New Entrant Farmer Loan Program

This program is currently closed.

Amount:

$750,000.00

Type of Program:

Loan

Description:

The New Entrant Farmer Loan Program provide financial assistance, in the form of loans, to persons entering into the agriculture sector. The program is designed to assist in the purchase of a farm and can complement other sources of lending such as Farm Credit Canada and other financial institutions.

Comments on Funding:

Funding takes the form of loans of up to 100% of the appraised value of security, to a maximum amount of $750,000. It can be amortized up to 20 years at provincial lending rate.
Payments will be as follows:

during years 1 to 4– interest only,
year 5 to end of loan – blended payments of interest and principal.

During the first 4 years of loan, the New Entrant client may apply for additional loan for expansion or improvement (not exceeding the maximum amount of $750,000).

When It Ends:

Closed

Deadline:

Rolling Deadline

Eligibility:

The applicant must:

be persons entering into the New Brunswick agriculture sector and organized as a sole proprietorship, a partnership, an incorporated company or to be incorporated, or a cooperative,
have an acceptable combination of 6 years of post-secondary education and work experience on a farming operation,
have acceptable agricultural knowledge and business skills, and an acceptable credit history,
not own or have owned a farm, unless it was purchased within the last 12 months,
provide acceptable security for the proposed financing,
have a business plan that shows reasonable chances of viability and that demonstrates that a demand exists for the product(s).