A guide to funding your commercial vermicomposting system.
Table of Contents
Commercial scale vermicomposting is a great way to recycle organic waste and produce one of the best microbial stimulants for plant growth.
Getting started will also require an initial investment. At Wormgear, we understand the challenges you face in securing the funding necessary to kickstart your endeavors.
Navigating the financial aspects of starting or expanding your vermicomposting operation requires a clear understanding of the available funding options. Each method offers unique benefits and challenges, tailored to different types of business models and stages in your business journey.
This article aims to help you understand your options and secure funding to invest in our modular Constant Flow Through Worm Bin.
Overview of Different Funding Methods for CFT Systems
Several financing avenues are available to those interested in acquiring a CFT system, each suited to different types of businesses and stages of development. We will discuss financing through Wormgear, grants, investor involvement, crowdfunding, and the option to build the system yourself using provided plans.
Understanding these options will allow you to select the best approach to fit your needs.
Finance your worm bin with a loan
Operating a commercial vermicompost bin is a serious business and can be financed with a loan, just like any other business investment.
You’ll likely need a business plan to present to your bank or credit union.
One important factor in your business is going to be how much vermicastings you can produce.
Did you estimate your output yet? Read this article on how to calculate the input and output from your vermicomposting CFT System.
Financing with a loan is perfect for those who need immediate access to a CFT system but prefer to spread the cost over time.
There is some risk associated with using financing as a startup, we recommend this to folks who know what they are getting into. Ideally you’ve already established your business and are scaling from a backyard operation to a more professional process.
Find a Grant for your project
Grants are an incredible resource, providing essential funds without the need to repay. Some grants will cover your full project, others provide a percentage of your project cost. This method is especially a good fit for non-profits and other organizations.
There are various environmental and agricultural organizations offer grants aimed at fostering sustainability.
Agencies such as the:
along with state and local entities, frequently support projects like yours.
👉 Keep in mind that the EPA has state agencies that also offer grants; check your local EPA!
Another local agency that might provide a grant opportunity is your local Solid Waste District.
Here is an example from Cuyahoga County, where applicants can get up to $6,000 per project. You’ll notice their grant page also lists other organizations offering similar grants, too.
The Foodbank, Inc. of Dayton, Ohio received a grant from Montgomery County Solid Waste District that was matched by a local family foundation in order to purchase 2 Wormgear CFT modules to incorporate vermicomposting into their existing operation. The Foodbank has been composting with an in-vessel system for nearly 5 years, and the addition of the Wormgear system will allow them to create an even more nutrient-rich product.
We encourage you to tap into these opportunities, as applying for grants is more straightforward than it seems, and many organizations offer guidance through the application process.
Once you get started on your grant research, you’ll notice that there are far more opportunities out there than you might think.
Also consider applying for multiple grants that apply for different components of your project. With that being said, make sure you look for places listing grants, like index pages. When searching for grants on google, utilize a combination of search phrases. For example:
“Grant + {State name} + sustainability”
“Grant + soil health”
“Grant + climate change mitigation”
“Grant + organics recycling”
Keep in mind that some grants are only available to nonprofit organizations or municipalities. This can be a hurdle for business owners, but it doesn’t have to be a deal breaker. Sometimes you can collaborate with a non-profit or your municipality to apply for grants.
Investor Involvement
For larger-scale operations, bringing on an investor or a business partner might be a viable option. Investors can provide the necessary funds and might also bring additional business acumen and networks, which can be crucial for scaling operations.
This option requires a well-prepared business plan and clear communication of potential returns on investment.
Crowdfunding
Crowdfunding platforms such as GoFundMe or Kickstarter present a simple method to raise funds. By engaging your community and leveraging social media, you can gather small amounts of money from a large number of people.
Success in crowdfunding isn’t just about posting your project; it requires a proactive and strategic approach. Here’s how to enhance your crowdfunding efforts effectively:
Identify and Engage Multiplicators and Supporters
Before launching your campaign, identify key supporters who will donate. You don’t have to ask for much, but it’s critical that your campaign receives donations within the first 24 hours. This will signal trust and activity to others, encouraging them to donate as well. Think of this as starting an avalanche.
Aside from some folks who pledge to support you financially when the campaign starts, you also need multiplicators who will share the campaign and talk about it on social media.
Aim to secure commitments from at least ten people who will promote your campaign on social media, through newsletters, and other channels right from the start, ensuring a strong initial surge in traffic and interest. You want to start the campaign strategically and create a “wave” effect.
We’re talking about your friends and family, professional peers, but also individuals with a following on social media who are local to your region. This might include a local celebrity chef, the soccer coach, and, of course, those aligned with your mission to recycle organic waste and produce high-quality soil fertility. Do you have kids? Then reach out to the school and see if you can post something on a bulletin board or in the newsletter.
Local non-profits will certainly help you to spread the word on your crowdfunding campaign when they align with your mission and are local to your region.
When you research them online make sure to look for:
“Non profit + {City name} + sustainability”
“Non profit + {City name} + water conservation”
“Non profit + {City name} + zero waste”
“Non profit + {City name} + sustainability”
“Non profit + {City name} + recycling”
“Non profit + {City name} + urban agriculture”
“Non profit + {City name} + farming”
Pre-Launch Teasers
Build anticipation by teasing the launch of your campaign. Share snippets of your project goals, the impact of the funds, and behind-the-scenes previews on social media and email newsletters. This step helps to create buzz and prepare your audience for the upcoming launch, increasing the likelihood of immediate support when the campaign goes live.
In case you do have a followers online, this will activate them before the campaign and if you are still lacking a following, we suggest that you take this opportunity to start one. Put yourself out there and tell your story.
Media Engagement
Proactively contact local news outlets before your campaign starts. Provide them with a well-crafted press release that outlines the significance of your project and the impact it aims to achieve. Getting media outlets prepared to cover your story as it happens can significantly boost your campaign’s visibility and credibility.
Don’t rely solely on a single email to their newsroom. If possible, try to connect with a writer or editor over the phone. This significantly increases your chances of getting published, and they might even offer to come out to take photos or conduct an interview with you.
Be polite but persistent, getting the media involved can increase your chances exponentially.
Compelling Video Content
You don’t have to create an expensive video. These days it’s easy for all of us to leverage the power of video with our smartphones.
Make sure you have an explainer video that compellingly communicates your project’s purpose, how it fits into your community, what the benefits of the CFT system are, and how the funds will be used.
A well-produced video can capture the essence of your mission and emotionally connect with potential backers, serving as a powerful tool to inspire contributions. Before you start recording your video, sit down and write a short storyboard. This will not only assist you during recording but also aid in the editing process.
Did you find a grant program but still got a roadblock?
Contact our team and we will try to find a way around. We have worked with over 100 non-profit organizations and businesses and learned a lot along the way.
Wormgear prides itself on customer service all along the way from the planning phase through years of production. We love sharing our experience to give you a shortcut.
Use The Plans and Build Yourself
This won’t get you the funding for one or more CFT modules but it’s our way of making the Wormgear CFT Wormbin accessible around the globe.
When budget constraints are tight, another cost-effective option is purchasing The Plans for the CFT system from Wormgear.
We provide you with the CAD plans in your choice of metric or imperial measurements.
The Plans include our patented cutting bar and instructions that can be handed over to a local fabricator to build the system. This method cuts down costs associated with shipping and manufacturing, making it an economical alternative.
Summary
We hope that these funding options are helpful!
Now it’s up to you to plan and secure the necessary resources to launch or expand your vermicomposting business.
Feel free to reach out when you have questions about securing the funds for your Wormgear CFT or send us a form when you like to receive a shipping quote.