In many ag retail and grain settlement workflows, digital progress hits a ceiling: liens. When liens attach to grain proceeds, buyers often fall back on older processes—two-party checks, mailed documents, manual lien searches, stop payments, Positive Pay steps, and heavy coordination between farmers and lienholders. The result is slower settlement and higher operational friction at the exact moment when everyone wants payments to move smoothly.
Bushel’s research shows why this bottleneck persists: 80% of grain settlement checks are still distributed by paper check, with lien requirements identified as a key driver.
Even when an organization digitizes upstream processes—like invoices, offers, and communications—settlement still reverts to paper when lien compliance requires manual steps. And those steps are difficult to “portalize”: they’re operational, legal, and coordination-heavy.
The Scoop Podcast: why liens stop paperless workflows
On the Scoop Podcast, Fintech Product Manager Nathan Joraanstad frames liens as the hardest part of getting settlement fully paperless: “Liens have been one of the hardest parts of moving grain payments into a paperless workflow,” Joraanstad says.
He emphasizes that the challenge has to be solved for both sides of the transaction. Buyers need risk protection; producers need a better payment experience.
“Grain buyers want to protect their business, and farmers want a better way to get paid,” Joraanstad says.
And he connects Bushel’s product direction directly to the outcomes ag retailers care about most.
“Bushel’s Lien Protection Program helps both sides by reducing paper, cutting manual work, and increasing the speed of payment,” Joraanstad says.
What Bushel is offering: escrow-like ACH plus automated lien review
Bushel’s new program is designed to reduce paper specifically at the settlement stage—even for lien-encumbered payments.
Agribusinesses can pay into an escrow-like account from their accounting system using existing ACH workflows. Once funds are received, Bushel handles the operational lift:
- conduct the lien review
- coordinate with lienholders when needed
- document agreements electronically
- distribute funds to the appropriate parties
Bushel also includes indemnification for the agribusiness against a missed lien. That matters because risk is often the reason lien-related settlement workflows stay stuck in paper—even when teams want to modernize.
Why this matters now: cost, fraud exposure, and speed
Bushel’s State of the Farm research points to strong demand for improvement: 72.2% of farmers dissatisfied with the current manual process say they would likely use a digital alternative to collect signatures and release funds.
Bushel also cites cost and risk research, including that two-party check payments cost approximately $20 per payment, while its Lien Protection Program is expected to average less than half that cost. The program is positioned to reduce exposure tied to delayed checks and check-related fraud, including stolen checks and check washing.
A practical step toward the checkless elevator
Liens are one of the most common reasons settlement reverts to paper. Bushel’s approach moves lien review and distribution into a connected, electronic workflow—while protecting buyers with indemnification.
As Joraanstad puts it, the aim is clear: reduce paper, cut manual work, and increase the speed of payment—so ag retailers can move closer to a checkless grain settlement process without getting stuck when liens appear.
