A family operation in the Southern Plains refinances existing debt with a custom loan package. 

Successful farmers understand that strong markets signal a time to evaluate farm financials, boost liquidity, and make operational upgrades. As a nationwide mortgage lender with singular expertise in agricultural land, AgAmerica is well positioned to help farmers restructure their finances in a way that builds resilience to future fluctuation.   

The Challenge 

A family-owned operation embedded within the ag community of the Southern Plains held a long-standing relationship with AgAmerica that spanned over the last several years. The multigenerational operation is home to many separate farm entities throughout Texas and New Mexico, all owned by extensions of their family. It is a vertically integrated operation which helps them manage input costs and create additional farm-related revenue streams. They are a close-knit group with weekly family meetings to ensure cohesiveness across operations and help one another succeed. Many of the family gained experienced farming in Mexico and brought with them an impressive work ethic to provide for the American people and the world. Their ultimate goal is to expand acreage to lease and provide sustainable employment for their whole family. To do this, they required flexible financing to free up cash flow for future purchases and current operating expenses. 

The Solution 

Several members of the AgAmerica team had visited the family’s operation over the years and witnessed firsthand the dedication the family had to run and maintain a successful farm operation. This working relationship and deep understanding of the needs of the operation made it easier to custom build a multi-loan package that suited their specific needs. The first loan facility included 30-year amortization to stretch out annual payments while the second loan facility included interest-only quarterly payments for five years. Through this flexible debt restructure, these multigenerational farmers were able to position themselves to accelerate the growth of their operation and employ more of their family to keep it running successfully in the years to come.