Many farm operations are finding trouble with financing due to a very common problem,  balance sheets that are essentially “upside down”.  This means that your current assets (cash or other liquid assets) are less than current liabilities(liabilities that are currently due or due within a year).  Current ratio’s have come under intense scrutiny lately with commodity prices falling and inputs not falling in line.  Many banks will not lend or restructure an operation if the current ration is negative, even if there is considerable equity in long term assets such as land or buildings.  SAF Ag has been able to offer solutions to farmers in need of an agricultural restructure loan or bailout financing.  We are able to finance these transactions through FSA(Farm Service Agency) guaranteed real estate loans or through bridge financing.  These options are crucial to farmers who do not have any other financing solutions and may be forced to liquidate assets to cover due payments.

Once restructured the operation will have less trouble obtaining operating financing, equipment financing, or even long term financing.  Please contact us with any questions on balance sheets or financing.