In episode 80 the Investing in Impact podcast, I speak with Cole Shephard, Partner at Legacy Group, on his mission to become a leading coffee producer in Colombia while maintaining a focus on sustainability and social impact.
About Cole Shephard
Cole is a Partner at Legacy Group, an alternative asset manager focused on high-impact investment opportunities in the U.S. and Latin America.
Founded in 2015, Legacy Group aims to bridge the gap between financial capital and ventures with significant social and environmental impact across various sectors, including real estate, agriculture, and technology.
Before founding Legacy Group, Cole spent eight years with Pricewaterhouse Coopers, working across the U.S., Bermuda, Hong Kong, and Beijing.
His expertise spans accounting, advisory, and consulting, with a focus on mergers and acquisitions in industries like financial services, real estate, and healthcare.
Key Takeaways from the Interview:
Green Coffee Company: Colombia’s Largest Coffee Producer
Green Coffee Company has risen to the forefront of Colombia’s coffee industry, becoming the nation’s largest coffee producer.
Under Cole’s leadership, GCC manages over 11.5 million coffee trees across multiple farms, with a mission to deliver premium coffee while making a positive impact on the environment and local communities.
A Business Built on Sustainability and Social Impact
At the heart of GCC’s mission is a commitment to sustainability and social responsibility. Cole has integrated environmentally conscious practices throughout the company's operations, such as using renewable energy and organic farming techniques.
He also emphasizes the importance of supporting local communities through fair wages, healthcare, and education for w orkers and their families.
Building for the Long Term
Cole believes that building a business for the long term is crucial, especially in a developing market like Colombia.
This involves not only sustainable practices but also establishing strong relationships with local communities and creating a lasting, positive impact.
His approach to business highlights the significance of resilience and patience when growing a mission-driven company.
The Role of Education and Talent Development in Business Success
In addition to GCC, Cole is also involved with Polygonis, an organization focused on education and talent development within the video game industry.
He discusses the importance of investing in talent and education to drive growth and innovation, not only in the gaming industry but across various fields.
Overcoming Entrepreneurial Challenges in Developing Markets
Cole opens up about the challenges that entrepreneurs face in developing markets, including regulatory hurdles, access to resources, and cultural differences.
His advice to aspiring entrepreneurs is to embrace these challenges as learning opportunities, adapt quickly, and develop a thorough understanding of the market.
Learning from Experience: Advice for Aspiring Entrepreneurs
For those looking to embark on their own entrepreneurial journey, Cole stresses the value of learning from experiences—both successes and setbacks.
He encourages entrepreneurs to take the time to understand their own strengths and weaknesses, and to be open to continuous learning and adaptation.
Future Goals: Becoming a Public Company and Nationwide Expansion
Looking ahead, Cole has ambitious goals for GCC. He shares his vision for the company to go public and expand its operations throughout Colombia.
These goals are part of his larger mission to bring sustainable, high-quality Colombian coffee to the global market, while creating a positive impact on the local economy.
Fostering a Community Around the Business
Cole speaks passionately about the importance of building a strong community around GCC. By cultivating relationships with local coffee farmers, employees, and consumers, he aims to create a business that is deeply connected to the people it serves.
This focus on community not only supports GCC’s mission but also reinforces its long-term sustainability.
Podcast Transcript
Grant Trahant
Welcome, everyone, to another episode of the Disruptors for Good podcast. Today, I'm thrilled to have Cole Shephard with me, co-founder of the Legacy Group. We’re going to dive into his remarkable journey, from working in global finance to founding impactful businesses in Latin America. But before we get into Legacy Group and its mission, Cole, can you tell us a bit about your journey and how you found yourself in impact investing?
Cole Shephard
Absolutely. I’ll take it from the top. I grew up in North Carolina, but I was born in upstate New York. I spent the first 25 years of my life in North Carolina, then started my career with PwC right out of school. I studied accounting and finance for both my undergrad and master’s, and joined PwC at 23, working in biotech and venture capital in Raleigh. I was auditing large biotech companies, and that got me into the financial services and asset management space.
By 25, I wanted to work abroad, so I took a position with PwC in Bermuda, focusing on asset management and banking, doing audits and advisory for offshore banks, private equity funds, and trust companies. Then, at 28, I moved to Hong Kong to learn mergers and acquisitions, specializing in banking, asset managers, and insurance companies. That experience gave me a deep understanding of the investment process and deal-making. Eventually, I wanted to do something more entrepreneurial, which brought me to Colombia about 10 years ago, where I started investing my own capital and building businesses. That began my entrepreneurial journey here.
Grant Trahant
That’s an incredible journey, Cole. You’ve seen so many different markets and industries. Now that you’re in Colombia, can you give us some perspective on Latin America? What do you think people misunderstand about the region?
Cole Shephard
Latin America is diverse, with each country at different levels of development. For instance, Brazil has venture capital, private equity funds, and great human talent. On the other hand, Colombia and Mexico are at different stages, with most of the capital concentrated in Mexico City and SĂŁo Paulo. Colombia is typically third on that list.
In terms of investment, the region presents a lot of untapped opportunities. Whether you’re looking at financial services or traditional industries like agriculture, which is where we are now with coffee, there’s room for disruption. I often say you could throw a rock and hit an industry that needs improvement in Colombia. The biggest challenge isn’t seeing the opportunity; it’s executing effectively and understanding the local dynamics.
Grant Trahant
That makes sense. Now, let's talk about the Legacy Group and its mission. I love how you focus on positive social and environmental impact. What does that mean for you and the team at Legacy Group?
Cole Shephard
When I started Legacy, the name had two meanings for me. First, it’s about the legacy we leave for future generations. Second, it’s about doing things you’re proud of. We wanted to build something that could create real impact.
The concept of impact investing was gaining traction when I was finishing my time in Hong Kong, and I noticed that while the U.S. was a bit behind, Europe was leading the charge on green and ESG finance. For us at Legacy, environmental impact is a big part of our focus. But we also want to build businesses that are not only profitable but also benefit the communities around them. That means we prioritize sustainability from the ground up, integrating it into our core operations.
Grant Trahant
It sounds like it’s baked into the DNA of your businesses. I’d love to hear more about one of your ventures—Green Coffee Company. You founded it in 2017, and it’s already Colombia’s largest coffee producer. How did you get started with it, and what’s the mission there?
Cole Shephard
The original thesis was straightforward. When we started looking at the coffee market, we found that it was illiquid, with little reinvestment and no innovation. We thought, "Here’s an opportunity." We raised about $6 million to buy 600 acres and centralize the processing infrastructure.
Over time, we realized the potential to build a scalable, vertically integrated enterprise. We brought in top management from around the world, raised additional capital, and expanded to around 10,000 acres of land. Today, we’re the largest coffee producer in Colombia, with plans to go public in the U.S. in the next couple of years. We also signed exclusive distribution rights for Juan Valdez Coffee in the U.S. and Canada, and recently, we became the official coffee of the Chicago Cubs, which is exciting for the team.
Grant Trahant
That’s incredible. Scaling a business while staying true to your values is challenging. How do you keep those foundational impact principles as Green Coffee Company grows?
Cole Shephard
Great question. For us, impact is a core pillar of the business. It’s not a marketing gimmick or an add-on; it’s integrated into our operations. For instance, we have a dedicated sustainability team working on environmental and social initiatives aligned with the UN Sustainable Development Goals.
From an environmental standpoint, efficient water use is a big priority in agriculture. Not only does it benefit the business by lowering costs, but it’s also essential for sustainability. We want to be here for the long haul, and that means doing things the right way from day one.
Grant Trahant
It’s clear you’re building something for the long term. Now, let’s switch gears and talk about Polygon US. I understand that it's a video game development studio with an academy component. Could you tell us more about that?
Cole Shephard
Absolutely. Polygon US is a video game studio based here in MedellĂn. The founders realized that to grow, they needed to cultivate talent locally, so they created an academy to train young people in video game development. There’s a huge demand for this type of talent globally, and not enough supply. They’ve built a great business teaching young people and preparing them for careers in video games, either with Polygon or at larger companies in Latin America.
Grant Trahant
It’s awesome to see how you’re building these impactful ventures in Colombia. What have been some challenges you’ve faced along the way, especially building in a developing market?
Cole Shephard
One of the biggest challenges is the learning curve. When I first came to Colombia, I didn’t speak Spanish. Trying to understand the market, set up entities, and conduct due diligence in another language is tough. But entrepreneurship is challenging everywhere, whether you're in New York or Colombia. Each market has its quirks, and you’ll get punched in the face a few times. It's all about resilience and finding what works.
Grant Trahant
Any advice for aspiring entrepreneurs or investors, particularly those interested in impact investing?
Cole Shephard
If you’re young, try different things. Learn as much as you can and find good mentors. When you’re starting out, surround yourself with smart people who can be your safety net. And most importantly, find out what you’re good at and focus on that. Build a team that complements your strengths and fills in your weaknesses. The team is everything.
Grant Trahant
Fantastic advice. Lastly, what’s next for you and Legacy Group over the next few years?
Cole Shephard
For Green Coffee Company, we’re working towards going public in the U.S. We also want to expand into new markets, like Japan and Western Europe, and scale our byproduct initiatives, like creating vodka and gin from coffee waste. It’s an exciting time for us, and I’m looking forward to building something that will be here long after we’re gone.
Grant Trahant
It’s been inspiring, Cole. Thank you for sharing your story, and best of luck with everything you’re building. I look forward to seeing what’s next for you and the Legacy Group.
Cole Shephard
Thank you, Grant. It’s been a pleasure.
