Federal Government Refinanced Farm Loans Now Available!

This one came across my desk while I was away on annual leave but its too good to just skip over, so if your a farmer, listen up!

The federal government have released a new scheme which will allow eligible farmers to refinance up to 50% of their existing business debt (capped to a maximum of $1m) at a generous rate of 3.58% over ten years. On the surface this will allow any farmers struggling to meet their debt repayments or having interest choke their cash flow to fix 50% of the problem and shift it to being financed through Regional Investment Corporation.

To be eligible you must personally meet the following criteria.
Be an Australian citizen or permanent resident
Contribute at least 75% of your labour towards the farm business
Earn at least 50% of your income from the farm business

If you personally meet the requirements you will be subject to a business assessment in which they will be assessing the following.
Are you in financial need of a loan?
Do you have a capacity to repay the loan?
Is your business financially viable in the long term?
Do you have existing commercial debt?
Do you operate in the agriculture, horticulture, pastoral, apiculture or aquaculture industry?
Are you registered for tax purposes with an ABN and registered for GST?
Are you a sole trader, trust, partnership or company?
Are you not under external administration or bankruptcy?

There is more information available at http://www.ric.gov.au/ as well as the on-line application form. Feel free to give us a call if you wish to discuss your eligibility or grant details before applying.

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