#StartupsEverywhere Profile: Trevor McKeeman, CEO, HitchPin
This profile is part of #StartupsEverywhere, an ongoing series highlighting startup leaders in ecosystems across the country. This interview has been edited for length, content, and clarity.
Cultivating a Marketplace for Farmers Using Technology
HitchPin is a platform connecting farmers and ranchers to enable the efficient allocation of products and services across the agriculture and food industries. We spoke with the CEO and Founder of HitchPin, Trevor McKeeman, to learn more about the startup, the solutions they’re providing for farmers, and his experience starting a business in middle America.
Tell us about your background and how that led you to start HitchPin.
I was raised near Abilene, Kansas—where President Dwight Eisenhower was from—and grew up as a farm kid. One of my favorite Eisenhower quotes is, “Farming looks mighty easy when your plow is a pencil and you’re a thousand miles from a corn field.” My father was a first-generation farmer in the 1980s, something that was uncommon. We built our farm during the added difficulty of a farm crisis when many others were going out of business. However, not having the multigenerational farming experience allowed us to look at things differently and enabled us to survive that difficult time for farmers.
I went off to Kansas State University and then spent a few years in technology consulting, before going to Washington, D.C. to work for then-congressman Jerry Moran. One thing I’d often say when discussing economic development in D.C. is that we don’t necessarily need a bunch of programs; we just need people to go home and start a business. Eventually, I decided to put my money where my mouth was by starting three tech companies, the latest of which is HitchPin.
I started HitchPin after a mid-career masters at MIT. I saw the challenges facing the agriculture industry that put farmers at risk of being pushed out of the work that they love, and wanting to do something about it. I thought, “why can’t something like Airbnb exist for agriculture?” It turns out there are a lot of unique challenges presented by farming as opposed to vacation rentals, but that was the jumping-off point for creating a marketplace to connect farmers. Food production is one of the largest industries in the world and it has an impact on everyone on the planet.
Tell us more about HitchPin and the role you play in the agriculture community.
HitchPin is a digital marketplace that allows farmers and ranchers of all sizes to benefit from each other by enabling the exchange and efficient allocation of goods and services. For example, a producer with the latest equipment can offer their services to another producer that might not have that equipment. The extra revenue can help with the owner’s equipment payments, while the other producer benefits from getting access to the newest equipment without incurring the costs of ownership. As farming equipment becomes more technologically advanced and expensive to own and maintain, this mutually beneficial transaction will become more important. This type of transaction has been happening in some manner for generations, but with HitchPin, it is no longer limited to the five guys you know, and no longer involves time-consuming phone calls. Our platform technology can level the playing field and keep the door open for the next generation to enter the agriculture industry and make a living.
HitchPin currently has listings in 47 states. You can list or purchase goods and services in seconds through the mobile app or online. Privacy and security are important to us, and we have several protective mechanisms built into the platform. For example, no phone numbers are included in listings to avoid spam. We escrow payments so that both the buyer and seller are protected. In addition, all banking information is encrypted at a high level.
Why did you choose to locate in Manhattan, Kansas, as opposed to somewhere else?
When I first met with investors in Boston to discuss HitchPin, they suggested I immediately take it to California, where there’s “money and talent.” That was irritating and really missed the point. To me, it was important to locate near customers and be able to hire talent that knew what those customers were talking about. We completed our first funding round in only 12 days. Obviously, there was a lot of preparation that went into that, but it shows that you can start and grow a company anywhere. When hiring, we start local, then look regionally, then, if necessary, globally. Right now, we have employees in six different time zones. We also have great talent that flows through the university here, and I would put any of our people toe-to-toe with those from anywhere else in the world.
You were very successful in raising funds to start HitchPin, whereas other rural entrepreneurs might struggle. What should policymakers understand about capital access outside of major tech hubs?
HitchPin is very venture capital-friendly, in the sense that we’re scalable and capital efficient. We haven’t taken any venture capital funding to date, instead prioritizing investors with more direct industry experience, but these attributes make us attractive to investors and the VC funding model. The VC model really only fits a small portion of companies. Because VC isn’t right for everyone, there should be more focus on other channels out there. Congress tried to enable another avenue with the inclusion of regulation crowdfunding in the JOBS Act, but the Securities and Exchange Commission has hamstrung its effectiveness.
Networks are also really important for raising capital. Our best introductions to new investors came from other investors. Starting a tech company is incredibly difficult and some of the most valuable contacts are other founders, and their ability to authentically relate to shared challenges. Anything that can be done to promote these networks would be a good and positive step. There are no easy answers when it comes to getting capital into companies, but I want to impress that VC isn’t always it.
How has the pandemic impacted HitchPin and the broader startup community?
COVID-19 has forced us to adapt and accelerate some of our offerings. When HitchPin launched, it was originally a farmer-to-farmer marketplace. To address food shortages and barren store shelves that we heard about early on in the pandemic, we added a ‘Farm Fresh’ section where consumers can buy fruits, vegetables, and meats directly from farmers. This also opened up a new potential revenue stream for producers in a time of great uncertainty and disrupted supply chains.
The pandemic has dispersed people from population centers and is accelerating the trend towards a distributed workforce, which I think will be beneficial for the innovation ecosystem. This has illustrated, though, the absolutely critical nature of quality broadband access. HitchPin is cloud-based and we couldn’t exist here without high-quality broadband.
Many farmers have fiber to their homes thanks to the FCC’s Universal Service Fund, but farmers do not spend their workdays in their homes. So wireless infrastructure is also critical, especially as farm equipment becomes more connected. In addition to its impact on farms, greater wireless connectivity will also enable more rural innovation. There is probably a role for the government to help advance wireless infrastructure and create these opportunities.
What is your goal for HitchPin moving forward?
We are building the most advanced agricultural marketplace in the world. Through our technology, we believe we have the power to improve people’s lives and open the door to farming for the next generation. HitchPin is a business but there is more at stake than just the financials; we also want to set the tone in the agricultural technology space—one that delivers a positive impact on rural communities and the world we live in.
With a global population expected to exceed nine billion people, fewer farmers will have to feed more people. We must meet these needs or the consequences for humankind are severe. The opportunity to help with one of the greatest challenges of our time is a huge driving force for our team to act quickly.
All of the information in this profile was accurate at the date and time of publication.
Engine works to ensure that policymakers look for insight from the startup ecosystem when they are considering programs and legislation that affect entrepreneurs. Together, our voice is louder and more effective. Many of our lawmakers do not have first-hand experience with the country's thriving startup ecosystem, so it’s our job to amplify that perspective. To nominate a person, company, or organization to be featured in our #StartupsEverywhere series, email edward@engine.is.
