Financing & Capital

Carla Green of Mid-Atlantic Farm Credit provided some essential small-farm financing tips at Start Farming's 2010 Breaking the Barriers workshop.

Small-scale farming can be a very satisfying lifestyle, but to be financially successful you also need to view your operation as a business. New farmers considering adopting an enterprise outlined in the Agricultural Alternatives series need to view these enterprises as new businesses. An existing farming operation considering diversification must carefully evaluate how adopting a new enterprise will impact existing land, labor, capital, and management resources.

This publication explains why many small-scale farms succeed in Pennsylvania, and examines the steps a farmer should take to secure a loan, as well as the major lenders that serve the small-scale agricultural sector. Business Climate

Did you know the USDA’s Farm Service Agency offers a land contract program? This program provides an incentive to land owners who plan to sell their farm to a beginning or socially disadvantaged farmer. A land contract is a tool which can be used in transferring land to the next generation farmer as well.

TJ Costa and Chris Henwood Costa knew they wanted to expand their vegetable farm to include a CSA (community supported agriculture) and an educational program for youth, they knew they needed more land. The couple shared their personal story during a breakout session at the annual Pennsylvania Association for Sustainable Agriculture (PASA) conference held in State College February 1-4.

We’ve heard more than once that it’s impossible to start farming now—even if you can find a great property, you won’t be able to find a lender who wants to talk to you. That is just not true. Not if you have done your homework.