You invest 10 Euro per planted tree and get back 40 Euro after twelve years. Including a notarized contract that identifies you as the owner. The minimum amount for an investment is 200 trees = 2,000 Euro with a payoff of 8,000 Euro after twelve years.
MAHOGANY INVESTMENT IN DETAIL
A twelve year old mahogany tree (30 centimeter in diameter, 12 meters tall) contains about 0.5 cubic meter (solid) usable wood. Although we achieve more as we trim the tree tops accordingly, but we only calculate with the minimum. Currently the price for this example trunk amounts to approximately 6,400 Peso (122.65 Euro, rate from November 22th 2017).
To be on the safe side, we do not calculate with rising prices, because no analyst can predict if the price for mahogany will continue to increase. The only certain fact is that it does not fall. And only this real market value is used in our profitability calculation.
Wood trade is dollar oriented, therefore we calculate with the American measurement system. A cubic meter of wood contains 423.7760007 board feet. This crooked number gets adjusted by the wood traders to 424. Therefore, half a cubic meter contains 212 board feet. The wood trade buys one board fee for 32 Peso. In case we sell one trunk today, the equation would look like this: 212 times 32 Peso = 6,784 Peso. We round this amount off to 6,400 Peso to compensate market fluctuations. These 6,400 Peso are divided into 3,200 Peso for the farmer and 2,304 for the investor. 2,304 Peso equal 44.12 Euro (rate from November 22th 2017).
In one sentence: Your ten Euro grow into more than 40 Euro (rounded off) and yield more than twelve percent green and social interest.