Are Northeast Small Farmers in a Financing Fix?

Thank you for taking the interest in farmers. Microfinancing is easier to get in India than in the U.S.

- Robert a farmer in Maine in response to TCP survey

Are the Northeast’s small farmers in a financing fix? “Research Results on Financing Gaps and Program Opportunities” is a new report that reflects the experiences of 706 farmers across New England and New York who have tried to secure farm financing, but who have often been denied financing that would help strengthen their businesses. The report offers the first set of data that takes a close look at requests for financing by small, mid-sized and limited-resource farmers in the Northeast, as well as reasons for their denial. The study found that 25% of small farmers who applied for financing can’t get the money they need and that small farmers with a variety of business characteristics may benefit from alternative financing services and business technical assistance.

• Why can’t 25% of farmers applying for financing get the money they need?
• What are the characteristics of farms that are having difficulty securing financing?
• What size of loans are small farmers seeking?
• What type of financing would be helpful for small farms?

To download the report click here.

Case Study: Straw’s Farm - Need, Intervention & Results

Straw’s Farm is a diversified farm in Midcoast, Maine consisting of an organic dairy herd, laying hens, island-raised lamb, hay and wool. In addition to the 50 acres on the farm property, the farm uses 250+ acres in the surrounding community and two off-shore islands, resulting in a combined acreage of 650 for management of the sheep.  

As a fifth generation Maine farmer, Lee doesn’t farm very differently from his grandfather: all livestock are raised without hormones or antibiotics. His slogan, ‘Fresh from the Source,’ applies to all products and is backed by the farm’s accessibility, accountability, and recognition in the Southern and Midcoast Maine markets.

Despite Lee’s years of success as a farmer, he was unable to find financing to repair and renovate the roof on his barn. He had approached lenders in his area and was unsuccessful in finding one that would work with him. However, without an adequate roof, his business was unable to expand to meet growing markets, and his current business was threatened.

The Carrot Project was able to facilitate a loan used to replace his barn’s roof. Using the upper floors of the barn, Lee was not only able to maintain his current business, but was able to increase his number of laying hens by 600, which improves the farm’s ability to rotate the flocks and maintain production levels while increasing net monthly income.

Photo of Lee Straw & Chef Sam Hayward courtesy of Warner Hanson Television

 WHAT'S NEW?

Pete Seeger Gives 2 Rare Family Concerts to Benefit New England Farm Loan Fund

In two rare public appearances, legendary folk singer Pete Seeger will perform, together with his grandson Tao Rodríguez-Seeger and blues artist Guy Davis, in fundraising concerts on September 12th and 13th at Lebanon, NH's Opera House and Brattleboro, VT's Latchis Theatre. We are sorry the Latchis Theatre is sold out.

The events will benefit our new micro-loan program to help New England farmers, which is being set up in partnership with Strolling of the Heifers, Inc.

Are you  farmer? Check out the list of financing and business planning resources with links, click here.

The Carrot Project at Conferences

Learn about financing a sustainable food system and social investing at  The Politics of Food starting September 22nd, 2008.

Massachusetts Agricultural Plate

If you live in Massachusetts, you can sign up for an agricultural license plate or Ag Tag. When you sign up for a Massachusetts Agricultural Plate, you may have a portion of the proceeds go to support The Carrot Project. To learn more...