Did you know that the farming and food industries in Southwestern Ontario are hotbeds of innovation? Many aren’t aware of the vibrant entrepreneurial ecosystem they foster.
Recently, two groups—the Grand River Agricultural Society (GRAS) and RH Accelerator Inc. (RHA) — joined forces to ensure promising new businesses will have the support they need. They’ll be working together as co-investors, helping innovative companies in the agriculture, food and cleantech industries.
GRAS is a non-profit, governed by a volunteer Board of Directors. They have a 130-year-long history of encouraging awareness of agriculture and improving the quality of life of those who live in agricultural communities. The group operates the Grand River Raceway and the GrandWay Events Centre, a dynamic hospitality, horse racing and gaming destination in Elora, Ontario.
Its Board of Directors is made up of several local business owners and community leaders. They have an entrepreneurial spirit that extends to their giving and are committed to impact investing. The hope is to create long-term sustainability in the agricultural and environmental sectors, as well as fuel local innovation, says Deborah Whale, Vice President and chair of the Philanthropic and Impact Investment committee.
“This sector of the innovation economy is growing rapidly and our region has tremendous potential,” says Joe Dales, Co-founder and President of Agri & Food Innovation at RH Accelerator Inc.
RHA is a privately held company. They help early-stage companies using methods similar to the YCombinator model; this includes leveraging their partners’ business experience, skills, extensive networks and financial resources, combining capital with coaching, mentorship and business expertise.
RHA will help recruit the innovative companies, conduct due diligence and co-invest with GRAS, providing their 12-month business development program. “The combination of GRAS plus RHA resources will help the companies be more successful and grow, creating jobs and business activity in the region,” says Dales.
In 2019, $19.8 billion was invested in AgriFood tech, across 1,858 deals, according to AgFunder’s latest Agri-FoodTech Investing Report. The innovations were wide-ranging, from eGrocers and restaurants to farming agtech, agricultural biotech, farm robotics and equipment, bioenergy and biomaterials.
The Grand River Agricultural Society’s mandate aims to bring agriculture, education and community together. “What could be more impactful than combining all three?” says Katie Giddy, Director of Hospitality, Sales & Marketing at Grand River Raceway. “By partnering with RH Accelerator, we can make a more fundamental impact together, supporting initiatives in Wellington, Waterloo and Perth in a new and innovative way.”
IntelliCulture
One of the first collaborative impact investments made was in IntelliCulture, an early-stage company that makes precision agriculture accessible to all.
IntelliCulture digitizes and automates the management process for farms in a way that is simple and elegant. Their management software provides insights into spray coverage, operational health and labour management. Its founders are a group of young men from Waterloo who share a passion for innovation.
The company has excellent future potential, says Whale.
“We believe precision agriculture should be accessible to all,” says Cole Powers, Co-Founder. “In the future, whether we like it or not, farming is going to look different than what we are used to. That’s why our mission is to provide affordable technology that drives ROI in farm operations. Our farm management software is designed to address three of the industry’s largest challenges: labor availability, pest prevention and machine safety."
With this partnership in place, the management team can be more successful, creating jobs and business activity in the region.
Powers is excited to grow the company using the funding provided and to continue serving growers. “We’ve already brought on some all-star technical talent, and we are so grateful to be inspiring more graduates to pursue careers in the ag sector," he says.
They have been investing in great people to grow their team and are focusing on marketing and sales right now. They’ve also established a number of successful business partnerships with industry leaders, such as Schuyler Farms Limited.
“Something has to be done to bridge the gap between tech and the farm, and we think we can do just that,” says Coles. “As data and automation continue to become more prevalent, we hope to help our growers maintain a position of confidence while navigating their transition into farms of the future.”
As recipients of this impact investing, IntelliCulture seems to be well on its way.