Watermen’s Microloan Program assists 'Generational Watermen'

The Maryland Agricultural and Resource-Based Industry Development Corporation (MARBIDCO) is once again offering its Maryland Watermen’s Microloan Program to assist “generational watermen” with the purchase of needed equipment via low-interest, unsecured loans. An advantage of this loan program is that if all payments are made as agreed to by the borrower, MARBIDCO will forgive a portion of these payments towards the end of the loan agreement.

“With the support of Maryland’s Governor and General Assembly, changes were made to MARBIDCO’s Maryland Watermen’s Microloan Program during the recent legislative session to better serve the commercial watermen community with the inclusion of the Potomac River Fisheries Commission (PRFC) licensed fishermen and the potential raising of the maximum loan amounts”, said MARBIDCO executive director, Steve McHenry.

Previously, Maryland law limited the loans made under this program to a range of between $7,000 to $15,000. The new law provides more flexibility in this regard. The interest rate charged for a loan made under this program is just 3.00%.

Beginning July 1, the program expands to include watermen holding commercial fishing licenses issued by the Potomac River Fisheries Commission. In addition, the MARBIDCO Board of Directors has recently increased the maximum loan amount available under the program from $15,000 to $20,000 for equipment purchases, up to $30,000 for the purchase of a workboat, and up to $40,000 for the purchase of both a workboat and equipment. The minimum loan amount remains at $7,000.

Under Maryland law, a Generational Waterman is a licensed commercial waterman who can demonstrate that 50% or more of the waterman’s annual income was derived from commercial seafood harvesting. The law further provides that two years of the most recent federal income tax returns must be submitted with an application. The waterman must hold a TFL license from the Department of Natural Resources, or a commercial license to catch finfish, crabs, clams, and oysters, issued by the Potomac River Fisheries Commission. The applicant must also have a minimum credit score of 620.

The State Budget included $500,000 for the microloan program in FY 2025.

Application forms will be available on MARBIDCO’s website beginning on July 1, 2024: www.marbidco.org. For more information, please call Brittany Rawlings at 410-267-6807 or email her at brawlings@marbidco.org.