Reaping Sustainable Harvests

Reaping Sustainable Harvests 

Iroquois Valley Farms completed its tenth season in 2016. Offering a uniquely corporate and indefinitely scalable opportunity to benefit from the production of healthy and nutritious foods, the Company has purchased over 4,000 acres of farmland thus far, all of which are certified organic or in transition to organic production. The venture has more than 220 investors and has a geographical spread of 32 farms in eight states. Eight new families representing new locations such as Vermont, Iowa, Minnesota and Montana joined this year. The revenue generated in 2016 stands at about $1,000,000. The initiation of mortgage financing helped diversify business to new markets, free up capital for growth and improve cash flow for farmers. The company plans to continue expanding and diversifying its business by geographic region, product, and farmer. 

Most farmers struggle to be profitable during the beginning years. In 2016, parts of the Midwest experienced some extreme weather, including drought conditions in Michigan, making the 2016 harvest even more difficult. To combat theses challenges, particularly those that new farmers face, the company was awarded financial assistance through a $944,715 Conservation Innovation Grant from the United States Department of Agriculture/Natural Resources Conservation Service. The new grant will mostly take effect in 2017 and help lower the lease/mortgage costs of a transition and support more training and education. Part of the grant will support the creation of 'Soil Restoration Notes', an innovative new investment offering. Initially, these notes will be limited to accredited investors, but later expanded as a non-accredited offering. Funds raised with the new three-year note is expected to directly and positively impact the economics of transitioning to organic production. The recent transition of Iroquois Valley Farms to a real estate investment trust (REIT) allows it to accelerate growth and expand business through non-accredited investment offerings. 

About the Company

Iroquois Valley Farms LLC is a food and farmland company (Certified B Corporation) making impact investments in local and organic agriculture following triple bottom line principles (social, environmental and financial impacts). Formed in 2007, Iroquois Valley Farms was the first socially responsible farmland company in the United States focused on supporting sustainable food production and the mid-size family farmer.