254 Charley Cummings - The silver bullet of regeneration is accounting
Oct 20, 2023
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Charley Cummings, founder and CEO of Walden Mutual Bank, discusses the impact of starting a cooperative bank focused on the regional food system. They explore the importance of accounting, building sustainable food systems, and the potential of decentralized and resilient food systems. They also highlight the role of banking relationships and long-term investments in driving change, while expressing contrarian views on regenerative agriculture.
Building a cooperative bank owned by customers can have a significant impact on the regional food system.
Accounting plays a crucial role in driving change by measuring and managing the depletion of natural resources and negative externalities.
Taking a localized approach and making conscious banking choices can contribute to creating a more resilient and sustainable food system.
Deep dives
Starting a Bank for Impact in the Regional Food System
The founder and CEO of Walden Mutual Bank discusses why he decided to start a bank focused on the regional food system. He emphasizes the importance of banking relationships and how they can have a significant impact on the environment and society. He also highlights the need for a long-term view and investment in entities that have a perpetual focus. The episode explores the role of accounting in driving change and the potential of decentralized systems in creating a more resilient food system. The guest challenges the belief that organic and regenerative agriculture can't feed the world, emphasizing the need for localized solutions and a broader understanding of the true cost of the current food system. The episode concludes with a discussion on the importance of taking action and making conscious choices, such as switching to a bank that aligns with one's values.
The Role of Accounting in Driving Change
The guest highlights the significance of accounting in the transition towards a more sustainable food system. He advocates for a focus on measuring and managing the depletion of natural resources and negative externalities in financial statements. He believes that incorporating these factors can drive meaningful change and shift our collective understanding of what matters in the long term. The episode also touches on the importance of taking a nuanced approach and avoiding unwarranted extrapolation of technologies or market forecasts, as well as the potential of decentralized systems to promote positive change in agriculture and other sectors.
The Impact of Banking Relationships and Long-Term Investments
The episode discusses the impact of banking relationships and emphasizes the significance of conscious banking choices. The guest highlights the role of large banks in fossil fuel investment and the importance of aligning banking decisions with personal values. Additionally, he emphasizes the need for long-term investments and discusses the potential of semi-perpetual investment structures to drive lasting impact. He encourages investors and institutions to prioritize direct investments aligned with their values, rather than relying solely on intermediaries, and advocates for taking a long-term view in fostering change.
The Fallacy of One-Size-Fits-All Solutions in Regenerative Agriculture
The guest challenges the belief in one-size-fits-all solutions in regenerative agriculture and the transition to sustainable food systems. He argues that the focus should be on adopting localized solutions based on specific contexts and needs. He cautions against sweeping statements or extrapolations about what works and what doesn't work in different regions or globally. He emphasizes the importance of doing what makes sense in one's own backyard and making decisions that align with the unique characteristics and challenges of each region. The episode also underlines the need for a holistic understanding of the true costs and impacts of the current food system.
Taking Action and Making Conscious Choices in the Food System
The guest urges individuals to take action and make conscious choices in the food system. He emphasizes the role of personal banking relationships and the significant impact they can have on environmental and societal issues. He encourages listeners to be aware of the true costs of the current food system and to consider banking with institutions that align with their values. The episode concludes by highlighting the importance of collective action and pursuing localized solutions to create a more resilient and sustainable food system.
A conversation with Charley Cummings, founder and CEO of Walden Mutual Bank, about building a cooperative bank, owned by the customers, and why starting a bank might be the most impactful thing you can do in your regional food system and much more.
Why would Charley after founding a successful, local, animal protein, direct to consumer, grass fed and finished businesses decided to start a bank, and not a bank build for an exit no a mutual one basically a cooperative owned by the customers?And to make matters worse the last mutual bank in the US was started over 50 years ago. It is safe to say the regulators weren’t really going easy on Charley when starting his bank.
---------------------------------------------------- The above references an opinion and is for information and educational purposes only. It is not intended to be investment advice. Seek a duly licensed professional for investment advice.
