AgAmerica’s flexible farm refinance helps a row crop farmer reduce monthly payments and increase capital flow.

Because of the volatile nature of the agriculture industry, many small banks are making it increasingly difficult for farmers to obtain farm loans. When they do, they are often faced with high-interest payments that push them further away from long-term financial stability.

The Challenge

This past year, a Wisconsin row crop farmer found himself in a similar predicament. His previous lender was a local bank uncomfortable with agricultural lending who used high-interest loan options to offset perceived risk. Even with the help of close family members tending to daily farm tasks to soften labor costs, he was struggling to make his monthly payments and began to search for an alternative source of financing.

The Solution

Our team was able to fund $2.3MM to refinance his existing loan and cut his weekly payment by more than half with annual savings that totaled $240K. He was then able to use the additional working capital to upgrade his farm operation and invest in his farm’s trucking operation as an additional source of income.