FAQs Aloe Vera Investment Program

Frequently Asked Questions:

1How is my investment secured?
The investment is asset backed through full title ownership of the land, the Aloe Vera plants and the agricultural technology placed on the farmland. In addition, the team has been carefully selected and we count with the region’s leading land developer and farm operator, which will manage the plantations from start to finish, adding substantial support to the investment. Most importantly, the sale of the produce is contractually guaranteed, in a country ranked 1st in Latin America in investment protection and stability. The investor can be assured that our ALOE VERA INVESTMENT PROGRAM will offer an excellent income stream as well as capital appreciation.
2Can I liquidate the investment at anytime?
Yes, the investment (including the titled deed of land) is fully transferrable and Latam Prime or any other real estate agent may act as the intermediary between the seller and the buyer pursuing fair conditions for both parties. The purchasing party will have to agree to all clauses and responsibilities within the farm management agreement. LatAm Prime will charge no fee to transfer the participation to the new purchaser, although all legal costs will be borne by one of either the selling or purchasing parties. LatAm Prime Farmland Investments and Grupo Gaitan Cuevas will have the first right of repurchasing the land to fair market conditions.
3What happens after the 12 year completed cycle of production?
After the 12-year production cycle is completed, there are two different options to proceed with the investment.The first one is to replant the land with Aloe Vera Barbadensis Miller plants and to start a new production cycle. The additional costs of clearing and replanting the land (estimated at $15,000) will be subtracted from the profits of the last year of production. In that case the farm management agreement renews automatically for another production cycle.The second option would be to sell the parcel to a new investor joining the program or on the open market, whereby again LatAm Prime will have the first right to repurchase the land at fair market condition and if sold to a third party, the farm management procedures have to be agreed on.
4When can I expect my returns?
The first returns will be paid in year 3, with full production levels achieved by the end of the second year. LatAm Prime is committed to providing higher returns than what is set down on paper. We have considered returns of up to 29% in year 3. Returns on the produce will be paid on an annual basis at the time both harvest and sale is completed.
5Can this investment be funded by a self-directed U.S. IRA?
Yes, this Aloe Vera farmland investment can be fully funded by a self-directed U.S. individual retirement account (IRA).
6How do you segregate the production of my hectare from those of adjacent investors?
There are 2 agreements: the purchase agreement, which is for the real estate transaction, and the farm management agreement, which outlines the specifics of the farming operation. This includes the guarantee to plant 15,000 Aloe Vera plants on each hectare and that we will replace any plant free of charge if it is not doing well. It also will outlines that we guarantee to segregate your hectares and issue free and clear title within 180 days of account funding. It also states that we guarantee to begin clearing the land and planting the babies within 90 days of account funding and guarantee all implementation will be complete and all plants in the ground within 180 days.
7What assurance exists that the reported yields and payments are accurate?
We are vertically integrated and in this scenario it means we are your partner but also we are your client. Our ultimate goal is not the farming but it is the processing of the gel to the lucrative 100% organic powder for sale to health, food and cosmetics industries. The farm management agreement specifies that we will purchase the pencas (aloe leafs) from you at market value.

We are also confident that the projected returns of 29% are conservative, for a number of reasons:
1) There will be 3 to 4 collections (harvests) per year but the projected return is based on 3 collections (harvests) only. We are growing in Fusagasuga (the garden city of Colombia) where the growing conditions are perfect for Aloe Vera, so a 4th collection per year is likely.
2) We have factored in a security factor of 20% on the harvest meaning that although we fully expect a 100% harvest we have factored only 80%.
3) We have not factored in the commercialization of the 150,000 babies (hijuelos) the hectare will produce every year. The babies will be firstly used to replant any plants that are not going well and secondly they will also be a bio fertilizer. And thirdly they have gel too. Not as much as the bigger ones but this gel that can also be converted to powder.
4) We have not factored in any capital appreciation for the land purchased. All improvements and additions to the land are the property of the investor partner and of course the land is worth more as a productive income producing asset (managed using sustainable organic practices) than as raw land.
8Do you offer any discount when buying and investing in multiple hectares?
Yes, we do offer the 11th hectare for free if you purchase 10 hectares. Further discounts can be negotiated on larger purchases. Please contact us to discuss.