First a bit about myself, I have lived and worked on a farm here in Kansas most of my life. With the recent economic collapse we in agriculture are actually having a boom right now. Where I live we have the fortune to have some of the worlds most fertile ground, not to mention that the United States has the best most modern equipment, and support facilities, which makes agriculture a great business to be a part of in America.
Look I am sure of a couple things in life, the sun will rise tomorrow, more jobs will be shipped over seas, more money will flow out of the economy in the United States than will flow in, and entire industries will likely not survive the next 10 years here. As the world popullation continues to explode commodities will continue to sky rocket, so all of this means that ag is the sector to watch over the next several decades (look what commodity prices are doing right now).
What I am purposing or thinking about doing is forming a corporation, with the farm my family has already in place in the corporation and using this as a base for stock value. Then the next step would be to find people to buy into the farm to bring in new money for a more rapid expansion. So rather than buying stock in some company that may or may not be worth anything, the money invested would lead to the company buying more land, planting more crops, and then paying out a rate of return every year ( my idea is simply whatever percent of shares your investment gets you dictates what percent of year end profits investors recieve). The corporation would own the ground, equipment, and even the harvest. Thus the money invested would lead to a return in the form of land and equipment ownership, and crops. . .real assets with a value that will only increase.
Now to really makes this work on a large scale is that I have a theory that I have developed over the years, high mobility no-till. It is a hybrid form of farming that means 4 people with proper equipment and proper planning could farm and harvest over 40,000 acres of crop land a year. That would mean an average of roughly 1,800,000 bushels of wheat every year around 4,000,000 bushels of corn depending on crop cycles of coarse (the cycle of crops grown has a huge effect on the system to maximize production). The geographical make up of the Midwestern United States is also part of what makes this possible due to the planting and harvest cycles. I would love to talk with anyone interested more about this idea, and the specifics of how it could work.
I don't know how to find interested people or if the plan even sounds like anything that people would be interested in, but I thought I might post it here and see what people think. In the end to me it seems that it would make more sense than to keep buying stock with no garunteed return every year and no hard asset value to speak of? Thank you for your time and any comments.
Look I am sure of a couple things in life, the sun will rise tomorrow, more jobs will be shipped over seas, more money will flow out of the economy in the United States than will flow in, and entire industries will likely not survive the next 10 years here. As the world popullation continues to explode commodities will continue to sky rocket, so all of this means that ag is the sector to watch over the next several decades (look what commodity prices are doing right now).
What I am purposing or thinking about doing is forming a corporation, with the farm my family has already in place in the corporation and using this as a base for stock value. Then the next step would be to find people to buy into the farm to bring in new money for a more rapid expansion. So rather than buying stock in some company that may or may not be worth anything, the money invested would lead to the company buying more land, planting more crops, and then paying out a rate of return every year ( my idea is simply whatever percent of shares your investment gets you dictates what percent of year end profits investors recieve). The corporation would own the ground, equipment, and even the harvest. Thus the money invested would lead to a return in the form of land and equipment ownership, and crops. . .real assets with a value that will only increase.
Now to really makes this work on a large scale is that I have a theory that I have developed over the years, high mobility no-till. It is a hybrid form of farming that means 4 people with proper equipment and proper planning could farm and harvest over 40,000 acres of crop land a year. That would mean an average of roughly 1,800,000 bushels of wheat every year around 4,000,000 bushels of corn depending on crop cycles of coarse (the cycle of crops grown has a huge effect on the system to maximize production). The geographical make up of the Midwestern United States is also part of what makes this possible due to the planting and harvest cycles. I would love to talk with anyone interested more about this idea, and the specifics of how it could work.
I don't know how to find interested people or if the plan even sounds like anything that people would be interested in, but I thought I might post it here and see what people think. In the end to me it seems that it would make more sense than to keep buying stock with no garunteed return every year and no hard asset value to speak of? Thank you for your time and any comments.
