Read how these Northwest farmers restructured their debt to improve liquidity with AgAmerica’s interest-only loan product.

At AgAmerica, we look for solutions—not reasons to say no. Committed to supporting a thriving future for American agriculture, we go the extra mile to ensure farmers, ranchers, and landowners have the best possible financial structure to support their long-term success.

The Challenge

Two organic apple farmers were in a tight financial position with their lender after several consecutive years of bad weather and market fluctuation. Although they had a proven history of repayment in the face of these challenges, the lender was encouraging them to sell property in order to pay down debt and pressure the borrowers to sign lending agreements that collateralized non-agricultural real estate.

The Solution

As a nonbank financial institution, AgAmerica was able to provide a more flexible solution that didn’t require the farmers to sell their land. We structured a short-term loan with interest-only payments for three years. This loan included a $3MM revolving line of credit for the couple to serve as a hedge against future volatility. In addition to providing immediate liquidity relief, AgAmerica set up a long-term game plan to transition their loan to a more conventional structure as they build back the liquidity of their operation.