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Inventory Financing For Sustainably-Fished Albacore Tuna

by Tre-Fin Day Boat Seafood
Inventory Financing For Sustainably-Fished Albacore Tuna

Tre-Fin Day Boat Seafood is expanding and seeking financing for the purchase of sustainably-fished albacore tuna from other day boat fishers.

Project Summary
  • Location: Ilwaco, WA
  • Products: Fishery
  • Loan Term: 8 months
  • Interest Only Period: 2 months
  • Net Interest Rate: 9.00% APR
  • Repayments Begin: 1 month after disbursement
  • Individual Lender Cap: $5,000
$77,700
100% of $77,700

Funded on 10/04/2024

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Overview

Tre-Fin Day Boat Seafood founders Mike and Eryn Domeyer, along with the rest of the team, work hard to serve sustainably-harvested and highest-quality fresh fish directly to their Community Supported Fishery, wholesale, restaurant, and retail customers.

After discovering strong demand for their high-quality fish, Tre-Fin launched a project in 2021 to build an in-house processing plant that would expand their capacity and give them 100% control over the high-quality of their product.To meet growing demand, Tre-Fin processes not only their own catch, but also product from a network of like-minded community-based fishermen.They ensure that all of the product they are sourcing meet their sourcing standards and further their mission which is: “To use sustainable methods to upend the way the industry operates and deliver the highest quality, traceable seafood.: This is an exciting moment of growth for Tre-Fin, and an example of industry growth through collaboration and alignment of values.

Now that Tre-Fin’s capacity has expanded, they have accordingly brought on a Sales Manager to help increase sales and plant throughput. Tre-Fin’s pole-and-line method of fishing in the Pacific fishery has been named the “Best Choice”—by the Monterey Bay Aquarium’s Seafood Watch—for folks looking to include environmentally-responsible seafood into their diets.

We are honored to support Tre-Fin’s model and mission. We hope you’ll join us.

 

Use of Funds

This short-term 8-month loan will allow Tre-Fin to purchase additional inventory of primarily albacore tuna from other day boats in the area for processing, sale, and distribution to Tre-Fin’s customers.

 

Regenerative & Sustainable Practices

Transparency is hard to come by in the seafood business. Even products branded as “sustainable” are often mixed with industrial catches, so only a small fraction of the final market product is responsibly sourced. The truly murky waters of seafood sourcing fueled Tre-Fin’s mission to rebuild an entirely new and transparent supply chain.

  • Rated by Monterey Aquarium’s Seafood Watch as “Best Choice” for methods that allow stock to replenish at a sustainable rate.

  • Hook-and-line Harvesting—Reeling in fish on a traditional rod and line minimizes the amount of by-catch that occurs, which is a major ethical and sustainability issue of industrial “catch-all” methods.

  • Circle Hooks—Circle hooks catch on or near the mouth of the fish (rather than the gullet), which minimizes damage, increasing the survivability of released fish.

  • The 24-Hour Rule—This self-imposed limit not only ensures freshness and quality, it also means Tre-Fin won’t simply travel further and further as local fisheries are exhausted. It’s an unprecedented commitment to place in an industry desperately lacking true stewards.

  • Fair Wages for Fishermen—Seafood is still a people business, and the burnout, financial insecurity, and inconsistent wages common on the Ilwaco docks are unacceptable by Tre-Fin standards. Tre-Fin’s CSF provides year-round economic opportunity for fishermen who receive premium prices and fair wages through the Tre-Fin Co-Op.

This loan will be made to Tre-Fin Group, LLC, an Oregon limited liability company, which purchases, processes and sells sustainably sourced seafood. 

This loan will be used to purchase albacore tuna, along with other species from other dayboat fishermen following Tre-Fin’s high quality and sustainable fishing methods. The total loan amount will be $77,700.00, which will help Tre-Fin in growing and expanding their business. 

This loan is a secured loan with a third UCC-1 lien across all business assets. Steward Lending also maintains the first and second lien position through previously made loans. This loan is set at a 9.5% interest rate, 9% net interest rate to lenders after accounting for the .5% servicing spread. The loan has an 8 month term, with 2 months of interest only payments, followed by a fully amortizing loan through the remainder of the term. 


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