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Loan Receivable | 12 Months Ended
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Dec. 31, 2021
Receivables [Abstract] |
Loan Receivable | Note 6 — Loan Receivable A portion of the capital raised from the Company’s 2021 public offering has been allocated to launch Agrify’s total turn-key solution (“TTK Solution”) program, the industry’s first end-to-end solution for the Company’s customers that provides access to capital for construction costs, equipment lease(s) to VFUs and other related operating equipment, subscription to the Company’s Agrify Insights software, and business consultation services, which will enable the Company’s customers to go to market sooner. The Company’s initial allowable investment in the Agrify TTK Solution engagements is currently capped at $50.0 million, as approved by the Company’s Board of Directors. As of December 31, 2021, the Company has committed $20.3 million to the Agrify TTK Solution for five customers under contract and the remainder $1.9 million is related to non-TTK Solutions contracts. Of the five customers under the Agrify TTK Solution, Greenstone Holdings is a related party. The loan agreements entered into with customers receiving the Agrify TTK Solution generally provide for loans ranging from approximately $200 thousand up to $13.5 million with maturity dates of approximately two to three years after the completion of the construction projects. Typically, the TTK Solution construction loans have interest rates ranging from 12% to 18% per annum. The breakdown of loans receivable as of December 31, 2021 and December 31, 2020 is as follows:
(Dollar Amounts in Thousands) |  | December 31, 2021 |  |  | December 31, 2020 |
Company A – TTK Solution |  | $ | 5,542 |  |  | $ | — |
Greenstone Holdings – TTK Solution – Related Party |  |  | 11,177 |  |  |  | — |
Company C – TTK Solution |  |  | 2,439 |  |  |  | — |
Company D – TTK Solution |  |  | 1,105 |  |  |  | — |
Company E – TTK Solution |  |  | 46 |  |  |  | — |
Non-TTK Solutions |  |  | 1,946 |  |  |  | — |
Loan receivable |  | $ | 22,255 |  |  | $ | — |
The Company analyzed whether any of the above customers are a variable interest entity (a “VIE”) in accordance with ASC 810 and if so, whether the Company is the primary beneficiary requiring consolidation. Based on the Company’s analysis, the Company has determined that Greenstone Holdings is a VIE. As of December 31, 2021, two of the Company’s employees own approximately 36.6% of the equity of Greenstone Holdings, however, since the Company is not the primary beneficiary of Greenstone Holdings, the Company is not required to consolidate Greenstone Holdings.

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- Definition The entire disclosure for claims held for amounts due a entity, excluding financing receivables. Examples include, but are not limited to, trade accounts receivables, notes receivables, loans receivables. Includes disclosure for allowance for credit losses. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Publisher FASB -Name Accounting Standards Codification -Topic 310 -SubTopic 10 -URI https://asc.fasb.org/subtopic&trid=2196772 + Details
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- References No definition available. + Details
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