As part of your annual 1% platform fee, Fedgroup takes care of ensuring that: all ventures are researched and chosen based on comprehensive financial modelling, that all the necessary contracts are drawn up, and that insurance is in place. In addition, the fee covers the work required to ensure that all invoices are submitted each month to the farmers and payment is received.
It is still important to remember that Impact Farming is not a fund. You own assets that earn an income from the sale of the harvest. As such, the asset is subject to external factors such as the weather. This is why your rate of return is variable. Learn more about how the Internal Rate of Return is calculated.
If your asset is producing a harvest, there is no risk you will not earn because of the comprehensive contracts we have in place with our expert farmers. The only time you may not receive an income is if something happens that prevents any crop being harvested. An example would be if flooding destroyed the entire blueberry crop. If no blueberries grew in that harvest, there would be no income.
The platform fee only applies when your asset starts producing - that is, when the solar panel is installed, the blueberry bush is planted or your hive is swarmed.