FarmStart Seed Capital

Anything worth growing needs encouragement, including the next generation in agriculture.
Man watering flats in greenhouse.

How to Get Started

FarmStart offers a source of credit for startups who are not generally eligible for conventional lending programs. Click here to view the FarmStart report, which highlights 10 FarmStart participants and the approaches many participants are using to garner success in the competitive agriculture industry.

Farmers, forestry producers, fishermen, farm-related service businesses and cooperatives, generally in their first three years of business. Candidates are expected to be rural entrepreneurs or cooperatives with very little accumulated net worth and few financial resources. The applicant also must be an independent enterprise and cannot be affiliated with an established operation.

Business plan information:We're looking for substance, work ethic, responsibility and follow-through. A business plan is a productive way for new business owners to demonstrate their ability to successfully use their FarmStart investment. Please refer to guidelines, available in your local Farm Credit East branch or from your advisor, on how to write a business plan.

Advisors:Each FarmStart participant will work with a Farm Credit advisor who is knowledgeable in financial management. Advisors stay in touch with participants to help them follow through with their business plan.

Learn more by contacting your local Farm Credit East office or email FarmStart@farmcrediteast.com.

Profile of Successful FarmStart Participants

Drive
You and your management team need to work hard, smart and have a strong work ethic. Starting a new business means risk, sacrifice and learning new skills in the first few years.
Recordkeeping
Good management skills are as important as being a good producer. You either need to love paperwork as much as you love machinery, plants or cattle, or you need to be able to outsource your record-keeping.
Business plan
Develop a written business plan with a first-year monthly cash flow spreadsheet. Know when and where the money comes from to get you started.
Support network
Starting a business means cultivating information and building a support network of friends and neighbors who can help and provide resources. Along with Farm Credit’s mentor/advisor relationship, this can be a lasting benefit of your business.
Available off-farm income
During the first year, the average new FarmStart business made $19,000 in farm profit before owner’s income. Having off-farm income can provide a financial buffer and mitigate risk to your business.
Marketing and sales skills
Understanding your market and setting realistic sales goals can help keep your business on track.
Fisherman Hudson Frye standing on his fishing boat.

Hudson Frye, Frye Fisheries Founder, New Bedford, Massachusetts

"We try to be forward-thinking for our customers. We want to build the relationship for years to come.”

– Katelyn Landers, FarmStart Advisor

Views From the Field

The Mission: Secure credit for startup entrepreneurs 

Fishing has always been a part of Hudson Frye’s life. Growing up in Bedford, Mass., Hudson was out on fishing boats at a young age, learning the trade long before owning a boat of his own. At 18, with a strong passion for the industry but little credit, Hudson was able to buy his first boat with the help of Farm Credit East’s FarmStart program.

How we helped

The FarmStart program invests working capital of up to $75,000 in Northeast agriculture, fishing and forest products ventures showing promise of success.

With the long-term support of Farm Credit East, Hudson now owns and operates several boats. “My relationship with Farm Credit is more than just a bank. They understand that you have changes and that some years are bad, some years are good,” said Hudson. “They understand fishing.”

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