Maryland Shellfish Aquaculture Financing Fund is sponsored by Maryland Agricultural and Resource-Based Industry Development Corporation (MARBIDCO) in partnership with Maryland Department of Natural Resources (DNR). This fund provides affordable, subsidized loan financing to commercial watermen and other entrepreneurs in Maryland wishing to start or expand shellfish operations, including oyster aquaculture.

Loan funds can be used for substrate, seed, or capital equipment.

MARBIDCO Agribusiness financing loans and grants Maryland Shellfish Aquaculture Financing Fund If you are looking for an oyster or aquaculture loan, we can help. MARBIDCO has partnered with the Maryland Department of Natural Resources (DNR) to help make affordable, subsidized aquaculture loan financing available to commercial watermen and other entrepreneurs wishing to start or expand shellfish operations.

The University of Maryland also contributes to this important effort by offering training and business planning assistance to current and prospective commercial shellfish growers. Persons holding State submerged land or water column aquaculture leases, or those who have applied for such leases, are eligible to apply.

In addition, all applicants must have production and business plans that demonstrate the financial feasibility of the planned aquaculture operation.

Loan Terms and Conditions Minimum/maximum loan amounts: $5,000 / $100,000 Basic eligibility requirements: There are two basic requirements to be eligible to receive funding under this program: 1) An applicant must either hold a shellfish aquaculture lease from DNR currently or have applied for such a lease; and 2) An applicant must demonstrate that the proposed shellfish aquaculture production will begin within 12 months of lease approval.

Priority will be given to applicants who have received less than $100,000 in Shellfish Aquaculture funding previously from MARBIDCO. Loan funds may be used to purchase substrate (e.g., shell), seed (or larvae), or capital equipment with a 15-year life expectancy with routine maintenance. On-bottom and water column (i.e., cages or floats) aquaculture production projects are all potentially eligible to be funded.

However, the purchase of motor vehicles, including boats and trucks, are not an eligible expense under this program. All borrowers must indicate where they plan to purchase shell or substrate.

Substrate and Seed – maximum of 5 years (1-3 years interest-only and 2 years P&I) Capital Equipment – maximum of 7 years (1-3 years interest-only and 4 years P&I) Blended Purchases – maximum of 6 years (1-3 years interest-only and 3 years P&I) Borrower credit history: A credit bureau score of at least 620 and no bankruptcy within the last seven years.

For borrowers with credit scores of less than 620, a qualifying loan co-signer will be required.

Loan repayment assistance First-Time Borrowers: 40% principal forgiveness (up to a maximum of $100,000) Existing Borrowers: 25% principal forgiveness ($100,000 to $300,000) Existing borrowers who are in good standing on making their payments and implementing their production plans will receive 25% of the principal amount of the loan forgiven for between $100,001 and $300,000 borrowed.

Application Submission Process All applications, including any required attachments, should be submitted as soon as completed, as loans will be processed in the order they are received. Additional information about the shellfish aquaculture financing program is provided in the application. A project financing submission checklist is included at the end of the application form, which should be reviewed carefully.

MARBIDCO Interest Rate: 5. 25% (This is the maximum rate; the rate can be as low as 3. 00% during the first one to three years of the term of the loan, depending on the length of the interest-only period that is needed.)

Loan Origination Fee: None Equity Requirement: At least 10% of the loan amount (as a cash contribution used to implement the aquaculture project - however, ownership of a commercial workboat could help to satisfy this requirement).

Send a completed and signed original application form, including all the required attachments, to MARBIDCO Loan Programs Office, Attn: Brittany Rawlings, 1410 Forest Drive, Suite 21, Annapolis, MD 21403, or email to brawlings@marbidco. org . All loan applications open for downloading and appear on the screen behind the download box.

Upper Shore Regional Council Farm Loan Equity Incentive Matching Fund Upper Shore Regional Council Farm Loan Equity Incentive Matching Fund “We are very thankful that MARBIDCO was able to step in and fill a critical supportive role in the industry. But we are most thankful for the people who work at MARBIDCO ‐ they have been nothing short of helpful, professional, and on the ball from the get‐go. It’s been a pleasure dealing with them.

” – Patrick Hudson, True Chesapeake Oyster Company