Crowd funding is a method of raising capital or funding of a project through a collective effort using small amounts from multiple people (investors/sponsors) via various platforms. This is a new way of lending and borrowing of money with the aim of raising funds for a project. The traditional form of raising funds via banks is a capped path where banks take long to process loans and have a high interest rate. Unlike the traditional form of lending, crowd funding does not take long before one is able to raise the funds and get access to the funds.
Crowdy Agritech uses the peer to peer lending form of crowd funding and the reward-based type of crowd funding jointly. Peer to Peer Lending- This is a type of crowd funding where the investor and the owner of a project are linked directly; where investors and sponsors are willing to lend money to people who have projects. Reward-based Crowdy funding is a type of crowd funding where the lenders/investors/sponsors get a reward or earn income from their generosity.
Crowdy Agritech offers a platform for crowd funding through our website and mobile application. This is where 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.
Who is The Investor/Sponsor?
Anyone can sponsor/invest in a farm. Investors/ sponsors are people, the general public, willing to contribute towards raising funds for the farm project. This is for those, who might be working an 8am-5pm job and are looking to get into the agricultural scene but do not want to leave their office jobs. They can invest in a farm project and get an ROI at the end. For those who are looking for an extra source of income, they can also contribute towards a farm project and get income as part of the ROI from their invested money.
How to Contribute
To contribute towards a farm project, all one has to do is login to the mobile app or website as a partner and register their details. There, they are able to view the farm projects currently being funded and they choose to invest in whichever farm pleases them. An acknowledgement email is sent once an investor is done contributing towards the farm project.
How Secure is My Investment?
This is a question you now have. Crowdy Agritech has put in place an Insurance Cover. This is to ensure there are no loss of funds in-case of any unexpected occurrence like natural calamities that may affect the farm produce. 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 is able to con 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 agronomies in various parts of the country. Our agronomies visit the farm submitted and evaluate it based on our rules and policies. This is to ensure no farmer breaches the requirements needed and that no farmer cons any investor on the platform.