Key Takeaways
- The Reservoir, a California-based agricultural technology company, has launched Reservoir Ventures (VC) — a new evergreen venture fund supporting early-stage startups in robotics, precision agriculture, and AI-driven SaaS platforms for specialty crops.
- Matthew Hoffman, Ph.D., formerly Global R&D and AgTech Lead at Driscoll’s, has been appointed General Partner to lead the fund’s investment strategy.
- The fund will focus on pre-seed investments, targeting companies that advance climate-smart agriculture, automation, and scalable digital solutions.
- Built on the Reservoir Farms incubator model, Reservoir VC will provide capital-efficient, milestone-based funding to bridge the gap between innovation and full-scale farm adoption.
- The initiative underscores the company’s mission to strengthen the connection between agricultural research, startup innovation, and practical on-farm application.
The Reservoir Expands into Venture Capital with Launch of Reservoir Ventures
The Reservoir, a California company focused on advancing technology for specialty crop farming, has launched Reservoir Ventures (VC), a new evergreen fund dedicated to early-stage agricultural technology startups. The fund aims to accelerate innovation in automation, AI, and precision agriculture while addressing funding challenges faced by founders in the specialty crop sector.
The new venture builds on The Reservoir’s on-farm incubator model, which provides real-world testing environments for robotics, automation, and digital agriculture solutions. By integrating venture capital with operational experience, Reservoir VC seeks to help startups move from prototype to commercial validation more efficiently.
Leadership and Investment Focus
Matthew Hoffman, Ph.D., joins Reservoir Ventures as General Partner following more than a decade of leadership in digital transformation and AgTech at Driscoll’s. A sixth-generation Californian with extensive experience in specialty crops, Hoffman will oversee fund operations, startup engagement, and portfolio development.
“Reservoir goes beyond venture capital — we’re in the community, on the farm, and we know how agriculture works,” said Hoffman. “Our goal is to help founders build practical solutions that work for growers and investors alike while strengthening the broader agricultural ecosystem.”
The fund will prioritize pre-seed investments in areas such as field robotics, AI-enabled software, and automation tools for specialty crop production. Reservoir’s investment model emphasizes stage-gated funding, capital efficiency, and milestone-based progression.
Addressing the Funding Gap in Specialty Crops
Although specialty crops generate over $1 trillion annually worldwide, less than 5% of AgTech investment has historically targeted this segment. The company aims to address this imbalance by supporting startups working on automation, climate-smart farming, and data-driven production systems.
Reservoir VC’s structure aligns incentives between founders and investors through step-ups via secondaries and a focus on technical validation. Early investments include Farm-ng (acquired by Bonsai Robotics), TerraBlaster (founded by Blue River Technologies’ Jorge Heraud), Agriful Software (developed by a Stanford team with Central Valley ties), and Nexstera Tech (founded by Cal Poly alumni).
Building on The Reservoir’s On-Farm Incubator Model
The launch of Reservoir Ventures extends the mission of The Reservoir Farms nonprofit incubator, which allows AgTech startups to test and refine their solutions under real farming conditions. Located in California’s Salinas Valley, the incubator bridges the gap between innovation and adoption, helping startups validate technologies before scaling to commercial production.
“Having a General Partner like Matt Hoffman is a significant step for The Reservoir and the broader AgTech community,” said Danny Bernstein, Founder and CEO of The Reservoir. “His industry experience and technical insight will accelerate how early-stage innovations translate into solutions that directly benefit growers.”
