Frequently Asked Questions

Setting Up Your Account

Purchase Your Cattle

  • What exactly am I buying?

    You are buying cattle through a production contract—an agreement in which the owner of livestock pays a producer to raise the livestock. You purchase the cattle, pay one of our trusted producers to raise the cattle, and then receive the proceeds from your cattle when they are sold. In time, you will have the opportunity to purchase other commodities as well.

  • Why don’t people already do this?

    What's "new" is not the cattle investment—it's your access to it. Historically, these opportunities have been limited to those with significant capital, industry expertise, and direct connections to producers. FarmAfield has removed those barriers by cultivating relationships with trusted producers and making them accessible to you using software technology.

  • How often will I have the opportunity to purchase cattle?

    We will reach out to you with purchase opportunities roughly once a month. The frequency is somewhat variable as we don’t bring you just any purchase opportunities—we only bring you the very best.

  • What is the smartest way to invest in cattle?

    Having analyzed many years' worth of market data, we recommend systematic cattle purchases over an extended period of time. So rather than deploying all your money in one pen during one production cycle, we recommend you spread your purchases over a number of production cycles throughout 1-2 years.

  • How does FarmAfield pick the producers?

    Our network of trusted producers has been hand-picked to bring you the best of the best. Utilizing data analysis and our connections within the industry, we vet producers to ensure they are knowledgeable, trustworthy, and efficient.

  • Is there a limit on how much cattle I can buy?

    Your only purchase restrictions are relative to the size of a particular pen we’re offering and the demand for that pen. That being said, if you are considering an investment of $25,000 or more, we would recommend setting up an individual consultation with us, as more options may be available.

  • Will other commodities be available?

    Cattle is the only commodity currently available, but we plan to expand into row crops and other livestock in the near future.

Watch Them Grow

  • How long is a typical production cycle?

    A cattle production cycle typically lasts 6-8 months.

  • How will I know what’s going on with my investment?

    We collaborate with producers in our network to provide regular updates on the health of your cattle, the value of your cattle, and the latest news from the cattle industry. This information will be shared through your personalized online dashboard, as well as through monthly email updates.

  • What if my cow dies?

    We get this question more than any other. While calves do sometimes die in the production cycle, your investment isn’t completely dependent upon one particular animal. Because of the way we bundle investments, your risk is spread across the entire cattle pen.

  • Can I withdraw money that has already been invested in cattle?

    Once your money has been invested in a cattle pen, that money is tied up for the duration of the 6-8 month production cycle. After your cattle go to market, the proceeds are put back into your FarmAfield account where you can withdraw, hold, or re-invest in new cattle.

Receive Your Returns

  • What happens when my investment is sold?

    When your cattle reach the end of their production cycle, they are sold to market and the proceeds are deposited back into your FarmAfield account.

  • What are the fees associated with this investment?

    There are no fees associated with transferring funds into or out of your FarmAfield account. We charge a 1% procurement fee when you purchase your cattle to cover our expenses. A detailed breakdown of our fees is available here.

  • How does FarmAfield make money?

    We receive a tenth of your net proceeds when your cattle go to market. If you make $10 on your initial investment, we get $1. If you lose money on your investment, we take home nothing. We’ve set it up this way so that we succeed when you succeed.

  • Can I invest in FarmAfield as part of my IRA?

    Yes. You can own cattle through a Self-Directed IRA (SDIRA) and we can work with you to connect your FarmAfield account to your SDIRA custodian account. Contact us at team@farmafield.com for help setting this up.

  • What about taxes?

    Many of our users treat profits from feeding cattle as ordinary income for tax purposes, but there are alternative strategies. Please consult a tax professional to find the best strategy for you. FarmAfield will provide you with a Form 1099-MISC and all transaction data at the end of the calendar year. Tax information can be found in Account Settings > Tax Documents.

If you have any further questions, please contact us at team@farmafield.com.