#4 - Adam Bergman, Managing Director at EcoTech Capital
Slice of Agriculture Team
05/28/2025
Episode details
In Episode #4 of Slice of Agriculture our guest is:
Adam Bergman, Managing Director at EcoTech Capital.
Listen to the full episode to learn about:
- Capital Strategy Over Hype: Bergman criticizes the “free capital” era, urging AgTech founders to build sustainable, ROI-driven businesses rather than chase unicorn valuations.
- AgTech ≠ Software: Emphasizes the need for realistic margin expectations and cautions against treating agriculture like high-margin tech sectors.
- ROI-Driven Innovation: Robotics, automation, and digital tools must be affordable, usable today, and show ROI in under a year to gain farmer adoption.
- Data is the New Soil: The transition from intuition to precision farming hinges on farmers trusting and utilizing real-time data analytics.
- FinTech's Role in Ag: Emerging finance models like performance-backed insurance and data-informed lending could transform agricultural investment dynamics.
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Rethinking Capital in AgTech
Adam Bergman, Managing Director at EcoTech Capital, brings three decades of investment banking expertise, primarily focused on tech-driven climate solutions. In the interview, he reflects on how the AgTech sector has mirrored past missteps seen in solar, EV, and wind industries—specifically the surge of "free capital" that led to overvalued startups with unsustainable business models.
Bergman argues that the most critical shift needed in AgTech is a realistic approach to capital. Founders must plan not only for growth with ample funding but also for viability under lean conditions. "How would your startup survive on half the capital you're asking for?" is a scenario he believes every investor should pose.
Agriculture is Not Tech—And That’s Okay
Bergman distinguishes AgTech from traditional software startups, noting that the former are essentially industrial and agricultural businesses. While software enjoys high margins, most ag businesses should aim for modest improvements over incumbents, not mythical 40% EBITDA margins.
He stresses the importance of recognizing oligopolistic resistance in the sector and underscores that unrealistic projections can doom promising companies early on.
What Works on the Farm: Practical Tech and Clear ROI
For technology to gain a foothold in agriculture, it must offer a clear and fast return on investment. Farmers, facing a volatile mix of labor, climate, and regulatory challenges, are cautious by necessity. Bergman highlights successful cases in regenerative agriculture and precision farming, where startups gained adoption by proving sub-year ROI through field trials and neighbor validations.
He cautions against “2035-ready” technologies with excessive costs and misaligned timelines, urging a pragmatic, present-focused approach.
From Gut Feeling to Data Precision
Drawing a parallel to industrial factories of old, Bergman illustrates how many farms still operate on intuition rather than analytics. The transition to digitized, sensor-driven farms is underway, but cultural shifts are needed. “The biggest limitation in ag over the next five years is going to be the willingness of farmers to use and believe in data,” he says.
Bergman believes future-forward farms will be those that embrace real-time metrics, precision irrigation, and analytics that identify yield-impacting issues before they escalate.
FinTech: The Quiet Revolution in Ag
An often-overlooked frontier, Bergman sees FinTech as pivotal to agricultural transformation. Innovations like Growers Edge, which offer insurance-backed performance guarantees, can significantly reduce adoption friction for new technologies. As farms become more data-rich, lending and financial services tailored to performance metrics will become a game-changer, especially as U.S. food security comes into sharper focus.
