Harmonizing Fresh and Finance: A Q&A With Derek Yurosek, Managing Director, Arable Capital Partners

Harmonizing Fresh and Finance: A Q&A With Derek Yurosek, Managing Director, Arable Capital Partners

Ours is an industry fortified by knowledge.
When applied correctly, the strategic advantages of a financial partnership and the relationship-driven pathways of the fresh produce industry blend beautifully.

Enter agriculture investment firm, Arable Capital Partners.

Arable was founded in 2016 by Greg Richards and Derek Yurosek. Established with the purpose of bringing investors opportunities in the agribusiness sector, Arable has since provided investors with the access to the sector and growers, packers, and shippers access to necessary funding. In doing so, it’s also changing the way produce companies do business.

With a diversified portfolio currently consisting of five companies, Arable wants to be the right partner for the produce industry. Companies such as BlazerWilkinsonGee, organicgirl, Pacific Trellis Fruit, and Royal Ridge Fruits, among others, have turned to the firm when it came time to consider operational and ownership next steps—and Arable has the experience and know-how to make it happen.

Don’t just take my word for it, though. Let’s have Derek, one of the firm’s Managing Directors, lead the way.


Andrea Allen: When I think about investment firms, my mind doesn’t automatically turn toward agriculture—although that’s my own blind spot! Can you walk me through the origins of Arable and how the company connects to ag?

Derek Yurosek, Managing Director, Arable Capital Partners: The firm was really a concept that Greg, Founder and Managing Director, first developed while investing for another ag investment fund that he had started, which was focused on buying land in the
Pacific Northwest.

Once we were introduced, we quickly realized we both believed there was a big opportunity to invest beyond pure land investments and into ag companies that are more vertically integrated—those that may have land but that are also involved in growing, processing, packaging, and distribution. We also both believed that investing in these opportunities properly would require a long-term approach. Our shared views coalesced into what Arable Capital Partners is today.

Historically, agribusiness has been an underrepresented investment sector. Investors have struggled to match their parameters with the unique challenges these businesses face, especially complexities related to generational transfer and vertical integration. Greg and I both believe that by taking a long-term investment approach, Arable can be a better partner and investor for agribusinesses.


AA: Speaking to that history, I know that you’ve basically been in ag for most of your life, if not your whole life. What has been the trajectory of your career?

DY: If you asked me 20 years ago if I would be sitting here having a conversation about Arable Capital, I would’ve said I couldn’t fathom it. I came from production agriculture and then entered investing, something for which I feel very blessed. I learned a lot through osmosis, too, seeing my dad and grandfather in this industry and having them teach me about business and capital.

“Arable [Capital Partners] acts like a family office and a family business.”

Derek Yurosek, Managing Director, Arable Capital Partners

My time at Bolthouse Farms with Bill Bolthouse and Andre Radandt was amazing. When I was there, we bought tens of thousands of acres and acquired a number of companies. I went through one of the first private equity transactions in produce when Madison Dearborn bought Bolthouse Farms. As part of this transaction, the company went from one with zero debt to one that was significantly leveraged. As Vice President of Ag and Regional Operations, I had a firsthand view of the internal implications and challenges that came with the new financial structure. I had to learn how to think like an investor and financial manager.


AA: From there, you must have learned a great deal about what sort of business model you wanted to emulate. Can you explain to me how Arable stands out in the produce sector?

DY: We focus on partnering with successful agribusiness in the produce industry, usually companies that are looking for a transfer in their ownership structure or opportunities that require growth capital.

Arable acts like a family office and a family business. This was a concept that didn’t really exist in the ag investment world when the firm was founded in 2016. Our focus on creating long-term partnerships and strategic value
stands out.

Also unique to us is that, within our growing team, there’s a lot of experience on the strategic side of the ag industry. We’re not just investors from New York or Chicago, Illinois, right? I live in Bakersfield, California. Greg lives in Bellevue, Washington. We’re in the game, and we understand it. We have operational backgrounds from running companies, not just investing or finance.


AA: You know the industry and you know the players. With that in mind, where do you see the company best fulfilling the needs of the market right now?

DY: There is still a large generational transfer taking place within agribusiness. Especially with changes in the debt market, it’s more important than ever to make sure companies are thinking about the right capital structure when transitions occur. This is something in which Arable is well versed.

With a team of ag experts and a portfolio of similar businesses, Arable is also able to help companies refine and execute their strategic plans so that they can continue to thrive in an ever-changing industry. And, with a large network, we can make introductions to help our companies grow through both strategic partnerships and acquisitions. We can provide access that may not have existed before.

Arable is a very relationship-based partner, and we are committed to fresh produce. We hold our reputation paramount and continue to look for ways to help both individual businesses and the industry grow.


When Derek and I closed our call, it was with one sentiment hanging in the air: There’s a lot of road ahead—or as Derek might say, a ton of wood to chop—in order to reframe the view that ag has toward financial investors. Arable is focused on proving that with the right structure and guidance, it can create long-term value for its companies and investors. Luckily for the industry, Derek and Greg come from the same earth that its business model supports. 

Harmonizing Fresh and Finance: A Q&A With Derek Yurosek, Managing Director, Arable Capital Partners