About Magnolia Guaranteed Lending

Magnolia Bank is an approved USDA lender and our Magnolia Guaranteed Lending team offers unique and competitive financing structures intended to support the capital needs of rural businesses and communities. The MGL leadership team brings over 90 years of combined experience in rural, commercial and USDA related lending and finance. MGL works with both the borrower and the USDA to originate loans while also remaining the chief point of contact for our borrowers to service the loan.

Guaranteed Loan Programs

Business and Industry Program

This program supports rural businesses for a multitude of uses including purchase or development of real estate, machinery or equipment, inventory, acquisition, working capital, refinance, and more. Borrowers can be for-profit or not-for-profit businesses or cooperatives, municipalities or public bodies, and federally recognized tribes. B&I loans focus on economic maintenance or improvement and receive an 80% guarantee from USDA for projects up to $25 million.

Community Facilities Program

This program provides loan guarantees to eligible lenders to develop essential community facilities in rural areas. Funds can be used to construct, enlarge, extend or otherwise improve essential community facilities. Project types include healthcare, fire/rescue/public safety, community activity and cultural facilities, transportation facilities, education, and more. Eligible borrowers are not-for-profit, public bodies, or federally recognized tribes. CF Guaranteed Loans receive an 80% guarantee from USDA for projects up to $100 million.

Rural Energy for America Program

This program supports agricultural producers and rural small businesses for renewable energy systems and/or energy efficiency improvements. Project types include biomass, geothermal, hydropower, wind generation, solar generation, as well as energy efficiency improvements such as HVAC, insulation, lighting, replacement equipment, etc. REAP loans up to $25 million can be used to fund up to 75% of eligible project costs and receive an 80% guarantee from USDA.

Water and Waste Disposal Program

This program provides affordable financing to qualified borrowers to improve access to clean, reliable water and waste disposal systems for households and businesses in rural areas. Eligible borrowers are public bodies, non-profit businesses and federally recognized tribes for projects up to $25 million.

Timber Production and Expansion Program

The Timber Production and Expansion Guaranteed Loan Program (TPEP) provides financial support to qualified lenders whose loan applicants want to establish, reopen, expand, or improve a sawmill or other wood processing facility that processes ecosystem restoration byproducts from USDA Forest Service National Forest System lands, along with Indian forest and rangelands. Eligible borrowers may be individuals, organizations, federally recognized Tribes, or businesses. TPEP loans receive a 90% guarantee from USDA for projects up to $25 million.