Young, Beginning, Small Farmers & Ranchers Credit Information Guide

Starting or growing an agricultural operation takes planning, persistence, and the right financial partner. Whether you are buying land for the first time, building a small herd, expanding an existing operation, or learning how agricultural financing works, Texas Farm Credit is here to help you take the next step.

Our Young, Beginning, & Small Loan Program (YBS) is designed to support producers who are starting out, building gradually, or operating on a smaller scale. You do not need to have everything figured out before talking with a lender. Our team can help you understand your options, prepare for the lending process, and build a financing relationship that can grow with you over time.

Who Is This Program For?

Texas Farm Credit’s YBS program may be a good fit for producers who meet at least one of the following qualifications:

• Young: 35 years old or younger
• Beginning: Farming or ranching for 10 years or less
• Small: Operating on a smaller scale or building gradually

This program may also be helpful if you are starting your first land purchase, have limited borrowing history, are still building your operation, or want a lender who understands agriculture and is willing to grow with you.

What Makes YBS Different?

Getting started in agriculture can come with unique challenges. Many new or growing producers may not have perfect credit, generational land ownership, large down payments, or years of borrowing history. That does not mean your goals are out of reach.

Texas Farm Credit’s YBS program is built around relationship-based lending and practical guidance. Our team takes time to understand where you are today, where you want to go, and what kind of financing may help you move forward.

Depending on your situation, this program may offer:

• Lower upfront equity options
• Credit options for borrowers with limited history
• Guidance from a local Relationship Manager
• Support as you prepare financial information and documentation
• A lending relationship designed to grow with your operation

You do not need to have all the answers before starting the conversation. We are here to help you understand what lenders look for and how to prepare.

What You Don’t Need to Get Started

Many young, beginning, and small producers assume they need to have a perfect financial picture before reaching out to a lender. In reality, a conversation with Texas Farm Credit can help you understand where you stand and what steps may come next.

You do not necessarily need:

• Perfect credit
• Generational land ownership
• A large down payment
• Years of borrowing history
• A fully established operation

Every operation starts somewhere. If you are serious about building your agricultural future, our team can help you explore the financing options and resources available to you.

What to Expect When You Work With Texas Farm Credit

We believe lending should be clear, personal, and supportive, especially when you are just starting out.

When you work with Texas Farm Credit, you can expect to:

• Learn what lenders look for. We explain credit expectations, cash flow, documentation, and financing terms in plain language so you know what to expect.
• Prepare with guidance. Our team can help you understand what information may be needed and how to get ready before you apply.
• Have a real conversation. You will work with a local lender who understands agriculture and takes time to learn about your operation, goals, and long-term plans.
• Apply with support. When you are ready, we will guide you through the application process and answer questions along the way.
• Build a long-term relationship. As your operation grows, your financing needs may grow too. Texas Farm Credit is here to support you through each stage of your agricultural journey.

Helpful Resources for Young, Beginning, and Small Producers

If you are preparing to buy land, apply for financing, or better understand agricultural credit, these resources can help you get started.

Buying Land for the First Time
Purchasing land is one of the biggest decisions many producers make. These resources walk through important considerations for first-time buyers.

• First Time Land Buyers – Part 1
• First Time Land Buyers – Part 2
• Agricultural Land, Family Capital, and Importance of Financing Structure

Getting Started in Agriculture
If you are new to farming or ranching, it helps to understand how lenders evaluate agricultural operations and what steps can strengthen your financial foundation.

• First Time Farmers and Ranchers
• YBS Farmers

Understanding Financial Documents
Financial statements, balance sheets, and basic financial terms are important parts of the lending process. These resources can help you feel more prepared before applying.

• Financial Statement Basics
• Balance Sheet Basics
• Financial Terms Everyone Should Know 

Learning How Credit Decisions Are Made
Understanding the basics of credit can help you prepare for stronger conversations with your lender.

• 5Cs of Credit

Ready to Take the Next Step?

You do not have to navigate agricultural financing alone. Texas Farm Credit’s YBS program is designed to help producers start, build, and grow with support from a lender who understands agriculture.

Connect with your local Texas Farm Credit branch to talk through your goals, ask questions, and learn what financing options may be available for your operation.