You don’t need to actually go buy an entire farm to invest in agriculture or farmland. There are several other options, and the good thing about it is that it doesn’t have to cost much. Are agriculture investment companies really worth putting your money into though? As long as you go through the right process and choose the right company, it really can be.
Many experts agree that investing in farmland is a good move, since it’s almost recession-proof. People will always need the resources and commodities involved, from crops to dairy products.
REITs are always an option. These are real estate investment trusts with a focus on farming. They allow the investor some diversification because they do not invest in a single farm, but rather multiple farms over a geographic area.
If you are interested in REITs, do your geographical research to learn the differences of farm properties and agriculture in different zones all across the country. There are always going to things like climate change that affect certain areas more than others.
Other options related to agriculture investment companies include Equities, EFTs, and Mutual Funds. As for the Mutual Funds, some invest in actual agriculture-related firms or the commodities themselves. Either of this might be the better option for you, depending on what you’re interested in exactly. As with any type of investment, take each option into consideration very carefully.
There are actually some agriculture investment companies that source and manage quality farmland for bespoke and crowdfunding offerings. The crowdfunding offering is for those who don’t have well over $500,000 to buy an actual farm, and the bespoke offering is for those who DO have enough to become a sole owner.
Choose the Right Agriculture Investment Companies
Only choose one of these if the company offering it is transparent about the operators they partner with, and the properties that are part of its network. You should be able to monitor your investment and view all of the details about where your money is going.
It is also essential that these types of agriculture investment companies are upfront about the risks associated involved and their strategy for mitigating those risks. It needs to all be carefully laid out in a way that is easy to understand.
Ultimately, the right choice for you should be one that you are comfortable with, have enough money for, and really understand. Regardless of what you are interested in exactly in regards to agriculture investment companies, one good place to start is FarmTogether. They are highly transparent and offer crowdfunding farmland investing options if you can manage at least a $10,000 minimum. Sole ownership is $750,000+. There are some many great properties in the network that are of high-profit potential.