CHALLENGE
A cattle farmer wanted to take advantage of a market boom by increasing herd size, but most lenders require equity, land security, or can only offer 50% of livestock value.
OUTCOME
Cattle farmer acquired 100% livestock financing via AgLend’s vast credit network that includes at least two lenders who extend 100% credit on trade cattle.
A cattle farmer wanted to take advantage of a livestock market boom that triggered a steep rise in cattle prices. To do so, he needed to significantly increase herd size.
However, the livestock grazier had limited equity which represents a red flag for his current lender. In fact, most conventional lenders follow guidelines that set a limit on the amount of livestock loans they can extend. Most banks use land equity or accept 50% of livestock value as security.
Fortunately, AgLend Finance counts at least two lenders who extend 100% livestock financing on trade cattle. AgLend’s finance consultants visited the grazier on site to assess current livestock health and numbers and offer advice and financial strategies on how to increase herd size. The consultants even assisted during the scanning of the cattle’s ear tags.
AgLend was able to source 100% livestock financing for the grazier. This allowed the cattle farmer to significantly increase headcount while the season and prices were favourable.
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