Brandon Welch, Perennial fund, investing and profit sharing to get farmers to organic and beyond - a podcast by Koen van Seijen

from 2019-07-12T12:20:04

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Transition finance is key to help many more farmers and growers start the transition to organic and regenerative. The Perennial Fund is going to experiment with a new concept!

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The Perennial Fund invests $75-150 per acre per year into the farm 

  • For 3 years to transition to organic 
  • In exchange for a 10-25% net profit share after they’re certified organic 
  • Until 1.5x the initial investment is returned 


The per acre investment amount is determined by the overall capital needed to facilitate a successful organic transition. Farmers do not pay back the fund until they are making net profits. The expected IRR is 9% over 10 years, though successful payback is conservatively expected to take 5 years. If the investment is not repaid at 1.5x after 10 years, the remaining amount owed will be forgiven.

A key piece is the market access, Pipeline foods (we have interviewed Eric earlier) buys the crops in the 3 year transition and provides a long term off take agreement for the organic crops

All links and show notes here:
www.investinginregenerativeagriculture.com/2019/07/13/brandon-welch

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For feedback, ideas, suggestions please contact us through Twitter @KoenvanSeijen, or get in touch through the website www.investinginregenerativeagriculture.com.

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The above references an opinion and is for information and educational purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.

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