Frequently Asked Questions (FAQ)
What types of grants are currently available?
MARBIDCO's grants can be classified as ongoing, cyclical (for instance, the Maryland Value-Added Producer Matching Grant USDA Option), or specifically funded by the Maryland General Assembly for designated purposes such as the Maryland Producer Cold Storage Grant. Ongoing grants encompass the Maryland Urban Agriculture Commercial Lending Incentive Grant, the Local Government Agriculture & Resource-based Industry Project Cost Share Program, and the Upper Shore Regional Council Farm Incentive Fund, which is available to residents of Cecil, Kent, and Queen Anne's Counties.
Are there any Maryland farm loans or financing options for first-time farmers to purchase property?
MARBIDCO offers agricultural loans designed to assist new, beginning, or first-time farmers in acquiring working land, with down payment assistance available when collaborating with a commercial or farm credit lender. The programs available include the Next Generation Farmland program and the Small Acreage Next Generation (SANG) program.
In collaboration with farmland conservation programs and commercial lenders, MARBIDCO provides support to young and novice farmers by offering down-payment funding for acquiring farmland. Throughout this process, the development rights associated with the farmland being acquired are temporarily relinquished, leading to the eventual permanent preservation of the land.
Additionally, MARBIDCO provides low-interest loans to agricultural and resource-based industry enterprises for the purchase of land and capital equipment necessary for production and processing activities. The Maryland Resource-Based Industry Financing Fund (MRBIFF) can be accessed through either a direct loan option or a participation loan option, both of which necessitate the involvement of a commercial or public sector lender.
Does MARBIDCO offer programs to help me purchase farm equipment?
MARBIDCO offers agricultural loans in Maryland aimed at funding equipment purchases or providing working capital, referred to as the Agribusiness Equipment and Working Capital Loan Fund. This low-interest program is tailored to address the unique financing needs of Maryland's agribusiness sector, particularly for those who cannot obtain commercial financing for working capital and equipment acquisitions from traditional lenders like banks or farm credit associations.
The Maryland Resource-Based Industry Financing Fund (MRBIFF) offers both direct and participation loan programs that provide low-interest loans to businesses in the agricultural and resource-based sectors for acquiring land and capital equipment essential for production and processing activities.
Additionally, MARBIDCO can supply extra loan proceeds that range from 20% to 40% of the total commercial financing required, collaborating with a commercial bank and/or a public sector lender.
Does MARBIDCO offer programs to help me acquire equipment for my seafood business?
MARBIDCO offers the Maryland Watermen's Microloan, designed to assist commercial watermen in obtaining necessary equipment or a workboat via low-interest, unsecured loans.
Commercial watermen are allowed to purchase physical equipment like boats, motors, and harvesting tools. In contrast, seafood processors are limited to acquiring only seafood processing machinery. The equipment purchased must have a useful life of at least 7 years.