How the Loan Process Works
Applying for an Agricultural Loan: A Step-by-Step Overview
When applying for any type of financing, it can feel like a lot happens behind closed doors. Here’s a step-by-step guide of what happens throughout the process, so you can know what to expect.
Find the Right Loan
Timeline: 1–3 days (initial conversation)
Who’s involved: Borrower + Loan Officer
You and your loan officer will discuss the details of your operation, your goals, and your financial needs. Then, together, you’ll review available loan options and discuss the information and documents you’ll need to provide, along with a timeline. This is a working conversation, not a transaction. Your loan officer is there to guide you toward the best option for your unique situation.
Gather Your Information
Timeline: 1–2 weeks
Who’s involved: Borrower (with Loan Officer support)
This is when you’ll take some time to collect financial documents, operation details, and any required paperwork. Your Loan Officer will help prioritize what’s needed and when. View the Loan Application Checklist here.
Submit Your Application
Timeline: 1–2 days
Who’s involved: Borrower + Lending Team
Once submitted, your application enters the review process. Your loan officer will provide confirmation and walk you through the next steps.
Review & Underwriting
Timeline: 1–3 weeks
Who’s involved: Underwriters + Loan Officer
This is when we evaluate your financials, your operation, and risk factors. This step is about understanding your needs and goals, not just approving a loan.
Know that you may be asked for additional information during this stage, and that it’s a normal part of the process.
Approval & Terms
Timeline: A few days after underwriting
Who’s involved: Loan Officer + Borrower
If approved, your loan officer will contact you to share loan terms, structure details, and repayment information.
At this stage, know that there’s no obligation for you to accept. You’ll have time to review terms and ask questions.
Closing & Funding
Timeline: 1–2 weeks (potentially longer for complex terms)
Who’s involved: Borrower + Loan Officer + Closing team
This is when we will finalize documents, we’ll complete any remaining requirements, and you’ll receive funding.
Ongoing Support
Timeline: Ongoing
Who’s involved: Borrower + Loan Officer
Our relationship doesn’t end at funding. We stay alongside you to provide guidance, planning, and support as your operation evolves.
What Happens If Something Goes Wrong?
Challenges can come up. When they do, you won’t be navigating them alone.
If we need more information
We’ll reach out clearly and quickly with what’s needed and why. Most delays are resolved by filling in missing details.
If your application is paused
This usually means something needs clarification, not that the process has stopped. Your loan officer will explain the cause and next steps.
If financials raise concerns
We’ll talk through options, adjustments, or alternative structures. The goal is to find a path forward when possible.
If timing becomes an issue
We understand agriculture runs on seasons. We work to align timelines with planting, harvest, and operational realities.
Common challenges to be aware of
Incomplete or inconsistent financial records
Delays in gathering documentation
Changes in market conditions or input costs
Complex ownership or transition structures
First-time borrowers are unsure where to start
What You Can Expect From Us
When you work with Farm Credit of Southern Colorado, you're never navigating the borrowing process alone. Many of our loan officers have personal farming and ranching experience. They understand the realities producers face and are here to make the process clear from start to finish.
A clear point of contact throughout the process
Straightforward, transparent communication
Deep understanding of agriculture
A partnership mindset, not a transactional one
We're here to help you build financial stability that works for your operation now and into the future.
Ready to talk? Reach out to speak with a loan officer.
