“The Nova Scotia Farm Loan Board
knows farming.”
- George deVries, Colchester, NS

“Farms have high and low points
and the lender has to be there through everything.
The Nova Scotia Farm Loan Board
is like a partner in the farm.”
- George deVries, Colchester, NS

“I feel safe with the
Nova Scotia Farm Loan Board,
unlike a commercial bank.”
- George deVries, Colchester, NS

“The Nova Scotia Farm Loan Board
has given me the tools I need to be successful.”
- Luke denHaan, Annapolis Valley, NS

“The biggest difference between the
Nova Scotia Farm Loan Board
and other lenders is the products they offer are better suited
to agriculture - they understand agriculture.”
- Michael Lightfoot, Kings County, NS

“They get to know you and your business;
see it first hand and understand your challenges.”
- Ian Tuttle/Ruth Tuttle, Cumberland County, NS

Nova Scotia Farm Loan Board

Lending Products

We can help improve the viability of farm operations in Nova Scotia.

The Quota Loan

Purpose

The Quota Loan is for buying milk quota, egg quota, broiler quota, and turkey quota. Clients know that to grow production and keep a farm moving into the future, it takes a big roll of cash. The NSFLB can finance your quota purchases so that you can keep going and keep growing.

Profile

The Quota Loan comes with all the flexibility of the Farm Mortgage. Repayment can be amortized over any period from 1-20 years. This is designed to make the license affordable. As challenging as it may be to buy quota, it is a fact of life in the supply-managed sector. The NSFLB makes it possible to repay this investment as the cash flow allows, and not squeeze a repayment program into a 7-10 year period, as is more common in the financial industry.

In the case of milk quota that is traded on the quota exchange, with little available from month to month, a pre-approval option enables a client to receive a pre-approved loan for a certain number of kilograms. The credit is interest only for a two year period while the quota is purchased over several exchanges. At the end of two years the amount of the authorized facility drawn is then termed out over a longer amortization as negotiated with the client.

The repayment schedule can also be tailored to fit the cash flow of the commodity: weekly, biweekly, monthly, semi-annual or annual repayment schedules. In some cases interest only payments can be arranged for certain periods of time.

The client can also select fixed rate full term financing with interest rate stability for the full amortization of the loan or assume some interest rate risk and benefit from the three fixed term rates available with the selected amortization period. The three term rate periods of 3, 5, and 10 years allow a client the opportunity to potentially have competative rates during the selected term. At the end of the term the rate is reset based on current interest rates at the time of renewal.

Security

The "Quota Loan" is typically secured by real estate, quota and applicable guarantees. However, in certain circumstances the loan may be secured by the quota alone.

The Security may take the form of a General Security Agreement (GSA specifically charging the quota), Collateral Mortgage, existing agreement of sale, or Continuing Collateral Mortgage.


Making Payments

Payments may be made by cash, cheque, or electronic funds transfer, in person or by delivery to our offices in Truro or Kentville.

If you wish to be set up for Electronic Funds Transfer (Pre-authorized Debit) complete the Payment Authorization form, attach a void cheque, and deliver or fax it to us. Our fax number is 902-895-7693.


Other Products

  • Life Insurance

    Life Insurance is available to most clients and is a requirement of your loan. Life insurance may be obtained through the Board's Creditor Group Life Insurance policy with Sun Life Assurance, or privately.

  • Fixed Farm Mortgage

    Fixed rate interest for the full amortization period, from 1-30 years.

  • Term Farm Mortgage

    Term rate financing for 3-5-10 Term Options with 1-30 year amortizations.

  • The Quota Loan

    The Quota Loan is for buying milk quota, egg quota, broiler quota, and turkey quota. Clients know that to grow production and keep a farm moving into the future, it takes a big roll of cash.

  • The Farm Debt Consolidator

    The Farm Debt Consolidator is used as a cleanup tool for short-term payables, stagnant operating debt, medium term loans, and restructuring of long-term debt with other lenders.

  • Deferred Product Options

    A deferred loan structure has been developed for general cash flow situations that require a principal deferment to help a farm manage its cash situation.

  • The “Jump Start” Program

    Jump Start program is designed for new entrant farmers. In combination with the Provincial FarmNext plan this program can give a new farmer a real boost to get his or her farm life off to a great start.

  • “Fast Tracktor” - Equipment Financing

    The Fast Tracktor loan authorization is an equipment purchasing line of credit. The loan option provides a preapproved equipment line of credit for clients requiring new or used equipment to sustain their operation.

Nova Scotia Farm Loan Board
Nova Scotia Farm Loan Board
Truro - Head Office

74 Research Drive
Bible Hill, NS B6L 2R2

Tel: 902-893-6506
Fax: 902-895-7693

Kentville - Field Office

Kentville Agricultural Centre
32 Main Street
Kentville, Nova Scotia, B4N 1J5

Tel: 902-679-6009
Fax: 902-679-4997