Canadian banks have had a longstanding relationship with agricultural clients and farmers. These relationships have made it possible for banks to work with agricultural customers on day-to-day challenges experience in farming. Many banks have created products for farmers per Canadian banking Laws
Canadian banking laws allow for all major banking institutions to have dedicated departments that take care of clients in the agriculture business. Beyond creating business accounts, banks also develop products that help agricultural clients build capital, acquire farming equipment, manage risks and expenses as well as make sound investments.
Support for Young Farmers
There are many young farmers in Canada, and they play an integral part in contributing towards Canada?s agriculture sector. More often than not, young farmers require a lot of financial support and advice. Canadian banking laws make provision for this through the various banks with agricultural departments.
Some banks provided tools and farming supplies. Many also help young farmers create business plans. They also hold seminars where experts engage the young farmers providing valuable insights that can help them in their agricultural businesses. Banks also offer support to remarkable young farmers entities by providing scholarships and networking opportunities.
Farmers and individuals in Agribusiness are encouraged to open AgriInvest accounts in banks participating in the La Financiere Agricole program. By creating this account, one can be able to take advanced of the matching contributions offered by the federal government under the AgriInvest program. People in Agribusiness can, through the program, manage small drops in their farm incomes. It doesn?t take much to open an account. All that is required is your original AgriInvest Account Form of initiation from your bank, and identification documents. Other requirements are available in the Agri-Food and Agriculture Canada.
Support for Farms
All central banks in Canada participate in lending agricultural loans in line with the Canadian Agricultural Loans Act Program. The program was created to help farmers establish their farming businesses with ease. Agricultural co-operatives also have access to the loan, and they can use the funds to distribute and market farming products.
The Canadian Agricultural Loans Act Program offers loans not exceeding $500,000 for agricultural land or construction and improvement of structures. One can also apply for a loan of not more than $350,000 for other purposes Banks agriculture specialists can determine if one qualifies for the appropriate credit, they are interested in.
Canadian banking laws allow for agricultural customers and farmers to expand their businesses abroad. Banks in Canada support these farmers by helping when exporting their agricultural goods and services across borders so that they can become players in the global markets. In some instances, banks help clients partner with EDC (Export Development Canada). This way, they can get some level of guarantee, finance, and insurance products that can help them develop their businesses abroad.