Lake County's Credit Relief Outreach Program (CROP) helps agri-businesses improve bottom lines and affordable agricultural loan. Program funds were made available through the Lake County Commissioners' office.
Who can Apply
CROP loans are intended for nurseries, grape growers, flower, vegetable and fruit growers, and others. Additionally, businesses that add value to crops, such as wineries, distilleries, and food processors are also eligible.
Short-term operating needs such as inventory, payroll, and supplies are eligible. Typically these funds are used for seasonal start-up or harvest expenses. Funds may also be used for minor improvements or repairs to maintain operations.
Loans, Interest, & Repayment
Loan amounts are as flexible as your needs, varying from a minimum of $5,000 to a maximum of $25,000. Terms can be either 120 or 180 days, or up to 12 months, depending on your needs. There is no prepayment penalty. Interest rates will be a minimum of six percent for shorter term loans and a minimum of seven percent for longer term loans.
To qualify for this program, the applicant must be a Lake County agricultural business that has been in business for a minimum of three years. It must be involved in growing, cultivating, or processing crops for sale on land either owned or leased by the applicant. If land is owned by the applicant, they must be current on real estate taxes.
Credit Check and Financial Statement
Applicants will be subject to a credit analysis to determine credit worthiness, risk assessment and repayment ability; a credit report will be obtained. Applicants will need to submit historical financial statements, current financial statements and a current debt schedule. A personal financial statement for owners with 20 percent or more ownership is required. The borrower will sign a personal guarantee and pledge or assign account receivables as security for the loan. Other collateral may be considered.
An application fee of $250 and service fees charged to the borrower cover the administrative costs of the program.