The Carrot Project’s program model is designed to incubate, learn from, and establish financing programs (including business technical assistance) for small and midsized farms and farm-related businesses while providing investment opportunities for individuals and organizations. We are committed to sharing what we learn and strengthening the knowledge base in this emerging and dynamic sector.

Program Areas

Loan Programs

The Carrot Project collaboratively administers four programs designed to make loans to small and mid-sized farms and farm-related businesses that use sustainable or organic practices and serve local or regional markets. Funds can be used for working capital, capital needs such as equipment or buildings, or other improvements for production or value-added enterprises. In most programs, on-farm, value-added enterprises are given preference, but off-farm enterprises are also eligible, providing inputs are sourced locally. 

The Carrot Project’s loan programs include two distinct operating models. One model provides capital to a lender who, in turn, issues a promissory note and commits to lend the borrowed capital. In the second model, money is posted as collateral to the benefit of a lending partner that uses its own capital to make loans up to an agreed-on amount. Read More.

Reports, Research and Thinking

The Carrot Project documents and shares its work and participates in collaborative research to strengthen the knowledge base for the small and midsized sustainable farming sector. The first research project began in 2005 following the realization that, though anecdotal evidence abounded, there was no documented information about the financing needs of the sector. To that end, we conducted research that included: the responses of more than 700 farmers and participants in two lender focus groups; the work of 30-plus non-profit organizations that helped with farmer outreach and the survey questionnaire; and the assistance of a volunteer, ad hoc advisory board that included farmers, academics, and policy makers. This initial research has led to our dual program initiatives: financing programs and shared research and reporting. Read More.

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