Agrifinance Debt Collection

The management team at AAB has many years of experience with agrifinance debt collection. Local agricultural cooperatives to multi-national chemical suppliers and farm equipment manufacturers have come to rely upon AAB’s expertise in this field (pun intended!)

Agrifinance debt collection comes with its unique challenges. Farming requires massive capital inputs, significant efforts, and cooperative weather. The Producer then faces volatile commodity pricing, product shrinkage, and a host of other influences outside of their control. The farmer comes into cash to pay outstanding creditors only when a dry crop is in the bin or the livestock is delivered to auction. In most situations, a professional agrifinance debt collector must wait until harvest is off the field before funds are recovered.

In the U.S., insolvent farmers can seek protection under Chapter 12 Family Farmer Bankruptcy. In Canada, farmers can seek protection under the Farm Debt Mediation Act, S.C. 1997, c. 21, and other similar provincial legislation. In both countries, it is much more difficult to enforce judgments on land owned by farmers.

Today, farming is big business, and corporate producers are becoming commonplace. Lenders and suppliers to the agriculture industry should take all reasonable steps to protect themselves, just as they would with any other commercial customer.

At AAB, we understand the nuances of collecting from commercial and individual farmers, and can recover your funds quickly.