ProducePay, an online platform helping farmers to sell their produce and receive payment in a timely manner, has raised $2.51 million in seed funding. Investors in the round include Californian venture capital firms Menlo Ventures, Arena Ventures, New York firm CoVenture, Cornell alumni-focused angel network Red Bear Angels, and early stage seed fund Social Leverage. With the funding the company will launch ProducePay Marketplace, enabling farmers to connect directly with distributors and suppliers. It complements the company’s lending platform, which pays farmers for their produce the day after it’s shipped. Farmers are often left waiting for produce to sell before they’re paid, leaving them in a risky financial position post-harvest. The platform also provides growers with analytics on the performance of their produce.
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