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 the full list of General Eligibility Criteria.
Foodshed Capital is currently lending up and down the East Coast. We have closed loans as far south as Georgia and as far north as Vermont. If you're outside of this region, please reach out to our team to see if your location is eligible.
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 marketing strategies.
Applicants must have a registered business to qualify for funding. Although several years' experience makes you a stronger candidate for lending, we do sometimes lend to new operations and are happy to connect you with our Business Support program as a first step.
Although we are not a mortgage lender, we are working hard to expand our capacity to finance land purchases, and have done so on several occasions in collaboration with values-aligned funders. Please reach out if you're working towards land ownership and seeking funding.
Typically our lending minimum is $5,000 and maximum is $150,000. Please explore our Loans page for a full list of our loan products. We may consider larger loans for farmland purchases depending on your circumstances and long-term goals.
Terms vary by loan product, but typical terms are 3-5 years with a 3-month grace period and monthly repayments. Because we prioritize flexibility, we are happy to discuss terms that fit your needs.
Our standard interest rate is 4%, and 3.5% for borrowers enrolled in auto-pay. Rate discounts are available based on your circumstances. BIPOC farmers are eligible for 0% interest loans.
Depending on the amount of financing you need and the age of your business, you may need: most recent business and/or personal tax returns, EIN or SSN, updated financials and projections, web and social links, a few pics of your business, and a clearly articulated plan for the future.
Yes, a farm loan interest is tax deductible as a business expense on a Schedule F.
Yes! Our Business Support services are available at zero-cost, whether you're seeking financing from us or not. We also periodically offer free public workshops tailored to the needs of small farmers, and can bring in additional partners to offer more 1:1 support.