To install the aeration system in 2018 our budget included a need for financing some installation costs over 4 years. Assessment funds are being collected over 5 years, but purchase and installation costs will be incurred in years 1, 2 and 3. We continue to work with traditional banks and credit unions on securing a loan but progress has been slow. It is time for a plan B.
We’re initiating a campaign to secure financing through private investors. Investors will earn 6% per year, over 4 years. Interest payments will be made each year. Small principal payments will be made in 2019 and 2020, and large principle payments will be made in 2021 and 2022. Here’s a sample principal and interest payment schedule for a $1,000 investment:
|
Date |
Principal |
Interest |
Total Payments |
| May 8, 2019 |
$74.07 |
$53.75 |
$127.82 |
| May 8, 2020 |
$74.07 |
$55.56 |
$129.62 |
| May 8, 2021 |
$425.88 |
$51.11 |
$476.99 |
| May 8, 2022 |
$425.99 |
$25.56 |
$451.55 |
|
Totals |
$1,000.00 |
$185.98 |
$1,185.98 |
Anyone interested in helping may call the hot line at 248-382-8870 to sign up. You can also contact us through the website here. First come, first served!
Duck Lake 
June 1, 2018 at 3:15 pm
Is there a plan C such as starting the job with the money collected from the tax assessments, and proceeding incrementally ? Then perhaps part of years 4 and 5 assessments could be brought forward to years 2 and 3 with the 5 year total remaining the same……may be easier said than done, but just asking as this is a cash flow issue.
June 1, 2018 at 4:20 pm
Yes this is defiantly an option and is actually the default if everything else is exhausted. However, if we went that route we would not be able to pay/slash install the system until year 4 of the assessment. That is when we would have collected enough money in our tax assessment to purchase the system. However, on a positive note, we have already gained some commitments from investors that have put us a lot closer to our goal.
June 1, 2018 at 11:23 am
Have you talked with anyone from Huron Valley State Bank? Local bank in Highland. I have do tacts there. Let me know if I can help.
Thx
June 1, 2018 at 2:10 pm
HI Chris. We did and they came back with a no. If you care to try to reverse this, please let us know and I will provide any info you may need.
Thanks