Investors can expect market, or near-market returns. Financial returns will vary deal to deal depending on deal structure, risk, and impact.
Let's start with the simple stuff, numbers, and then some comments we hope you'll find interesting.
Our annualized rate of return for 2015-2018 on FI led deals, those deals that the lead investor comes from the Accredited Network, was 10.4%. This assumes participation in every loan, and if you've never read it, do it now... past returns are no guarantee of future performance. This rate is comparable to most actual returns for VC funds. FI is unique in that we see and participate in both equity and debt deals. We've done debt in various forms - straight loans, royalty-based financing, and others - that result in healthy returns on investment that cashflow very quickly. This means that there is more liquidity to your investment, as opposed to Venture Capital which typically requires a 10 year holding period, FI loans are typically 12-48 months.
We also have non-financial returns, in the form of healthier soils, resilient environments, and stronger local communities...that's the good stuff and where we get excited.
By the way...
There's a Difference Between Target and Actual
Measurable and Un-Measurable
Realized and Unrealized
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