What is my annual platform fee?
To use the Fedgroup platform, you are charged a small fee. The platform fee is calculated annually and is based on 1% excl VAT of your asset value on the day of purchase. For information on how this fee is calculated, you can read more here.
Your platform fee accrues monthly and your Fedgroup Wallet will be debited in the months you earn income. For solar, this means monthly. For blueberries and honey, it is twice a year.
If your asset is not yet producing - for example if you are pre-buying solar panels or your hive is not yet swarmed, you will not be charged yet. When your asset is producing, you will be notified and the platform fee starts accruing from that date.
As an example. When you buy a beehive, the empty hive is transported to a farm to be swarmed. Swarming can take around eight weeks after the hives are moved to the farms. Only at this point is the bee colony capable of starting to produce honey and other income streams such as wax or propolis. We will notify you when your hive is swarmed. Learn more about swarming here.
Why are you charging a platform fee?
The simplest way to understand the Fedgroup Impact Farming platform fee is to think of Uber. Uber is a successful app that connects passengers with drivers to get them from point A to B in a cost-effective manner. The car that your driver arrives in may not belong to him or her. Instead, your Uber driver may be leasing a car from the owner in order to earn an income. You, as the passenger, pay via the platform for the service. The owner pays, as does the driver. Deducted from your fare and from the drivers income is a small amount to Uber itself.
In a similar way Fedgroup charges a small fee to the investor to cover costs.
What are the recurring costs on my asset?
There are no recurring costs on the asset itself. The insurance and all other associated costs to get your asset onto the farm and into the ground are included in the purchase price. Ongoing costs around maintaining and harvesting the crop are paid for by the farmer. You simply purchase your assets and then sit back and wait for your regular income.