When you think about farming the word “passive” rarely comes to mind. Let alone passive income.
For farm managers and those in the field there’s nothing passive about the income they earn. Many farms may be able to earn from cell towers, mineral rights or hunting/tourism, but that’s not an option (or desirable) for most farms. The reality is most farmers actively manage their operations to earn a living.
There is a potential for passive income by investing in REITs or ETFs. Are they your best option for passive income or investing in agriculture?
Traditionally they were your only option. With the introduction of Crowdfunding and FarmCek, investors can benefit from the cash flow of a passive investment without direct exposure to the wider stock market.
Farmland has averaged an annual return of 12% since the great depression.
Think of that farmer who is actively managing his or her operation.
A cash investment from FarmCek isn’t technically income and their work is never passive.
Yet the investment provided by FarmCek allows farmers to worry less and invest their time and energy back into their operation.
The income you receive from an investment in a FarmCek property may be passive but the impact that investment has on our partner farms is highly active.