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Fund created to help southern Minnesota farmers get started

Small-scale beginning farmers in southeast and south-central Minnesota have access to low-interest loans to help them get started.

Launching last year, the Grow a Farmer Fund offers up to $15,000 dollars to individuals who farm within the Southern Minnesota Initiative Foundation’s (SMIF) 20-county region.

Foundation president Tim Penny tells Brownfield these microloans help new farmers get over some of the initial hurdles.

“One thing we found is that for a lot of folks that are starting small but trying to grow (are) needs, such as storage space, processing machinery, or refrigeration space.”

The Foundation partnered with members of the FEAST Local Foods Network to create the revolving loan fund, which grew to $100,000 in 2016.

“We’ve only had a few of those loans go out the door so far.  But in one case, the loan was used to enhance the processing machinery that’s used for these local food businesses.”

 

Penny says the low-interest loans are somewhat negotiable.