BENEFITING SMALLHOLDER FARMERS THROUGH CROWDFUNDING

BENEFITING SMALLHOLDER FARMERS THROUGH CROWDFUNDING

Crowdfunding is a new way of lending and borrowing of money with the aim of raising funds for a project. There are different types of crowdfunding which are:

Donation-Based Crowd Funding- This is a type of crowdfunding where there is no return on investment for the investor.

Equity-Based Crowd Funding- A type of crowdfunding where the investors get a share of your project or company as part of their return.

Reward-Based Crowd Funding- This is where a reward is offered as part of the return on investment. The rewards can be in the form of a software-based token reward.

Crowdy Agritech uses the peer to peer lending model with the help of crowd funders. Investors and sponsors willing to lend money to approved farming projects are given the first-hand management of their funds and reliable contracts executed with farmers. Frequent updates and farm visit are also organized.

This is possible through our crowdfunding platform available on our website and mobile application. Farmers get to submit their farm projects that require funding and investors/sponsors are able to contribute towards the farm. At the end of the farming period, once the produce is harvested and sold into the market, the investor/sponsor gets a return on investment (ROI) based on their contribution. To know more details on what it entails to invest in farm projects, read more about it from this link https://www.crowdyagritech.com/2019/01/16/investing-in-farm-projects-with-crowdy-agritech-as-an-investor/ .

Through crowdfunding, investors/sponsors obtain several benefits which are:

Reduction of initial investment Costs- For an individual investing in any project, they are able to cut down on the initial investment cost e.g land, experts and other transnational costs as they are linked directly to an existing project owner who has an active farm, therefore gaining more value from their investment during the return on investment period.

Validation of Product- Investors, and sponsors are able to get the validity of the farms they are investing in, as details pertaining to the farm will be indicated on the platforms. Investors will able to read all the details and evaluate which ones, they want to contribute towards. In addition to that, Crowdy Agritech takes care of all farms indicated on the site. Any farmer who would like to add their farm projects on our platforms will be evaluated by Crowdy Agritech through the evaluation process we have set up. Crowdy Agritech will visit each farm to ensure that, the farm is truly in need of funding and that the owners are genuine. This will ensure that investors will avoid the risk of entering into an engagement with untrustworthy people.

Return on Investment- Investors/sponsors will be able to earn an ROI from their investment. For every farm, they invest in or crowd fund, the rate of ROI will be indicated below the farm project. Investors will be able to calculate their ROI based on the amount they wish to invest. They will be able to get their return on Investment at the end of the farming period after the farm produce has been harvested and sold to the market. All this will be supervised by Crowdy Agritech.

Security for Their Money- Investors/sponsors are assured of the security for their money. All funds go directly to the farm project and upon investment, Crowdy Agritech will send an email to every investor with details pertaining to their investment and an acknowledgment that the funds have been received by the farmer.

People interest to learn about farming on a particular product will be able to do so through following of various farming projects they have sponsored under which one will know what is to be done at what stage. Site visits and expert advice will be free of cost.

We will be able to encourage more people into active farming after retire etc.

What happens when I have all these benefits? Is my investment secure?

How Secure is My Investment?

This is a question you now have. To ensure that there is no loss of funds in case of any unexpected occurrence like natural calamities that may affect the farm produce, Crowdy Agritech has put in place an insurance cover. The insurance takes care of any unexpected damage to the farms ensuring that you do not lose any of your money.

To ensure that no farmer can misguide any investor on the platform, once the farmer submits their farm project that requires funding, we evaluate the application before approving it on the platform. We are able to do this through our agronomists in various parts of the country. They visit the farm that has been submitted and evaluates it based on our rules and policies. This is to ensure no farmer breaches the requirements needed and that no farmer misguides any investor on the platform. A bankable business proposal is designed to fulfill all the requirements of the project.

Crowdy Agritech comes inn as abridging party for the needs of an investor and a farmer who needs the cash to do the farming project.