Tech spin on Financing for farmers - annual and every day purchases. (Basically a business credit card or LOC) In a previous role worked at a bank that did this. The tech and data management is terrible in the industry, but returns are great. - 15-20% on annual (seeds, chemicals) and - 30%+ on every day (fuel, etc). - The write offs are also very low. - Money is made on interest, and on partnering with manufacturers like BASF and Corteva. Competitive advantage would be the focus on gathering and deploying data. Today financiers struggle providing even simple data like โwho bought last year.โ Definitely a chance to provide high quality info in an easy to use platform. Incorporating analytics and some ML could produce very valuable insights the the sellers of the crop inputs. I have decent connections in the industry. And have the data and tech experience. Would probably be hard getting the money to loan out upfront. End goal would probably be to get acquired by a bank in the industry or one of the big retailers like Nutrien. Often dream about getting this going but I havenโt had the guts to go for it. Iโm convinced it would do well if executed correctly, and had enough funding to survive a few seasons to build a brand. Edit: TC 200k People who donโt like the idea should share why, genuinely curious. Also US farmers spend about $100 billion on fertilizer, crop protection, and seeds each year.
Interesting, never heard of them. Seem to have a pretty narrow focus. For North American AG, specialty crops like produce are a fraction of the market. If financing was their main focus theyโd switch to large and row crops in the Midwest which is where the money is.