Project Idea

Transbaltika OÜ (Transbaltika) is a logistics and cargo transportation company registered in Tallinn, Estonia in October 2001. It provides cargo transportation services to legal entities and individuals using its own fleet of vehicles, mainly in Estonia and Latvia. What sets them apart from other Baltic transportation companies is their specialization in heavy load, oversized, and non-standard transportation. They excel in handling shipments that require special permits, equipment, and expertise. This unique capability allows them to deliver complex logistics solutions with precision and reliability, ensuring that even the most challenging cargo reaches its destination safely and efficiently.

Cargo transportation technology is a complex process, including loading and unloading, cargo transportation, paperwork and others. However, its most important component is the construction of an optimal chain in order to organize timely delivery and minimize its costs. As a process, trucking involves the simplest of steps:

• loading at the point of departure and delivery of goods to the warehouse;
• consolidation of goods in the warehouse;
• loading into a vehicle;
• customs clearance (for international cargo);
• transportation - by one or more modes of transport;
• customs clearance upon delivery (for international cargo); and
• unloading at the place of destinatio

The project concept of Transbaltika envisages expanding the range of cargo transportation services both in the Baltic States and abroad. Within the framework of this project, Transbaltika seeks to purchase one MAN TGX truck and a special trailer with a load capacity of 40 tons. The implementation of the project will allow the company to gain a foothold in the cargo transportation market, provide a stable level of incoming cash flows and profit growth.
The MAN TGX truck tractor unit is the best solution for long-distance transportation of all types of cargo - it sets the benchmark for the highest level of fuel efficiency, reliability and economy, also thanks to its Euro 5 engines. It offers optimum payload capacity and 100% compatibility with modern semi-trailers. High power, perfect handling and perfect design of both interior and exterior will not leave any driver indifferent.

Executive summary (Business plan and financial model)

Transbaltika is launching the current funding in order to purchase one MAN TGX truck and a special trailer with a load capacity of 40 tons worth EUR 287 000 and EUR 172 500 respectively, or a total of EUR 459,500. To this end, Transbaltika seeks to raise EUR 350,000 and cover the outstanding EUR 109,500 through its own resources (company’s own funds).

Transbaltika intends to split the fundraising into several rounds.

Key financials

• The company is seeking a loan with an interest rate of 14.2% with a repayment term of 12 months
• As of 2023, Transbaltika had EUR 102 239 in total assets of which EUR 28 666 are current assets
• Transbaltika exhibits a healthy working capital ratio of 1.0 calculated based on its most recent annual financial statements for 2022
• Transbaltika has a healthy credit history ranking according to Creditinfo, an independent aggregator of credit history information
• The company expects a total cash flow of EUR 652,000 within a year from borrowing

Collateral and guarantees

The loan is backed by a collateral: Transbaltika would provide its existing manufacturing equipment to cover the loan and is ready to offset the company’s assets.