The farmer required the funding to increase his herd, add a new barn and install a biomass heating system for the cattle’s bedding.
He was unable to secure finance from his existing high street bank, which was unwilling to assess his business plans.
UKAF took a first charge over the farmland, with the increased herd plus biomass revenues expected to cover the repayment.
- UK Agricultural Finance helps couple buy dream farmhouse
- UK Agricultural Finance lends £490,000 for stone barn redevelopment
- Defender specialists secure £2.3m funding
It visited the farm and reviewed the farmer’s ability to increase his overall profitability and cash flow.
UKAF recognised the business was exceptionally well run and poised to do well.
Mark Thompson, COO of UK Agricultural Finance, said: “Visiting the farm and meeting the [farmer’s] family gave us the opportunity to understand the specific circumstances of the opportunity, allowing us to make a responsible, informed underwriting decision.
“In this case, we were able to complete the loan and provide funds a month after meeting the family.”
Leave a comment