The Loan Participation Program is intended to supplement existing credit, not supplant it. Thus, loans will be administered and serviced through local lenders. Participation loans are eligible costs; including land needed for the project; buildings and improvements; and machinery/equipment.
The program participates with banks and borrowers to assist financing capital expenses associated with value-added production, or processing projects. The program can lend up to 80% of the total loan up to $500,000.
Facility, equipment in facility and land needed for the project
4.5% fixed (3.5% fixed for small/beginning farmers); Up to 10 year term based on collateral