Top 04 Facts You Need to Know About Agribusiness Loans in Australia

Posted by Greg Samuel on December 7th, 2017

Agribusiness loans are available to Australian farmers who need funds for seeding funds, reinvestment, or a means to start running their farm. These are loans that are repaid with the interest and principal for an extended period of time. There are different lending options available to farmers, and knowing these facts may help you decide which the best loan is for you:

1. Agribusiness loans are flexible – Providers take time to understand the needs of most farmers to create packages that will allow their clients to save money in the long run. Certain packages, like bundle lending products, may help you save on service fees.

2. They can be structured on different lending facilities – Apart from the regular agribusiness loans, lending facilities can include agri lines of credit, overdrafts, and equipment finance. Overdrafts are working capital facilities that can be scaled up or down as needed, making them appropriate if your farm’s cash flow tends to fluctuate.

3. Agri lines of credit and equipment finance - Agri lines of credit are interest-only loans that have a fixed limit, but can be redrawn and repaid freely. So, they are useful when your farming operations gain income in lump sums every season. Equipment finance is the asset-based finance that is separate your main banking facilities to be replaced with other lenders. This way, you can use it for large pieces of equipment, farm vehicles, and other assets.

4. You can learn more about agribusiness loans by speaking with a financial advisor – Look for a reputable and seasoned professional who understands the needs of farmers. If possible, choose someone who comes from a family of farmers and with genuine interest in the business, too. That way, you can be confident in the advice that they can provide for you. The best financial advisors are connected with leading lenders and banks in Australia to help you find the right loan that suits your needs.

About The Author:

Samuel Finance is a leading organisation for commercial finance and mortgage broking. They have a personalised approach to help you achieve a superior outcome for your personal or business finances. They provide finance for business loans, trading, working capital, property investment, development, home loans and more. They always strive hard to be a trusted advisor and deliver an outstanding level of personalised customer service.