platform which enables anyone to be a funder in farming and livestock in Bangladesh.

 

How do I join iFarmer?

 

You as an individual or organization can join through an online registration using your Gmail/Facebook account or can register directly at iFarmer office.

 

What does iFarmer do?

 

iFarmer is an impact tech startup based in Bangladesh which aims to connect individuals willing to be a funder in agricultural and livestock farming with farmers seeking easy access to capital. Our idea is based on the asset-sharing model, which has been a very common practice in our rural landscape for ages. We want to portray ourselves as portfolio managers for our funder's agriculture and livestock shares.

 

What costs should be paid by the funder?

 

This depends on what you would like to fund. We have different portfolios with varying degrees of funding opportunity, return and maturity. To fund, you need to register through our website and make payment using your card or other available options of your choice. You can also issue cheque in favor of iFarmer Limited.

 

Are funders given evidence on the livestock funded?

 

Each funder has evidence in the form of a Certificate of Ownership in their email, which also explains the ownership of the assets and iFarmer’s responsibility as an asset manager. In addition, an invoice will be issued right away in an individual’s/organization’s email after payment has been made. For every transaction through a cheque, a money receipt is provided to the issuer along with all other documents mentioned above.

 

How much will I get as my return on fund?

 

Return on fund is based on a profit-sharing criterion, where farmer receives 50% of the profit, the farm funder receives 40% of the profit and iFarmer receives 10% of the profit as service revenue. For example, if a cow with a purchase price of 45,000 BDT is sold for 65,000 BDT, the farmer will get (20,000x50%) = 10,000 BDT, the farm funder will get (20,000x40%) = 8,000 BDT and iFarmer will get (20,000x10%) = 2,000 BDT.

 

When will I get return on my fund?

 

iFarmer sales the cattle within 8-10 months from the date of purchase. Taking everything into consideration, the return is transferred into funder’s bank account in exactly one year from the date of payment.

 

Who will take care of my funded livestock?

 

We have enlisted 500 experienced and trained livestock farmers for cattle rearing who will look after your funded livestock under iFarmer’s supervision.

 

Can I contact the farmer taking care of my cattle?

 

A farm manager will be assigned to you and you can reach out to your designated farmer through your farm manager.

 

How will I receive updates related to my cattle?

 

You will get access to an online dashboard. You will also have your farm manager’s phone number.

 

What will happen if my cattle dies or is stolen?

 

iFarmer consists of sector experts who are dedicated to counter any unavoidable circumstances within their capacity. However, in any given situation where the risk cannot be mitigated, we will try our level best to compensate your loss using the available benevolent fund.

 

How is iFarmer halal?

 

The model has been vetted by Islamic Research Centre Bangladesh.

 

How will I be helping the farmer?

 

You contribute by eliminating the need for loans which comes with interest. This is a burden our farmers have been carrying for ages and with your help through iFarmer, they can move towards a better standard of living.

 

Can I choose my farmer?

 

No, you cannot since we as your asset-manager is responsible to ensure the best for your funded livestock.

 

How many cattle can I fund at once?

 

The quantity varies. Please check specific farms or contact with us.

 

Can I keep the funded cattle for myself?

 

No, you cannot. iFarmer works on ground level with bulk buyers only.

 

Where will my funded cattle be sold?

 

Cattle are sold either in the local market or to institutional buyers.
 
 
What transaction mode does iFarmer use?

 

You can pay through our secure online system or issue cheque in favor of i-Farmer Limited.

 

Can I see my funded cattle in person?

 

Yes, you may. You must inform us in advance to ensure that you get the best welcome possible.

Not convinced yet?

Team iFarmer understands the value of your time, faith and money. Our team continuously appraises your funding for something much greater than monetary return.

Refund your Funding

iFarmer allows you to take back your funding within 1 week with 100% refund.

Risk Management

iFarmer team consists of sector experts with professional experience working in various high valued national and international projects.

Certificate of Ownership

Each funder will be provided with a Certificate of Ownership Farm (COF), which also explains the ownership of the Share with complete details.