Question 1

How are farmland returns generated?

Accepted Answer

A farmland portfolio produces returns in 2 ways. By purchasing and leasing the land, we generate income from the lease payments. A second way farmland generates returns is price appreciation. Price appreciation happens when we acquire land below market, when we make improvements to the land and also through the natural long-term trends in land prices.

Question 2

What are the benefits of using FarmTogether?

Accepted Answer

FarmTogether makes it easy for investors to invest in farmland without having to do all of the due diligence and farm management work. We provide access that was historically limited and thoroughly underwrite every investment offered on our website. We spend many hours sourcing farmland investments and allow investors to invest in farmland with affordable investment sizes.

Question 3

What types of investments will I see on FarmTogether?

Accepted Answer

FarmTogether features direct investments in farmland. We typically target permanent crops in California and the Pacific Northwest (e.g. tree nuts, citrus), focusing on locations with the strong water availability, high-grade soils, and within the networks of our preferred operators. However, we review properties across the country and across different commodities in order to provide an array of opportunities to meet our clients' diverse preferences and needs.

Question 4

When and how will I receive returns from investments?

Accepted Answer

You will receive returns from farmland price appreciation at the end of the hold period. Lease payouts are typically made on a quarterly, semi-annual, or annual basis. and are automatically deposited into investors' bank accounts. The size of distributions depends on the negotiated lease payments every year. Investors can track upcoming lease payments and distributions to date through our platform.

Question 5

Who can invest through FarmTogether?

Accepted Answer

FarmTogether serves accredited investors worldwide. To qualify, you must meet the SEC's Accredited Investor definitions:

Earn an annual income of over $200,000 per year for the last two years ($300,000 per household) with the expectation of maintaining such level of income this current year.
Have a net worth of greater than $1 million (individually or jointly), excluding the value of a primary residence.
Invest as a bank, an insurance company, registered investment advisor, business development company, or small business investment company.
Invest as a business in which all the equity owners are accredited investors.
Invest as an employee benefit plan, a trust, charitable organization, partnership, or company with total assets over $5 million.

Frequently Asked Questions

FarmTogether General

Who is responsible for decisions in an entity?

Under what regulatory framework does FarmTogether offer these investments?

Does FarmTogether invest alongside investors?

How do you perform due diligence on investment?

What diligence materials are provided?

How are FarmTogether's deals structured?

Does FarmTogether function as a Real Estate Investment Trust (REIT)?

Who are your partners?

What is FarmTogether's commitment to sustainability?

What is FarmTogether's executive team's track record?

How does FarmTogether work?

Who is FarmTogether?

Selling Farmland Through FarmTogether

How can I sell my farm on FarmTogether?

Investing General

How is income from farmland treated?

Who can invest through FarmTogether?

Do you accept investments from international investors?

How are legal documents handled on FarmTogether?

Who is a U.S. Person?

How will I handle my tax accounting once I have invested?

Do I need to be involved in any aspect of property management?

How does FarmTogether decide where to offer each deal - for instance, via Crowdfunding vs. the Farmland Fund?

When and how will I receive returns from investments?

What are your fees?

Why is my investment pending?

How do I make my first investment?

How are farmland returns generated?

How does investing with FarmTogether work?

Do you accept investments from non-accredited investors?

How do you verify investor's accreditation?

What is the minimum investment size?

Crowdfunded Offerings

What type of investments will I see through Crowdfunding?

What are your fees?

How do I make my first investment?

What is the investment minimum?

Do you accept investments from international investors?

Am I eligible to invest?

What is the Crowdfunded product?

How often do you bring new crowdfunded properties to the platform?

What happens if you cannot raise all the money you need from investors for a property?

What type of tax documentation do you provide to investors?

How liquid is my investment in a crowdfunded property?

How do you notify investors about new properties on the platform?

Sustainable Farmland Fund

Who is the Fund custodian?

Is the Fund available to international investors?

Who is the Fund administrator?

What is the Sustainable Farmland Fund?

Am I eligible to invest?

What is the investment minimum?

What is the portfolio construction of the Fund?

What are the fees?

What is the difference between an evergreen fund & open ended?

How does a commitment work in terms of timing?

For the two-year lock up when does that start?

Can you re-invest the earnings of the fund?

How does withdrawing from the fund work? There is 2.5% a quarter, how do I sell my entire position?

Do you anticipate the Fund acting as a means to provide liquidity to people who have invested in the past individual offerings?

What is the Fund's track record?

Does the Fund have state tax filing requirements?

What are the advantages of investing in your Sustainable Farmland Fund vs an agricultural ETF (like the Invesco DB Ag Fund or Teucrium Wheat Fund)?

How are distributions paid out from the Fund?

How can I track the performance of my Fund investment?

What are some differences between your Fund's portfolio composition and the crowdfunding platform? How do you ensure that both channels receive exceptional deals?

How would tax reporting occur for the Fund? Would we receive K-1s for each state in which the Fund has holdings?

How many different assets would you expect to invest in the fund?

What is your timeframe to invest the Fund fully?

Can investors add to their initial capital commitment?

How is a valuation determined for new investors in the Fund?

Sole Ownership Bespoke Offerings

Are Bespoke offerings eligible for 1031 Exchanges?

How can the fee schedule for a Bespoke property create alignment between FarmTogether and the investor?

Is all of the capital for a property called at inception?

Do Bespoke investor retain control and decision making over the property?

What tax forms would I receive for my farm?

Are international investors eligible to invest in a Bespoke offering?