Organic Farmer Loan Fund

April 2021

The Maine Organic Farmers and Gardeners Association is accepting applications to its Organic Farmer Loan Fund (OFLF) for the 2021 funding cycle. This fund is intended particularly to help organic farmers working on establishing a credit history for their farms.

Eligibility. Loans are available to:

Permitted Uses, Amounts, Rates & Terms. The loan fund will provide loan guarantees to small and medium-sized businesses seeking to expand or enhance their farm or processing operations through business planning, marketing,
aggregation, or other business enhancement. Funds in this program may also be used as a working capital line of credit or for equipment purchases. Loans from the Organic Farmer Loan Fund are in the range of $2,000 to $20,000. Loan program interest rates will be determined by Bangor Savings Bank at the time of loan application.

Application Review & Loan Closing. Applications are made to Bangor Savings Bank. If the loan is turned down by the Bank, applicants may then apply to the MOFGA Organic Farmer Loan Fund for a loan guarantee. OFLF applications will be reviewed by an advisory committee, which makes the final decision on the loans. If there are questions after initial review, there may be follow-up inquiries to the applicant, further narrative or financial documents requested, and/or coordination of an in-person or virtual interview. Bangor Savings Bank will be administering the program, and your final loan agreement will be guaranteed by MOFGA and held by Bangor Savings Bank. Prior to closing, Bangor Savings Bank will submit a letter of commitment that will detail the closing requirements. MOFGA, as well as the farmer, is at risk in this program. The advisory committee will be reviewing applications with an eye to the potential success of the applicant.

Reporting. MOFGA reserves the right to require annual financial reports and/or quarterly cash flow statements.

Application & Timeline. Applications must be submitted to Bangor Savings Bank by Friday, May 28, 2021. Please go to: for information on branches near you.

For questions about the Loan Fund or the application process please contact the MOFGA office at (207) 568-4142, or email [email protected].
MOFGA is an equal opportunity lender.
* 7 CFR Part 205 National Organic Program Final Rule Section 205.101 (a)(1) (see page 398, part 205.101: “Exemptions and exclusions from certification.”)
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