The Benefits of Alternate Value


Want extra profit?

Invest in depressed assets that have alternate value.

Want extra security?

Live on land that supports your needs of water, fulfillment and food, but also allows you to connect with the modern, technological world.

Here’s where profit and security meet. Small farms in America. They are suffering from the worst farm slump in nearly 30 years.

For more than a decade, we promoted Ecuador farm tours because they offered special value. But we also always included Smalltown USA as offering extra value as well.

gary-scott-seminars

A seminar at our farm… creates an alternate value.

A few years ago as Ecuador prices rose, we switched to small America rural property.

The Wall Street Journal article “Supersized Family Farms Are Gobbling Up American Agriculture” (1) explains why small farms offer extra value.

The article says: U.S. growers are swallowing up acreage to survive a harsh agricultural downturn, squeezing smaller operations and transforming America’s rural economy.

COLBY, Kan.— Lon Frahm may represent the future of farming. Inside a two-story office building overshadowed by 80-foot steel grain bins, he points to a map showing the patchwork of square and circular fields that make up his operation. It covers nearly 10% of the county’s cropland.  When he climbs into his Cessna Skylane to check crops from the air, he can fly 30 miles before reaching the end of his land. At 30,600 acres, his farm is among the country’s vastest, and it yields enough corn and wheat each year to fill 4,500 semitrailer trucks.

Big operations like Mr. Frahm’s, which he has spent decades building, are prospering despite the deepest farm slump since the 1980s. Years of low prices for corn, wheat and other commodities brought on by a glut of grain world-wide are driving smaller American farmers out of business.

Farms with $1 million or more in annual sales—only 4% of the total—now produce two-thirds of the country’s agricultural output, the largest portion since the U.S. Agriculture Department’s census began tracking the statistic in the ’80s.

Another article: “The next American farm bust is upon us” (2)  explains further why there is growing value in Smalltown USA.

Shrinking roles in global grain market coupled with a strong dollar and higher costs for seeds drives U.S. farmers out of business;  over- flowing bunkers.

Small farms have alternate value when connected to the internet and can be used for recreation or specialized organic foods or as havens, instead of  traditional farms.

Take for example our farm in North Carolina.

When we purchased the farm its was valued as a subsistence farm.

Today, due to availability of low cost fiber optics broadband, it can be a base for a global business… (and is).  This can be a seminar site (which it has been)… a site for recreational cabins offered through AIRBNB (which it has been) or a place to produce high quality food that appeal to a holistic market.

rose mountain

rose mountain

Rose Mountain Butcher is a holistic butcher that offers produce and food products from 40 farms in our area. The trout come from our farm.

Growing numbers of outlets like Rose Mountain Butchers and farmers markets, like the Ashe County Farmers Market, create new outlets for small farms.

These outlets create alternate value.

Back Street West Jefferson

A great way to combine a healthy, productive, safe, low stress, enjoyable lifestyle is to spot assets with alternate values that are available at a discount.

When you spot the value and the alternative ways that assets can be used, you can gain a good value opportunity.

Gary

(1)  www.wsj.com: The family farm bulks up

(2) www.wsj.com: The next American farm bust is upon us


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