Remarkable Regional Business Episode 16 - Nathan MacPhee, IIF - Invest Inya Farmer

Remarkable Regional Businesses - Episode 16

Guest: Nathan MacPhee, Founder and Managing Director
Business Name: IIF - Invest Inya Farmer
Website: www.iif.today/
LinkedIn: https://www.linkedin.com/in/nathanmacphee/

Topics Covered

/ Introduction to IIF:
- Nathan MacPhee introduces the concept of IIF, a platform enabling individuals to invest in agriculture without owning a farm. The platform's mission is to put a "farm in every pocket" by allowing users to invest in livestock, crops, and other agricultural products directly through their app.

/ How IIF Works:
   - The platform operates as a micro-investment marketplace for agricultural assets like cattle, crops, and oysters.
   - Investors can diversify their portfolio beyond traditional financial assets by investing in real, tangible agricultural products such as livestock, apples, and even oysters.
   - By using the app, users can choose what to invest in, and farmers benefit from upfront capital without taking on debt.

/ Overcoming Challenges in the Agtech Sector:
   - Nathan discusses the unique legal and tax hurdles they had to overcome to launch IIF, given the lack of a clear playbook for this type of business.
   - Leveraging his background in financial services, Nathan navigated the regulatory landscape to create a model that benefits both farmers and investors.

/ The Cooperative Model:
   - IIF utilizes a cooperative structure to allow consumers to become micro-farmers. This structure offers unique benefits such as tax efficiency and the ability to pool investments while ensuring democratic decision-making among members.
   - Each member of the co-op can select their investments (e.g., livestock, crops) and receives regular updates on their investments’ progress.

/ Scaling the Business:
   - Early growth was rapid, leading to a pause in marketing to maintain balance between supply (farmer opportunities) and demand (investors).
   - The journey to raising venture capital was challenging due to the novelty of the business model, but they eventually secured investment from international agri-focused venture capital firms.

/ Global Expansion:
   - With successful ventures in Australia, IIF is expanding to markets like New Zealand, Canada, the US, and Japan.
   - Nathan highlights the importance of having a scalable and efficient system to replicate their model in other countries while navigating local regulations.

/ Investor Returns and Risk Management:
   - IIF targets a return rate of 10-20% on investments, emphasizing diversification to spread risk. By investing across various regions and agricultural sectors, users can mitigate the impact of localized adverse events (e.g., cyclones).
   - The platform is designed to be uncorrelated with traditional financial markets, offering an alternative investment avenue with meaningful impact.

/ Engagement and Education:
   - The platform incorporates gamification elements to enhance user engagement, encouraging people to learn about agriculture while investing.
   - A separate educational version, IIF Ed, allows high school students to simulate agricultural investments using virtual money, aiming to promote agricultural literacy.

 

References
- Join IIF: www.iif.today/join?r=sn04e0dV
- IIFed: www.iif.today/iifed/ 
- LinkedIn: www.linkedin.com/in/nathanMacPhee/