HOW WE PRICE IT
Pricing that follows cash flow.
We plan to price each loan around how the business brings in cash: harvest cycles, inventory turns, and monthly sales.
Deal by Deal
STRUCTURE AND PRICING
Up to 10 Years
Revenue-Based
EQUIPMENT FINANCING
TIED TO MONTHLY SALES
OUR PRICING PRINCIPLES
How we plan to set terms.
Three principles we plan to apply to every loan.
01
Cost tied to capital in use
We plan to charge fees on the funds a business has drawn and put to work, rather than on the full size of a facility.
02
Repayment matched to cash flow
Payment schedules follow harvest cycles, seasonal sales, and monthly revenue, so a slow month can mean a smaller payment.
03
Equity terms stated up front
Most of our financing is straight debt. Where we offer a convertible note, any conversion terms are set out in the agreement from the start. We generally do not expect to require personal guarantees.
THE STRUCTURE
Example structures, priced to each deal.
These are examples of how we plan to structure financing. We size each deal to the borrower's margins, cash conversion cycle, and season, and we don't publish rates.
3 TO 12 MONTHS
Bridge Loans
Farm acquisition down payments and transition financing.
3 TO 9 MONTHS
Inventory Financing
Financing for inventory and seasonal cash flow, repaid as product sells.
5 TO 10 YEARS
Equipment Financing
Processing infrastructure and on-farm equipment, with amortization set to seasonal cash flow.
REVOLVING
Working Capital Lines
Revolving lines for seasonal operating expenses. We plan to charge fees on the drawn balance only.
3 TO 5 YEARS
Revenue-Based Loans
Growth capital repaid as a share of qualifying monthly revenue until principal and fee are paid off.
3 TO 5 YEARS
Convertible Notes
Growth capital for food brands, with conversion terms set out in the agreement from the start.
3 TO 7 YEARS
Term Loans
Working capital, land improvements, and expansion, with amortization set to the business's cash flow.
OTHER STRUCTURES
Built to the Deal
If your need doesn't fit these examples, tell us what you're financing and we'll discuss a structure.
COMMON QUESTIONS
What borrowers ask before applying.
Answers to the questions we hear most about how pricing works.
DEFINITIONS
What is qualifying revenue?
Gross cash receipts from the sale of goods, usually measured monthly. It counts revenue already collected, rather than projected or contracted sales.
COLLECTION
How is a revenue share collected?
As a percentage of monthly revenue, collected through scheduled holds until principal and fee are repaid. We set the cadence to match when your receivables arrive.
CHARGEBACKS
What if a retailer short-pays?
We plan to pause repayment on the affected tranche and work through the chargeback with your team. We do not plan to accelerate the balance in that case.
RATES
Why not publish rates?
Margin, sales velocity, channel mix, and season all change the number. We prefer to show the math for your business directly.