EULESS, Texas, Aug. 27, 2021 /PRNewswire-PRWeb/ -- The $100 Million First Harvest OZ Fund launches seeking accredited investors for investment into High-Tech Hybrid Farming Ventures throughout the country. The Fund is raising their Series A Round. The Fund is already targeting several specific locations, including one in Upstate New York. The process of getting projects approved by local authorities is already underway.
Advanced Indoor Farming
The First Harvest OZ Fund seeks to invest primarily in proprietary conventional, organic, and niche market indoor farming operations and greenhouses. These investments will be structured as opportunity zone business investments. The best part of the investment is that the marketplace is guaranteed to grow over time and the industry has realized an average 30% return on capital, which, when coupled with the benefits of the opportunity tax incentives, yields a significantly higher actualized return than the same type of conventional investment.
For further details, see the Lettuce Make You Money section.
Our Mission
Establish a new benchmark for the productive efficiency, profitability, and use of resources in food production through high tech and proprietary technologies to grow and produce fresh, healthy, tasty, nutritious food to fill in current shortfalls and prepare for future demands while improving the quality of life for workers in safe, disaster resistant facilities.
Local Impact
Every million dollars of investment will create approximately 10 permanent full-time direct jobs. According to the Department of Labor, these direct jobs will create approximately 19 induced jobs. This equates to hundreds of full-time, year-round jobs per 100 million of capital investment. These local jobs will create a lasting increase in the median income in the opportunity zones where the facilities are built.
Business Investment Advantage
Non-business investments, such as hotels, apartments, office space, etc., are, by nature, static; they generate a specific impact on the local economy that does not tend to increase over time. Conversely, business investments are active; they consistently produce additional boosts to the local economy, allowing them to compound their impact and profitability over time. Since OZ investments must be held for 10 years in order to receive the full tax benefits, they will naturally stick around to reap these increasing rewards, making business investments a more natural fit.
Filling a Need
U.S. food production demand is expected to increase by 90% by 2050 to keep up with the increases in demand. First Harvest will provide opportunities to help overcome food shortages and combat "food deserts" by providing up to 50x the produce per acre and up to 100x the produce per gallon of water. Most store chains in the US lack sufficient supply of living varieties to keep their stores in stock, and many stores struggle to keep sufficient supply of even non-organic produce to meet demand at all their locations, which is what has caused "food desserts" in the fresh produce market. Additionally, there is a significant undersupply of produce that caters to niche markets, such as Kosher.
Environmental Impact
Controlled environment farming will decrease the negative impact on the environment from farming by using less water, eliminating fertilizer runoff, and minimizing carbon footprint. The daily production that can be achieved with this new methodology combined with its scale will increase availability of food with significantly longer shelf life after the consumer has purchased it and, therefore, decrease the waste of fresh produce. Based on estimates from the USDA's Economic Research Service, 31 percent of food is lost at the retail and consumer levels, with most sources reporting that the largest waste ratios exist in the fresh fruits and vegetables market.
Lettuce Make You Money
This investment opportunity is being offered as an OZ Fund because it makes the investment even more lucrative for the investors. First Harvest Fund has structured the payouts of profit to cover the capital gains taxes when they are due at the end of year 5.
Illustration of $1,000,000 of Capital Gains Standard Investment VS OZ Investment:
Standard Investment
$ Invested $630,000 After TAX
30% Return Yield $189,000
47.62% Return Yield $300,000
75.5% Return Yield $476,200
OZ Investment
$ Invested $1,000,000 Since the TAX is deferred
30% Return Yield $300,000
47.62% Return Yield $476,200
75.5% Return Yield $755,873
As indicated by the illustration, for the same amount of realized return with a conventional investment, the relative rates of return on capital would have to be over 50% higher. This means that the OZ fund investment methodology has significant advantages over any other investment type into the same business sector. First Harvest Fund has targeted 30% to 50% returns so conventional business investments would have to have relative yields of 50% to 75% in order to realize the same profits.
Capital Gains on the Gains
If the business interest starts off at $1,000,000 investment and by year 10 it grows to $3,500,000 in value and an investor exits their position, they get to keep the entire new $2,500,000 capital gains earned that are federally tax free. This is a 250% net gain for 250% profit after tax. To have the same yield in a conventional investment coming from the $630,000 after tax, an investor would have to have a 496% net gain, which would yield a 400% profit after tax in order to realize the same after tax gains.
All of this comes together to help First Harvest OZ Fund's investments to be more lucrative than traditional methodologies in the same markets, giving the Fund yields in safe industries that would not otherwise be possible.
Help the World:
First Harvest OZ Fund wants to make a difference in the global food supply. With help, this is possible. Together, we can solve the food volume problem, as well as make food fresher and more consistent for everyone.
Investment Managers and their biographies:
The Fund will engage Farsight Partners as its exclusive external Investment Manager pursuant to an Investment Management Agreement. The Investment Manager has highly qualified individuals who will oversee the investment process and overall management of the Fund.
Below are the professional backgrounds of some of these individuals:
Clint Goolsby
Fund Manager
Clint Goolsby has a background education in engineering, physics, biochemistry, genetics, and economics. In 2009 he took over Goolsby Enterprises. In 2014 he started Farsight Partners. In 2017 he became VP of Development for FirstFruits Harvest. While there, he worked on designs for advanced hydroponics facilities with three large agricultural development companies and participated in multiple feasibility studies at various sites throughout the country. After realizing significant room for improvement in the design methodologies, he spent the next 2 years developing a new proprietary system for advanced controlled environment hydroponics. The improvements include new proprietary racking systems, channels, and overall system design for maximizing production per acre while decreasing labor costs.
Dr. Sheila Bhattacharya
Fund Administrator
Dr. Sheila Bhattacharya has been involved with the research and commercial greenhouse industry for over 20 years. She has a doctorate degree in Plant Physiology from Punjab University. Sheila continued her career with postdoctoral research at Duke University and Tuskegee University. During this period, she published several research papers on Controlled Environment growing.
Sheila then entered the commercial horticulture industry and worked in greenhouse production management for large companies and oversaw large operations in Arizona, California, New York, and North Carolina. Sheila was elected as President, Director and International Director for International Plant Propagator's Society and remained on the executive board for 12 years. Sheila was awarded the Hind Ratan Award by Government of India in 2009 for her contributions to science and industry. She held Team Lead and Directors positions in large commercial greenhouse operations and, to date, has published over 40 research papers during her career. She took the challenge of entering the Cannabis industry in 2019 and became successful in cannabis production from seed to sale for a NY state-based company. Sheila continues to be part of the dynamic Agriculture and Horticulture industry.
Sheila will be directly involved in turning the new high-tech designs into a reality and managing the day to day operations of facilities.
Sudhan "Shawn" Shrestha
General Partner
For over 20 years, Shawn has been involved in sales across a diverse set of industries including construction, insurance, and farming. Shawn was able to build two separate construction companies into multi-million dollar revenue businesses. Afterward he moved into insurance. As a sales team manager with Health Markets, he was able to grow their revenue in the Dallas area by over 400%. Recently he started an agency in affiliation with IHC Specialty Benefits. As the sales team leader and agency owner he has grown this new agency from $5 million per year to over $25 million in less than 2 years.
In 2017, he helped Clint start Farsight Partners as a high-tech farming initiative to help prevent future food shortages. He is well positioned and fully qualified to lead our sales team for expanding the brands that we produce.
CONTACT
First Harvest Opportunity Zone, LLC
General Partner: Sudhan "Shawn" Shrestha
Website: https://www.FirstHarvestOZFund.com
Call: (682) 219-7426
Email: [email protected]
This Fund is 3rd Party Administered by OZ Invested.
Disclaimer
This press release contains forward-looking statements that are made pursuant to the safe harbor provisions within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. We caution you that such statements are simply predictions and actual events, or results may differ materially. These statements reflect our current expectations, and we do not undertake to update or revise these forward-looking statements, even if experience or future changes make it clear that any projected results expressed or implied in this, or other statements will not be realized. Further, these statements involve risks and uncertainties, many of which are beyond our control, which could cause actual results to differ materially from the forward-looking statements. This is not an offer to sell Units in the Fund. Any sale of Units will be made solely in connection with the Confidential Private Placement Memorandum of the Fund and related documents. The Confidential Private Placement Memorandum includes important risks, uncertainties, and certain conflicts of interest, many of which are beyond our control, that could impact an investment in the Fund.
Media Contact
Mark Politi, Eazy Do It, Inc., 3102996690, [email protected]
SOURCE First Harvest Opportunity Zone Fund
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