Equipment supply agreement

1. What this is

The cooperative buys a named piece of processing equipment and supplies it to
your washing station on deferred payment terms.

This is a sale with payment deferred. It is not a loan. The cooperative is not
lending you money and is not a lender. This distinction is deliberate and it is
what keeps this arrangement outside cross-border lending rules in your country.

2. What you pay

You pay the landed cost of the equipment. Landed cost means the price of the
machine plus freight, insurance, duty, tax, clearance, inland transport and
installation — the real total to put it on your site, itemised and shown to you
before you sign.

You pay no interest. You pay no fee. The number you repay is the number it cost,
and nothing more.

3. How you pay

You pay a fixed share of the value of each cherry delivery your station makes,
until the landed cost is paid. The share is set before you sign and does not
change.

If the harvest is poor, your payments are smaller. If there is no harvest, you
pay nothing that season. Payments follow your revenue, and this is the entire
point: a fixed monthly instalment in a bad year is how farms lose land.

The share will not exceed 35% of your deliveries. If the equipment you asked
for cannot be repaid within that limit, the cooperative will say no rather than
agree to something you cannot carry.

4. Part payment in coffee

A portion of each payment is settled in green coffee rather than cash, at a
price agreed in advance. The proportion is stated before you sign.

5. Handing it back

You may return the equipment at any time, in working order, and owe nothing
further. There is no penalty and no residual balance.

This is unconditional. It is the protection that matters most, because it means
the worst case for you is that you are where you started.

6. Ownership

The cooperative retains title to the equipment until it is paid for. Title
passes to you on final payment. You may not sell, pledge or move the equipment
off site before then.

7. Maintenance

You operate and maintain the equipment. The cooperative will tell you before
you sign who services it, how far away they are, and whether spare parts are
held locally, because equipment nobody can repair is worse than no equipment.

8. If something goes wrong

If the equipment is faulty on arrival, the cooperative pursues the vendor, not
you, and payments do not start until it works.

If it is damaged or destroyed while in your care, tell the cooperative
immediately. Insurance arrangements are stated before you sign.

9. Your members

Your station pays its own farmers. The cooperative does not take a share of
what farmers are paid for cherry, and does not set your farmgate price.

10. Disputes

Raise a dispute by phone, by USSD or in writing. It is recorded and answered.
Disagreements about weight or payment are resolved from station records, which
you are entitled to see.

11. Language

This agreement is binding in the language marked as binding on the signature
page. If you have signed a translation, the translation is provided for
understanding and the binding language governs. You are entitled to have it
explained to you in your own language before signing, and should not sign
until it has been.