LOANS, LEASES & FARMSTART Money for your business

OUR LENDING CATERS SPECIFICALLY TO AG-BUSINESS NEEDS.

One of the biggest challenges in running and growing an agricultural, commercial fishing or forest products business is having reliable, ready access to money when you need it. Providing this is why the Farm Credit System exists, and why Farm Credit East is one of the most important partners you can have for growing your business.

Farm Credit East’s operating, real estate, country living and specialty loans offer advantages not found elsewhere. If a lease fits your needs, Farm Credit East offers equipment, buildings and vehicle leases with terms and options you’ll find hard to beat!

Farm Credit East customer George Lucas of Lucas Greenhouse in Monroeville, N.J.

Learn more about Farm Credit East RELATIONSHIP LENDING at FarmCreditEast.com.

WE’RE ALL ABOUT AG BUSINESS

Financing and supporting agriculture isn’t just something we do — it’s all we do. Farm Credit East is staffed with a broad range of professionals who understand the many aspects of ag business management. Our loan officers come to you with a working knowledge of how business works in your agricultural industry.

In addition to farmers, fishermen, forest products producers and farm services businesses, we also finance rural residence owners. Everything we do contributes to the success of agriculture and the fulfillment of country living.

ALL TYPES OF CREDIT

There is virtually no kind of loan, line of credit or lease you will encounter for your business that can’t be obtained at Farm Credit East at a competitive rate and with flexible terms that will work for your particular needs.

And there are other benefits of working within the Farm Credit System, including our structure as a customer-owned financial cooperative. When you obtain credit from Farm Credit East, you become both a customer and an owner, and share in our financial success through patronage dividends based on a percentage of our earnings.

FARM CREDIT EAST LENDS FOR BUSINESS AND PERSONAL PURPOSES, INCLUDING:

• Farm and forest land

• Building production and marketing, including barns, shops, greenhouses and retail facilities

• Improvements to land, including environmental compliance and waste management

• Value-added and further processing, including packing houses and processing plants

• Farm residences and labor housing for hired workers

• Machinery used in production, further processing and marketing

• Vehicles for over-the-road and on-farm use

• Commercial fishing boats and dockside facilities

• Livestock and poultry

• Inventory, including advance purchase of inputs, nursery stock and feed

• Operating expenses for ongoing costs, such as operating inputs, producing, processing and marketing crops and other products

MEMBERS SHARE IN OUR EARNINGS

Because of our strong financial position and because we are a cooperative, Farm Credit East annually returns value to our customers through our patronage program. Customer-owners of Farm Credit East (including our predecessor associations) have earned millions in dividends from ownership in their cooperative.

OTHER PROGRAMS

Young, Beginning, Small and Veteran Farmer Program: The demands for capital and financial management make starting a new agricultural business difficult. That’s why we offer special incentives and financial services to young, beginning, small and veteran farmers with a solid business plan, likely potential for success and a willingness to work hard.

FarmStart: FarmStart invests up to $75,000 in working capital to help entrepreneurs establish a positive business and credit history during the early phases of their careers.

Farm Credit East is committed to helping people enter agriculture. As an FSA preferred lender, we can help you prepare and submit an application to the Farm Services Agency for a guaranteed loan if your financial picture is not all that it could be. You’ll need to meet FSA conditions to be approved for a loan.

The benefits of borrowing from Farm Credit East

• Competitive rates. Fixed, variable or a combination of both. • Expert, on-farm service. You will work with a relationship lender who knows the ins and outs of agricultural businesses and will make a point to thoroughly understand your operation and its credit needs. This includes careful fulfillment of special needs, such as timely delivery of checks during construction or complex transactions involving side businesses with multiple owners. • Flexible terms. We tailor our loan and repayment plans to provide a variety of interest rate programs, depending on the loan’s purpose, repayment terms and the flexibility you need. • Reliable credit. We offer revolving and non-revolving lines of credit to fit your business needs. And we pride ourselves on being a consistent source of credit in good times and bad. • Loan, lease analysis. Your loan officer will help you analyze the pros and cons in your decision between choosing a loan or a lease. • Ag equipment financing at equipment dealers through AgDirect® offers attractive rates and the most ag friendly terms in the business to serve all of your ag equipment financing needs, including options to buy, lease or refinance. • Commitment to agriculture. As owners of Farm Credit East, borrowers share in the financial success of their financial cooperative. We have a track record of returning a percentage of earnings as a patronage dividend.

FREQUENTLY ASKED QUESTIONS

Who is eligible to borrow from Farm Credit East?

We lend to farmers, fishermen, forest products producers and farm services businesses. Business owners, managers, employees and part-time farmers are also eligible borrowers, as are basic agricultural processing and marketing businesses. Farmers’ cooperatives can borrow from Farm Credit through CoBank. We also finance part-time farmers and rural residence owners through our Country Living program.

What are the terms?

• Short-term loans have terms of 1-to-10 years available to fund operating expenses or capital assets, with fixed- and variable-rate options, flexible repayment terms matched to cash flow, and letters of credit. • Long-term loans have terms of 10-to-30 years, fixed- and variable-rate options, and flexible repayment terms matched to your cash flow.

What does it mean for the Farm Service Agency to guarantee the loan?

The Farm Service Agency (FSA) of the U.S. Department of Agriculture may guarantee loans through Farm Credit East to help family farmers who might not otherwise qualify for credit for farm ownership, improvement and operating purposes. Farm Credit East is committed to helping people enter agriculture, and will help you prepare and submit an application if your financial picture is not all that it could be. You must meet Farm Service Agency conditions to be approved for a loan guarantee.

What are your rates?

Farm Credit East offers competitive rates. And, as an owner of the cooperative, you are eligible to participate in our patronage dividend program. For specific rates, check with your branch office.

FREQUENTLY ASKED QUESTIONS

What is my loan term?

It depends on your situation. Some members have a revolving line of credit, which basically means they have a loan with us with no specified expiration. You and your loan officer will agree to your loan terms.

How often are my payments due?

We understand that your cash flow may vary. This is why we offer flexible payment schedules to fit the needs of your business.

Does Farm Credit East finance young, beginning, small and veteran farmers?

Helping young people get started in farming, commercial fishing and forestry is one of our long-term commitments to Northeast agriculture. Farm Credit East provides special programs for young, beginning, small and veteran farmers, including, but not limited to, our FarmStart program. Each situation is different. We work with individuals to find the best program for their needs.

A VIEW FROM THE FIELD

WHERE WILL THE MONEY FOR GROWTH COME FROM?

The Lucas Greenhouse began in the fall of 1978, when George and Louise Lucas purchased four acres of land from her father and constructed a two-gutter connected 30-foot x 150-foot greenhouse. The business has since grown to include 770,000 square feet of heated greenhouse space and 30 acres of outdoor production, plus a garden center and one food chain. As they continued to expand to increase efficiency and respond to market needs, access to capital in a reliable, responsive way became essential. “When I had to put five acres under cover in three months, I used a lender who always comes through for me. Farm Credit East already knows my business and I can count on them to keep the process simple.” – George Lucas

“Farm Credit East keeps the process simple.”

HOW WE HELPED

As a proud lender to the greenhouse industry, Farm Credit East understands your business, its cycles and the long-term commitment you need. We do not shy away from lending capital for expansion to a seasonal business like other lenders might. We built a relationship with the Lucas family that hopefully will continue for years.

“When George needs new construction, he just orders the glass and contracts for the work,” said Justin Dickey, George’s loan officer. “He knows Farm Credit East will get behind him fast, so he never worries about where the financing will come from or whether he’ll get each check right when he needs it. He knows we’ll get it done.”

When George and Louise Lucas of Lucas Greenhouse in Monroeville, N.J. need to grow their business, they need a lender that knows them well enough to be responsive. They partner with Farm Credit East.