Young Farmer Loan Preliminary Application

							                                                              Kentucky Agricultural Finance Corporation

            Beginning Farmer Loan Program Application
Applicant Information
Farm Name:                                            Farm Serial Number:


Primary Applicant Name:                               Type of Operation (Individual, Partnership,
                                                      LLC, etc.):

Title (Owner, Co-owner, President, etc.):             County (where project will be located):


Address (Give complete address and zip                Telephone No.:                    Fax No. (optional):
code):
                                                      Mobile Number:
                                                      E-mail Address:
                                                      Date of Birth:             Social Security Number:


Employer Identification Number:

Applicant information addendums have been added for ___ number of co-applicants

Participating Lender Information
Name of Financial Institution:                          Loan Officers’ Name:


Address (Complete address and zip code):                Telephone No.:                  Fax No. (optional):


                                                         E-mail Address:

Participating lender agrees to provide additional financing and service the KAFC portion of the
loan for the term of the note.


Mentor Information
Name:                                                   Occupation:


Address (Complete address and zip code):                Telephone No.:                  Fax No. (optional):


                                                         E-mail Address:

Mentoring partner must meet one of the following criteria: KCTCS instructor in business or
agricultural related programs; High school agricultural instructor; UK Farm Analysis Specialist;
University or Extension Personnel, Kentucky Beef Network Facilitator; or Other agricultural
management professional at the discretion of KAFC. Approved mentors must have no
financial interest in the applicant’s farming operation. Mentor agrees to meet with applicant at
least once a quarter throughout the term of the loan to evaluate applicant’s progress.

      Governor’s Office of Agricultural Policy / KAFC / Beginning Farmer Loan Program Application / 2006
                                                   Page 1 of 3
                                                               Kentucky Agricultural Finance Corporation

1. Explain applicant’s experience and involvement in farming; include: education, year started
   farming, current responsibilities, enterprises, etc.




2. List current financing arrangement with participating lender; include amount financed,
   security, terms, interest rate, etc.




Total financing requested:      Requested from KAFC:               Requested from Lender:


Lender’s Interest Rate:         Lender Servicing Fee (must
                                be less than 1%):




3. Describe in detail the items that will be financed with this loan.




4. How will the loan from KAFC be secured?




5. How will the lender’s loan be secured?




6. What are the proposed repayment terms for this loan?

       Governor’s Office of Agricultural Policy / KAFC / Beginning Farmer Loan Program Application / 2006
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                                                               Kentucky Agricultural Finance Corporation
Please attach the following:
   Detailed five year business plan for applicant, which includes plans for growth, living
    expenses, debt retirement, etc.
   Lender’s loan application referencing this loan including
               credit summary,
               balance sheet,
               three prior years income information (federal income tax returns), and
   Detailed description and cost estimate of project including price quotes or appraisals
   Addendums for all co-applicants and describe involvement
   Narrative outlining the qualifications of mentor and details of how mentor will assist applicant
    in carrying out the proposed business objectives. KAFC and applicant recognize mentor as
    a volunteer advisor and release mentor of all liability in regards to this application and
    proposed loan.

Applicants applying for financing through the Beginning Farmer Loan Program must
complete this application and meet the following eligibility requirements:
      A. Have a minimum of three years production, management, and record keeping
          experience in a farming operation, but no more than ten years experience in
          operating their own farming enterprise.
      B. Have a participating lender that has committed additional financing and has
          agreed to service the KAFC portion of the loan for a 1% servicing fee.
      C. Have an approved agricultural professional that has agreed to mentor the
          applicant on a periodic basis throughout the term of the loan.
      D. Provide a five year business plan showing growth, profitability, and the ability
          to repay this loan under the proposed terms.


    All parties listed agree to the accuracy of this application and the accompanying
information as evidenced by their signatures. Signature by lender confirms the approval of
the referenced loan, pending confirmation by KAFC. All parties also give KAFC the authority
to exchange information gathered in the evaluation of this loan among all relevant parties.
    I hereby authorize the Kentucky Agricultural Finance Corporation to do the necessary
credit and background investigation to facilitate the evaluation of this loan. I understand that
KAFC is a governmental entity and has the obligation to inform the public regarding the
disbursement of funds. All personal financial information will remain confidential; however,
pursuant to KRS 61.872, I acknowledge that my name, amount of the loan, and a general
statement summarizing the scope of the project may be released to the public.
Signature of Applicant:                                    Date of Application:


Signature of Lender:                                       Date of Application:


Signature of Mentor:                                       Date of Application:



Please return this application to:                          Contact Information:
Kentucky Agricultural Finance Corporation                   Timothy D. Hughes - TimD.Hughes@ky.gov
404 Ann Street                                              Marketing & Business Development
Frankfort, KY 40601                                         (502) 564-4627 ext. 232
                                                            (502) 564-0221 [fax]
       Governor’s Office of Agricultural Policy / KAFC / Beginning Farmer Loan Program Application / 2006
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