The Redhen Collective: A New Financial Paradigm for the Wine Industry

Red Hen Collective

Molly Madden wants to change the wine industry from within. She thinks that it’s not only the wines that needs to be “Fine” but the whole ecosystem around them that needs to be sustainable, collaborative and inclusive.

Her solution? Create a wine agency based on a blend of innovative investment solutions for corporate or individuals balanced with strong activism for workers, farmers, women and people of color.

Regenerative investing is the key to Molly’s proposition: unlike with equity offerings, investors don’t have to wait for RedHen’s balance sheet to show a profit before they start seeing returns. RedHen’s revenue-share percentage is calculated to strike a balance between paying off debt as quickly as possible while allowing for adequate operating capital to invest in our team, our infrastructure and our wine portfolio development. RedHen’s target repayment timeline for the first $1M of Plowshares (revenue-share) investments is seven years, but the elasticity of this timeline is what will allow us to continue moving forward regardless of unforeseen economic decline or boom.

Revenue-share is an innovative investment model that prioritizes stability for new businesses and security for investors. Structured like a loan, investors recoup their investment and interest through regular dividend payments to them, based on a set percentage of RedHen’s revenue. The ultimate repayment amount is fixed while the payout timeline is variable.

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