Frequently
Asked Questions
Applicants must be at least 18 years old, own or manage an incorporated business or non-profit that centers food production, and utilize regenerative agricultural practices or in some way support farmers who do. Please see our Loans page for full list of eligibility criteria.
Foodshed Capital is based in Virginia but has served borrowers in 15 states, Washington DC, and Puerto Rico. We are actively expanding through partnership with regional farm service providers. To see if your location is eligible, please create a quick free account and fill out our intake form here.
Foodshed Capital does not pull credit scores, nor are credit scores a component of our underwriting process. We do take careful steps to make sure you are prepared to manage debt, including looking closely at your revenue projections and seasonal cash flow.
Applicants must have a registered business to qualify for financing. A minimum of two full seasons of practical production experience on an established working farm similar to proposed venture is required. Managerial experience will be taken into account. A minimum of one full year of related practical and managerial experience for those seeking to launch another kind of food business is required. Please note: businesses without historical financials are eligible for a maximum of $15,000 in financing, unless they have received a grant award and are applying for bridge financing.
No. At this time, our financing cannot be used to secure farmland.
Our current lending minimum is $5,000 and maximum is $150,000. Please explore our Loans page to learn more.
Terms vary according to your business' unique circumstances and revenue projections. Terms range from 3-7 years with an optional 3-month grace period, and monthly repayments.
Rates range between 0% and 6.75%. A half-point rate reduction is available for borrowers enrolled in auto-pay. Foodshed Capital’s interest rates are a weighted average of the current prime rate and our cost of capital. Our rates prioritize low-income borrowers in our accordance with our mandated commitments as a Community Development Financial Institution, and those who are actively producing food. Average interest rate in 2024 was 1.88%.​
Please review the "To Apply" drop-downs on our Loans page relevant to standard and bridge loans.
Yes, a farm loan interest is tax deductible as a business expense on a Schedule F.
Due to capacity constraints, our zero-cost coaching services are currently available only to those who have completed an application for financing. We are currently hosting a Bookkeeping Fellowship, which we hope to expand in 2026, and periodically offer free public workshops tailored to the needs of small farmers. We are happy to refer you to someone who can help meet your specific needs; please contact our team here.