Quota Loan

Amount:

No Fixed Amount

Type of Program:

Loan

Description:

The Quota Loan is for buying milk quota, egg quota, broiler quota, and turkey quota. It provides Nova Scotia farmers the needed funding to grow production and keep their farm moving into the future.

Comments on Funding:

The applicant will pay interest and other fees, if applicable.
Repayment can be amortized over any period from 1-20 years and the repayment schedule can also be tailored to fit the cash flow of the commodity.
The "Quota Loan" is typically secured by real estate, quota and applicable guarantees. However, in certain circumstances the loan may be secured by the quota alone.

When It Ends:

Ongoing

Deadline:

Rolling Deadline

Eligibility:

Applicant must be:

existing producers,
new prospective farmers.

Application Steps:

Applicant must:

Applicants must complete the application form on their own, or call for a loan officer to assist or review it with them.

Applications are processed on the basis of a security appraisal, an assessment of the farming program and a review of the completed application form.

Documentation Needed:

Applicants must submit:

1
a completed application form;
2
a full Business Plan;
3
Cheque for Service Fee – Required for New Clients to the Board or Repeat Applications;
4
a summary of their education, training, work and farm experience, and a description of your current farm program and marketing program, if New Clients to Nova Scotia Farm Loan Board;
5
Void Cheque and EFT form to authorize payments by Pre-Authorized Debit (page 5 of Loan Application);
6
Completed Group Life Insurance Application Form for at least one applicant (contact your local office for application forms), or written confirmation of Life Insurance through a private policy assigned to the Nova Scotia Farm Loan Board.
7
Quota Information Declaration Form if applicable.
8
Specific information for each business type, as following:

Sole Proprietor: Last 3 years Income Tax Return & Statement of Net Worth and/or 3 years’ financial statements.
Joint Tenants (Spouses): Last 3 years Income Tax Return & Statement of Net Worth for each individual and/or 3 years’ financial statements.
Partnership: Last 3 years Income Tax Return & Statement of Net Worth for each individual and/or 3 years’ financial statements. AND Signed Copy of a Legal Partnership Agreement.
Incorporated Business:

Last 3 years, accountant prepared business financial statements,
Copy of Company’s Borrowing Resolution Certified by the Registry of Joint Stocks,
Copy of Signed Shareholders Agreement,
Completed Company Shareholder Information Summary Form.

9
Signed Agreement of Purchase and Sale;
10
Quota Exchange Results (Dairy Quota);
11
Authorization for transfer of quota;
12
Written confirmation of Property Insurance coverage with the NSFLB as the named loss payable, at time of closing.
13
A copy of your Notice of Assessment issued by the Canada Revenue Agency;
14
Copy of two pieces of current government photo ID (birth certificate, driver’s license, etc.).