Introduction
Investing in farmland can be a lucrative and rewarding way to diversify your portfolio and generate steady cash flows. FarmTogether is an investment platform that allows individuals to invest in farmland without the hassle of owning and managing it themselves. In this article, we’ll take a closer look at FarmTogether review and how t o invest in farmland through the platform in 2023.
Background on FarmTogether
FarmTogether was founded in 2017 and is based in San Francisco. The company’s ownership structure is not publicly disclosed, but its founders include Artem Milinchuk, an experienced farmland investor, and Gabe Yahya, a former investment banker. The platform works by sourcing farmland investments and managing them on behalf of investors.
Through FarmTogether, investors can invest in farmland through direct ownership or fractional ownership. The platform offers farmland investments across the United States, with a focus on regions with high agricultural productivity and potential for long-term appreciation.
How Does FarmTogether Work?
To invest in farmland through FarmTogether, investors can sign up for an account on the platform and browse available farmland investments. Each investment opportunity includes detailed information about the farm, including location, soil type, crop history, and other relevant data.
Investors can invest in a fraction of a farm or the entire farm, depending on their investment goals and budget. FarmTogether charges a management fee and takes a percentage of the profits from the sale of the farmland.
Is FarmTogether Legit?
One of the most common questions about FarmTogether is whether it is a legitimate investment platform. The answer is yes. FarmTogether is a registered investment advisor with the Securities and Exchange Commission and is subject to rigorous regulatory oversight. The platform also has a track record of success, with a 14.6% annualized net return for investors as of March 2023.
Customer reviews of the platform are overwhelmingly positive, with investors praising the professionalism of the FarmTogether team and the ease of investing in farmland through the platform.
Getting Started with FarmTogether
To get started with FarmTogether, investors can sign up for an account on the platform. Complete a brief questionnaire to determine their investment goals and risk tolerance. Once approved, investors can browse available farmland investments and choose the ones that best meet their needs.
The minimum investment for farmland investments on FarmTogether is $15,000, although some investments may have a higher minimum. FarmTogether charges a 1% management fee and takes a percentage of the profits from the sale of the farmland.
How to Make Money with FarmTogether
Investing in farmland through FarmTogether can be a profitable way to generate steady cash flows and long-term appreciation. Investors can make money through several different channels, including:
- Cash flows from crops: Farmland investments can generate cash flows from the crops grown on the land. These cash flows can be paid out to investors on a regular basis, providing a steady stream of income.
- Long-term appreciation: Farmland is a finite resource, and as the world’s population continues to grow, demand for agricultural land is likely to increase. This can lead to long-term appreciation in the value of farmland investments.
- Sale of the farmland: Investors can also make money by selling their farmland investments at a profit. FarmTogether actively manages its farmland investments to maximize their value and ensure they are sold at the optimal time.
How to Get Started With FarmTogether
FarmTogether offers investors the opportunity to invest in high-quality farmland across the United States. Here are the steps to sign up for an account on the platform:
- Go to the FarmTogether website and click on the “Sign Up” button.
- Enter your personal information, including your name, email address, and phone number.
- Submit the required documentation to verify your accredited investor status.
- Browse the available investment opportunities and select the ones that best match your investment goals and risk tolerance.
- Fund your investment account and start investing in farmland.
The investment options available on FarmTogether include direct ownership of farmland and fractional ownership through farmland investment funds. The minimum investment requirements vary depending on the investment opportunity, but typically start at $15,000. FarmTogether charges a management fee of 1% per year and a performance fee of 15-20% on returns above a certain threshold.
Risks and Rewards of FarmTogether
Investing in farmland through FarmTogether offers potential rewards, including steady cash flows and long-term appreciation. However, there are also potential risks involved. Here are some of the potential risks and rewards of farmland investing through FarmTogether:
Potential Risks
- Weather and climate risks: Farmland investments are subject to weather and climate risks, which can impact crop yields and overall profitability.
- Regulatory risks: Changes in regulations can impact the value and profitability of farmland investments.
- Market risks: Farmland values can be impacted by changes in supply and demand dynamics in the agricultural sector.
Potential Rewards
- Steady cash flows: Farmland investments can generate steady cash flows through crop yields and land appreciation.
- Long-term appreciation: Farmland values tend to appreciate over the long-term, providing potential capital gains for investors.
- Inflation hedge: Farmland investments can serve as a hedge against inflation, as agricultural products tend to rise in price during inflationary periods.
Conclusion
FarmTogether is a leading farmland investment platform that offers accredited investors the opportunity to invest in high-quality farmland across the United States. The company’s investment philosophy and approach to farmland investing are based on extensive research and data-driven analysis, and its investment opportunities are designed to offer investors a range of risk and return profiles.
With a strong track record of success and a team of experienced professionals, FarmTogether is a solid choice for investors looking to diversify their portfolios and generate steady cash flows from farmland investments. We recommend that investors carefully evaluate the available investment opportunities and consult with a financial advisor to ensure that investing in farmland is appropriate for their investment strategy and risk tolerance.