Can Rural Loans Meet The Australian Farmer’s Financing Needs?

Are you planning to take out financing in the form of rural loans to grow your next crop or improve your farm operations? Can it help you become more competitive in the short and long-term?

These are the common financial issues Australian farmers need to deal with…


Farmers are facing new challenges and opportunities every single day; not only in maintaining their operations but in providing quality products to feed the growing population In Australia. The challenge is even greater when a company decides to expand its operations worldwide. The cost of producing more crops or animal products while meeting the strict government requirements are financially challenging not only for small farmers but big companies engaged in the agriculture industry.

Expansion could mean bigger lands, stricter government regulation and tests on the company’s ability to survive the fluctuating global economy.

Growing prices of equipment, consumer issues and other factors aside from supply and demand are also major factors to be considered when making financial decisions. But, one of the most prominent concerns of a farmer is the availability of financing and the cost of debt for expansion. Without the right financing, it is difficult to predict business stability and development in the midst of fluctuations in the global market.


If you want to be competitive, you need adequate cash flow to fund your daily operations. Without it, your business may eventually lead to bankruptcy.

The amount of cash coming in must be higher than the ones going out. If you keep on borrowing just to function, you may end up paying more on interest rates and before you knew it, your business is out. So, if you are not careful in choosing a loan product to maintain your daily operations, you may not be able to compete anymore, but merely survive.

If you want to get a positive cash flow, rural loans may not suffice.  Applying for multiple loans just to have sufficient money for your farm operations cannot solve the financial problem. What a business needs are a sound financial plan that addresses not only the immediate monetary needs but the very reasons why you are having financial difficulty in the first place. That’s where debt relief programs come in. if you want to become more competitive in the agriculture industry, it is vital to work on cash flow problems. Analyze and manage your debts to more effectively solve the cashflow issues.

Debt Consolidation is a better option…

If you have multiple debts, consolidation can help. Those who use a cash advance to pay for their business needs can opt for credit card consolidation. Australia Lending Centre offers other debt relief programs that can help you solve the financial issues of your business right down at its very roots. You can also choose some of the loan products available like business loans, personal loans and debt management to make sure your farm has enough cash each month to cover your financial needs.

Do you have access to rural loans? If not, why not contact the Australian Lending Centre and ask about the loan products that you might find very beneficial for your farming needs? We provide rural loans financing to support you. Apply now!

Business Loans

Applying for Business Loans in Australia

Whether you own a start up business, a small business or a large business, there will come a time when you will need some financial assistance for one reason or another. Most business owners go to major banks and other local banks to apply for business loans but it could be a long journey from application to approval.

Since it is a business applying for the loan, the application process is a little more complicated than if it were an individual applying for a personal loan or a debt consolidation loan. You need to prepare all the required documents to complete the application and on top of that, you will have to submit additional information about your business during the processing stage. So if you are a business owner thinking about applying for a business loan, here are some of the things you will need to prepare before you do so.

Applying for Business Loans

Before you even go to a bank or an alternative lender, make sure you actually need the financial assistance. You and your business need to be in the best position to apply for the business loan. In order to do that, extensive research needs to be conducted, especially if you own a business that’s niche. You need to map out your business plan and prepare all your documents in proper detail to motivate your lender to trust you and lend you the business loan.

If you’re thinking about applying for business loans, you must know how much you want to borrow. If you still don’t, you need to figure out the exact amount that you need. You also need to figure out how you will be repaying that loan. How will you keep up the repayments? How long do you want to stretch out the repayment plan? Should you choose a fixed interest rate or a variable rate?

Whatever you decide, it needs to be cost efficient and doable. There’s no point going into debt if you don’t have the means and capacity to repay it. Some loan terms can be flexible while others aren’t at all. So it’s important to shop around and compare your lenders according to what they offer. Some loans may be approved right away but you will have to pay back a portion of the entire loan plus interest at regular intervals.

And before you sign any agreements regarding the business loan, you will need to provide some form of security as collateral for the loan. You may be able to secure your loan with a residential, a commercial or even a rural property, or you can secure it with your business assets.

Make sure you have documentation about your income, your net profit, the expenditures and future projections: these are the typically required documentation you will need to provide. It’s always best to be prepared with everything than to come short when you start the application process. There are also many types of business loans in the market.

It all depends on how you want to use your business loan. Some business owners only need financing to expand their existing business; some need it to start up their business; some need it to help with their working capital; some need it to buy equipment or to pay wages and so on.

So before you apply for business loans, the best ways to prepare for it is to find out how much you actually need, work out how you can repay it, and also speak to a qualified consultant to ask for advice because they will be able to tell you what you need to do.

The consultants at Australian Lending Centre have qualified experience in lending to businesses of different sizes. If you need more information about business loans or if you need any professional advice, click on the Apply Now button and one of our friendly team members will get back to you shortly. We help business owners across Australia with their financing, whether your business is in Sydney, Melbourne, Brisbane, Adelaide, Perth, Canberra or any regional area. Contact us today!

Business Loans Land

Debt Help In The Farming Industry

Farmers often go into debt to help keep their farms running. Like many other businesses, the farming industry depends on the availability of funds to borrow to get them through tough times and also help them grow when times are good. Just like everyone else, farmers can fall on hard times and have trouble paying their debt. In this case they will have to seek debt help in some form.

Understanding debt obligations and what debt can do for the farming industry is crucial to its business outlook in the medium and long term. An important point to know is how debt and equity differ from each other. Debt has lots of demands that come with it while investor equity is less likely to cause a business financial strain.

When farmers do decide to take on debt it should be used to increase productivity. If the debt payments cannot be made out of profit from the debt then the payments will have to come from other profits. Since profits from farming vary significantly it can make it hard to predict when the payments for debt will come directly. The debt might be investing into something that takes a season or even years to create a return.

It is important to make sure that there will be cash flow to make debt repayments. If a farm was to take on too much debt too early and the cash flow gets tight then it might make it hard to make debt repayments and it could actually ruin the business.

Farmers also need to factor in that the prices for the goods they need fluctuate quite a bit as well. A sharp price increase in something vital for a farm can cause cash flow problems that can put a farmer’s finances in the red.

Debt Help In The Farming Industry

Once anyone is behind on payments it can be hard to get debt help. Not only farmers but any business can struggle to get an outside investor to step in and save their business when their books are out of order. They might have to start selling assets to get their books in order before they can get debt help. A farm is run basically like any other business and the farming industry uses loans to help grow and expand. Knowing how to use debt help responsibly is as important as any other factor in the farming industry.

Interest Rates

Flood Crisis Leading to Interest Rates Increase

As the rain has ceased and the flood waters have begun receding, we as a country are starting to feel some of the affects from the flood crisis. At your local market you may have noticed prices in the produce section are beginning to rise and are becoming scarce. For example, mangoes are nearly impossible to find. Along with mangoes, tomatoes and lettuce have become more expensive. Other produce starting to see changes are zucchini, bananas, broccoli, sweet potatoes, capsicum and watermelons.

The major supermarkets, Woolworths and Coles, have released statements claiming they are in the process of identifying whether it is more cost efficient to start importing primary produce to avoid massive influx in prices. As these two supermarket giants control 45% of the fruit and vegetable sales nationally, they play a major part in the control over prices.

In addition to the immediate affect of an influx of prices, there is also key concerns on how the farmers will be able to bounce back to plant the winter staples such as corn, cabbage, potatoes and chillies. With the floods washing away the majority of the crucial topsoil, the forecasts are declaring all crops will be low this year.

If the prices on all produce does skyrocket and nothing is done to counteract this, fruit and vegetable prices will force inflation upwards. With the already looming rumours of interest rates increasing in March, the flood crisis will undoubtedly make those suspicions true.

With inflation around the corner, interest rates will move upwards which may affect your current mortgage or additional debt, such as credit cards or personal loans. In order to avoid this increase and lock into the lowest rate you can – you should look into a debt consolidation or refinancing your loans now while interest rates are still decent.

With a debt consolidation at Australian Lending Centre, you will be able to roll all of your debt into one loan on a fixed interest rate that will not be affected by inflation. Through this option you will also be able control and pay off your debts faster since you will be using one low rate and not focusing on various payments with varying interest rates.

If you want assistance with your debt call the Australian Lending Centre on 1300 138 188 today to speak with a debt consolidation consultant. Alternatively, fill out the enquiry form to the right and a consultant will contact you shortly.