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Cattle Loan Program

Amount:

$100,000

Type of Program:

Loan


Description:

The Cattle Loan Program helps Island farmers by financially supporting the breeding and raising of animals destined for the Atlantic Beef Products plant.

Comments on Funding:

Funding is up to a maximum of $100,000 per individual applicant and is available under two options:

  1. 1
    loan available for feeder animals with financing at prime rate plus 1%, repayable over an 18 month term, or;
  2. 2
    loan available to purchase breeding stock with financing at prime rate plus 1%, repayable over a five year term.

The loan application fee equals to ½% of the amount of the proposed loan. 


When It Ends:

Ongoing

Deadline:

Rolling deadline

Eligibility:

The applicant must:

  • be a farmer in good standing with the PEI Cattle Producers and the Department of Agriculture and Fisheries,
  • ensure animal traceability,
  • use best management practices related to animal welfare,
  • be registered in the AgriStability Program,
  • have a satisfactory Personal Property Security Act check,
  • be a resident of Prince Edward Island and be 18 years of age or older,
  • use the loan to purchase cattle, and not ongoing business costs,
  • market animals to Atlantic Beef Products Inc. (If cattle are shipped to another plant or not sold locally, Finance PEI reserves the right to demand loan),
  • sell offspring not being finished from breeding stock financed by this program to local farmers (evidence is required),
  • state the purchase cost on invoices and only use third party transactions (costs to be verified based on industry norms),
  • have proceeds from sale of animals in the name of the Applicant and Finance PEI jointly, and
  • use all funds available through the Advance Payment Program before accessing funding through the Cattle Loan Program.

Application Steps:

Applicant must:

1

must submit the Application for Financial Assistance form, a business plan prepared by a qualified Chartered Accountant and the loan application fee to Finance PEI,

2

will be contacted to discuss the business proposal and the next steps required to determine eligibility.

Documentation Needed: 

The applicant must submit:

  • the Application for Financial Assistance form,
  • a business plan prepared by a qualified Chartered Accountant including 3 years of cash flow projections and 3 years of historical financial statements, if applicable,
  • the current “Statement of Personal Financial Affairs Form” for all shareholders and any proposed third party guarantors.
  • other documents, if the case.

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