BusinessFarmland could be the next big asset class modernized...

Farmland could be the next big asset class modernized by marketplace startups – TechCrunch

-


Jim Jackson developed timber and farmland in Eastern Washington, protected from coastal rains by the peaks of the Cascade mountains, building out a clutch of apple farms and other properties on the state’s sunny side for 40 years.

Traditionally, he raised money to expand operations for his farms through his existing network, which meant asking previous investors to pool together and come up with the cash.

But more recently, Jackson turned to a fundraising platform that operates entirely online. Like hundreds of other farmers, he’s using a service called AcreTrader to raise money for agricultural development projects. AcreTrader is one of a growing number of companies revolutionizing the way farm and forestland are acquired, developed and commercialized across the United States.

There’s lots of farmland in the U.S. Bill Gates, Microsoft founder and the world’s third-richest man, is the nation’s largest owner of farmland, holding roughly 242,000 acres. That number seems high until you compare it with the 897.4 million acres of land that are currently arable and used for farming in the U.S.

Another 823 million acres of forests dot the United States, the majority of which are privately owned.

Taken together, that’s a massive amount of real estate with economic potential that’s traditionally been accessible only to the ultrawealthy to acquire and finance for development. Now, startups like AcreTrader and others including Tillable, ($8.3 million) FarmTogether ($3.7 million), and Harvest Returns are bringing marketplace models to the farming world — potentially bringing hundreds of thousands of investable acres to financiers looking to diversify.



Source link

Latest news

A Problem With Bitcoin’s Lightning Network Liquidity And Ideas To Address It

This is an opinion editorial by Shinobi, a self-taught educator in the Bitcoin space and tech-oriented Bitcoin podcast...

The 34 Best Memorial Day Deals on Tech, Gaming, Home, and More

Memorial Day is a major shopping holiday in the US, but nobody wants to spend their long weekend...

DuckDuckGo Isn’t as Private as You Think

After another week of dismally tragic news and moral failures by the powerful, it's good to know that...

‘Flash Droughts’ Are the Midwest’s Next Big Climate Threat

Flash droughts are also a global problem, with Brazil, India, and multiple countries in Africa facing the worst...

Must read

You might also likeRELATED
Recommended to you