Negative Scenario for a 10 year term

Although all the experts believe that the prices for your poles, biomass and land will increase for the next 10 years, we also want to show you what happens to your return if all prices fall during your 10 year term.

Your projected return when all prices DECREASE with 4% per year:

Plot Size

Number of Trees

 Total Investment

Projected Return

ROI

½ Hectare
3,000
€ 12,000
€ 18,000
50%
1 Hectare
6,000
€ 23,000
€ 36,000
56%
2 Hectare
12,000
€ 54,000
€ 81,300
51%

* The ½ and 1 hectares are subleased, not owned.

A ROI of 50% is 4% per year compounded. Still higher than what you will receive from any bank.

As you can see, it's very hard NOT to get a positive overall return on your investment. This is due to the fact that your trees will grow in size and you will always be able to sell your poles, biomass and land, even if not for the price you expect in a positive scenario.

Back to the positive scenario