Generational transfers are one of the many applications our loans can be used for. We help farmers from across the UK who are looking to transfer their farm to the next generation, while keeping some of their capital.

If you’re interested in this type of loan, it’s important to consider which family members you wish to transfer, in particular who would be best to run your business. You also need to consider how much it will cost to make a transfer, keeping in mind that undervalue isn’t a reason to prevent this process.

The amount of capital you would like to retain following the transfer is another important factor. Many people find it tricky to strike a balance between providing their children or grandchildren with a step on the business ladder and ensuring they themselves have the funds to live with ease. You can find more tips on this process on our website.

UK Agricultural Finance appreciates that conventional lenders won’t lend if you’re selling to a family member. However, we are able to lend against the open market value of the land.

Since this is potentially a lower price you are selling at, you can receive some cash and the next generation gains ownership of the land, making it easier to later refinance with a conventional lender. Sound good?

If you need to apply for a loan for a generational transfer, don’t hesitate to contact our team for more information.