The Green Agriventure’s opportunity is a model that is rewarding for all parties. It also impacts ethical farming economies, the community, and the environment. You can now own part of this vital high-growth ethical supply chain, owning your own herd (and in some cases, your own land) as part of an ethical regenerative livestock operation starting with minimum $100k investment (ex GST). Green Agriventures provides farm infrastructure, grows your herd with ours, maximises its value, and we share in the rewards.
Livestock Investment Model | |||
Type of Capital / Risk | Equity, passive, ethical investment / conservative risk | ||
Investment Amount/Term | Min $100k (plus GST) 3-10 years (See full Investment Doc.) | ||
Management | Herd is managed by Green Agriventures with our farmers, land and, infrastructures | ||
Business | Growing premium bred herds with a breeding focus for capital growth and selling cattle at various weights and stages for cash flow; farming (grazier) status with tax deductions and CGT benefits | ||
Structure | Investor ('Grazier') owns the registered stock commodity (i.e., cattle) sourced by Green Agriventures who manages herd and sales exclusively for Grazier for agreed term | ||
Equity + Security | Investor ('Grazier') owns 100% of registered herd (inventory) which increases in number, weights, and value exponentially each year until exit; highly effectual risk mitigation strategy; opportunities for equity in select farming property | ||
Financial Model | In return for management, farms and infrastructures, Investor and Green Agriventures share in profits from sales | ||
ROI Targets 3 & 5 yrs | 20-30+% PA (plus significant tax benefits unique to investor’s primary producer status) | ||
Exit | Via sale of equity/livestock assets (inventory) at end of term to established markets |
Your exit is achieved by selling your livestock inventory (assets) that have remained in the herd at the end of the period. The projections shown here represent lower average returns from past and current operations. Market fluctuations affect the cost of purchasing and selling of cattle. However, the outcomes for any market fluctuations are taken into consideration and represent typical averages of lower case scenarios. The ROI is made up of net revenues from sales plus the increasing value of the growing herd inventory (i.e., the livestock assets). The table shows a $100,000 (Ex GST) investment of 35-40 x starter Cows each with a calf at foot (i.e. a cow with a calf), with average gains and sales over terms.
Investment 100k Ex Gst | Starting Herd of 35-40 PTIC (pregnant or with calves) | ||||
Breeding program (approx) 65%/35% : sell/breed | |||||
REVENUES | |||||
Tearm/Exit | 3 | 5 | 7 | 10 | |
---|---|---|---|---|---|
Sales Revenue (cattle sold at sales during term) | $ 83,160 | $ 204,824 | $ 384,893 | $ 964,929 | |
Sales of Inventory (exit year sell remaining herd) | $ 200,120 | $ 299,408 | $ 450,386 | $ 861,604 | |
TOTAL INCOME | $ 283,280 | $ 504,232 | $ 835,280 | $ 1,826,533 | |
EXPENSES | |||||
Herd and Management Costs | $ 102,766 | $ 209,564 | $ 369,534 | $ 776,591 | |
Manager 40% profit share on sales (after capital returned to investor on exit) | $ 32,205 | $ 77,867 | $ 186,298 | $ 419,977 | |
TOTAL EXPENSES | $ 134,971 | $ 287,431 | $ 555,832 | $ 1,196,568 | |
INVESTOR RETURNS | |||||
CASHFLOW | $ 148,308 | $ 216,801 | $ 279,447 | $ 629,965 | |
CAPITAL | -$ 100,000 | -$ 100,000 | -$ 100,000 | -$ 100,000 | |
NETT PROFIT | $ 48,308 | $ 116,801 | $ 179,447 | $ 529,965 | |
ROI% (End Val + Yrly Profit - Cost Base)/ Cost Base | 48.3% | 116.8% | 179.4% | 530.0% | |
ROI Aver. Per Annum | 16.1% | 23.4% | 35.9% | 53.0% |
Note: The figures presented here are derived from actual farm operations, past and current sales, and sales records at sales yards. They are pro forma and are based on lower return scenarios, combined with reducing the value of sales annually in order to remain conservative in expectations. For more information on financials and assumptions see full investment Document.