Egg packer Stonegate has announced the launch of a brand-new pullet finance facility available to the Stonegate farmers’ supply base.
The scheme has been created in partnership with Oxbury, a UK bank dedicated to British agriculture, and is structured to complement free range egg production cycles.
There are two options available:
1. Stonegate 13 Pullet Finance Scheme – A 13-month facility with interest only repayments for the first three months, followed by 10 capital and interest repayments. This term is tailored for a standard production cycle of 16 to 76 weeks.
2. Stonegate 15 Pullet Finance Scheme – A 15-month facility with interest only repayments for the first three months, followed by 12 capital and interest repayments. This term is tailored to the longer white bird production cycle of 16 – 100 weeks.
Farms can apply for a minimum of £25,001 in finance up to the full or part cost of the pullet invoice and choose to either stick to the scheduled terms or start to make repayments early.
The scheme has been designed to help with cash flow performance at the beginning of the flock. The initial three-month period of birds coming into peak lay can weigh heavy on cashflows as feed, staff and other operating costs continue to leave the farm without the income from eggs.
Both options have a fixed interest rate of 8%. There is no arrangement fee and there is no requirement to move the farm’s current banking arrangements.
“The pressure of cash flow in a business can be hugely stressful and I am delighted that Stonegate is able to support our farmers tackle these potentially difficult periods with the launch of Stonegate Pullet Finance Scheme,” said Adrian Gott, chief executive of Stonegate. “Ultimately our aim is to create a supportive environment for our farmers where they and their businesses can thrive. I am also very pleased how Stonegate is working in partnership and in collaboration with Oxbury on such an important area of the supply chain.
Senior agricultural relationship manager, Huw Tudor, said: “We are thrilled to be working with Stonegate and are excited to see the new opportunities this product and our relationship will bring. Launching this bespoke pullet finance product allows us to continue to support British farmers to thrive and grow.”