FarmTogether

FarmTogether

5.0

Farmland

Invest in US farmland to preserve & grow your assets. Build a recession-resistant portfolio.

Investment risk

Low

Min investment

$10,000

Target return

8% - 12%

Fees

1.5%

Overview

FarmTogether is an online farmland investment platform headquartered in San Francisco and founded by Artem Milinchuk. It enables accredited investors to invest in US institutional quality farmland. Investors can select from different properties, locations, and crop types curated by FarmTogether. Unlike a fund, the investor has full control of what they invest their money into.

Investors can also invest through their Bespoke channel, which enables individual investors to own the entire farm outright; this opportunity is sourced for investors who seek sole ownership and are willing to invest a capital of $1,000,000+ in equity per farm.

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Why Invest

  • Generate income from both crops and land value appreciation
  • Recession-resistent investing
  • Earn passive income

How you make money

Investors make money in two ways. 

  • Land income: Land generates income, typically either from rent or from profit off crops. In all cases, experienced farmers and farming companies pay rent or contract to work the land. The owners (FarmTogether on behalf of investors) take care of property taxes, expenses, etc. Investors receive cash flow from distributions of net profits after expenses and taxes.
  • Land price appreciation: The team uses land assessment and market measures to value the property annually. Upon the property's sale, investors receive their proportional share of the profits.

How FarmTogether makes money

FarmTogether collects 1% of the investment amount for a one-time expense reimbursement fee. The company collects 1% of the investment amount for an annual management fee and an additional one-time fee equal to 10% of capital gains at the sale. FarmTogether principals will invest alongside investors in each offering, so your interests are aligned with those of FarmTogether.

Is it Safe?

The most common risks are overpaying for land and not understanding the prevailing lease rates and their drivers in the area. FarmTogether mitigates these risks by being conservative in their underwriting and partnering with highly experienced farmers and farmland investment managers. At the same time, the allocation of substantial amounts of capital for investment in farmland and farming-related properties and significant competition for income-producing real estate may inflate the purchase prices for such assets. If they acquire properties in such an inflated environment, it is possible that the value of the properties may not appreciate and may, instead, decrease in value, perhaps significantly, below the amount they paid for such assets. In addition to macroeconomic and local economic factors, technical factors, such as a decrease in the amount of capital allocated to the purchase of farmland and farming related properties and the number of investors participating in the sector, could cause the value of our assets to decline. FarmTogether is an Exempt Reporting Advisor under the SEC regulations.

Things to know

  • You make money onValue + Dividends
  • Fees1.5%
  • Payout frequencyQuarterly
  • Term of investment60+ months
  • LiquidityHard
  • Open toAccredited Only

Company

  • Country availabilityWorldwide
  • Assets under management$100M
  • Established2017
  • Mobile Application No

Investment Return Calculator

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Invested

$16,000

Projected fees

$1,237.79

Projected return

$4,874.72

Value after fees

$20,874.72

Any references to past performance, regarding financial markets or otherwise, do not indicate or guarantee future results.

Forward-looking statements, including without limitations investment outcomes and projections, are hypothetical and educational in nature. The results of any hypothetical projections can and may differ from actual investment results had the strategies been deployed in actual securities accounts.

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