FRANKFORT, Ky. — The Kentucky Agricultural Finance Corporation (KAFC) approved $2,079,329 for 12 agricultural loans for projects across the commonwealth at its monthly board meeting.
Agricultural Infrastructure Loan Program (AILP)
Three Agricultural Infrastructure loans totaling $542,000 were approved. Loan recipients were in Calloway ($250,000 and $250,000) and Clinton ($42,000) counties. KAFC participates with lenders to provide financing to producers making capital expenditures for agricultural projects through the AILP. Eligible projects include permanent farm structures with attached equipment that improves the profitability of farming operations. Producers may be eligible for up to $250,000 not to exceed 50 percent of the project.
Beginning Farmer Loan Program (BFLP)
Eight Beginning Farmer loans totaling $1,287,329 were approved. Loan recipients were in Grayson ($62,329), Green ($90,000), Hardin ($70,000), Hart ($250,000), Lincoln ($250,000), Muhlenberg ($250,000), Scott ($250,000), and Shelby ($65,000) counties. The BFLP is designed to assist individuals with some farming experience who desire to develop, expand, or buy into a farming operation. Beginning farmers may qualify for financing to purchase livestock, equipment, or agriculture facilities; to secure permanent working capital; for the purchase of farm real estate; or to invest in a partnership or LLC.
Diversification through Entrepreneurship in Agribusiness Program (DEALP)
A Diversification through Entrepreneurship in Agribusiness loan totaling $250,000 was approved for a recipient in Montgomery County. DEALP is designed to assist agri-entrepreneurs with the purchase, establishment or expansion of a business that sells agricultural products or services to farmers or consumers.