Dock-to-table seafood ventures help solve a range of problems and a handful of risks for our community. This blog post focuses on only one: FOOD SECURITY.
What happens if any part of our food supply is significantly disrupted? We can only imagine the stress, panic and violence and possible starvation. Weather events, climate change, disease, sabotage as an act of war or terrorism, trade wars, political destabilization that leads to a loss of immigrant work force, loss of electric or fuel for transportation could all cause real hardship to our food supply chain.
Dock-to-table operations help by providing diversification, decentralization and localization to the food supply. Generally the dock-to-table seafood is a higher quality and less susceptible to the risks listed. In addition, the two seafood products that make up most of our local harvest – oysters and crabs – are deemed less susceptible to the risks and might even benefit from the long-term trends in climate change and rising tides.
Investors in dock-to-table seafood operation typically purchase a right to a share of the harvest or at least first refusal of that share in the event of a wholesale operation. Restaurant chains, for example, can control price and supply risk of seafood by contracting with a local dock-to-table cooperative in advance.
We will cover the many other benefits of dock-to-table seafood in other blog posts. Meanwhile, I am pleased to discuss the topic with anyone who may have interest as a career or as an investor.
Each spring and fall the arrival of the large migrating striped bass draws more traffic than we see at other times of the year. We stockpile bunker now at the end of crab season for these fishermen. It turns out to be s good use of old crab baskets that would otherwise be discarded.
On Sunday June 23, 2017 the Philadelphia Inquirer ran a story that covered Money Island New Jersey. Nantuxent Corporation’s founder Tony Novak is interviewed along with other business owners and Downe Township mayor Bob Campbell. The article drew some harsh criticism from the scientific community in response to the mayor’s comment that sea level rise damage is “hogwash”.
I am investigating a few crowdfunding possibilities for the upcoming redevelopment project. No decisions have been made yet. Today I send a draft copy of the redevelopment proposal, a summary of initial investment and a stock subscription agreement to a crowdfunding expert for review and comment. This is the first time an ‘outsider’ has reviewed any of our plans.
Next week we expect to see the architect’s initial drawings.
One significant issue is the fair treatment of Money Island ‘insiders’ who have already expressed interest but are not yet committed to participation in the future. Anyone else in the community with an interest in discussing the project is invited to contact me now before any commitments are made.
Soft shell crabs are produced from May to October under a New Jersey aquatic farming license held by Tony Novak.
We usually produce these crabs to specific customer orders. We currently supply two local seafood restaurants and make direct sales to consumers at the marina. Soft shell crabs are priced higher than hard shell crabs, typically about $3.00 each dockside. Our current production capacity is 8,000 crabs but we are ready to expand as demand increases.
This was filmed at what is now planned as the aquaculture center with the marina in the background. Matt, Tommy and Tristan each had their own boats as soon as they were old enough to operate one. They managed to survive to adulthood.
There are several ways to invest in aquaculture and fisheries. We used private investors in the past including a locally crowdfunded financing of a watermen under a split-catch arrangement. We are now exploring a wider range of options including recruiting additional private investment.
Potentially one of the easiest ways would be through a crowdfunded securities offering. The Securities and Exchange Commission sets limits on how and how much an investor can invest in crowdfunded offerings. Nantuxent Seafood is not involved in a crowdfunded securities offering but may consider this option in the future.
This blog post is written as part of the ongoing exploration of new sources of funding for growth. This is not an investment offering. The method of financial expansion eventually selected must consider the needs of our customers relative to their financial interest in our seafood. We must also consider the overall reinvestment plan for the marina and the working waterfront community.
The following table provides a few examples of investment limits set by SEC. You will notice that the limits are low for most working class people: