Get money to start or fund a new farm
USDA microloans fund beginning and non-conventional farmers
Apply for low-interest microloans (up to $50K) via a faster, simpler app
Partner 1:1 with our Farmer Advocate to apply with confidence
Funds can support existing operations or be used to purchase new land
Pricing: $50 deposit for paperwork support today, and fee of $950 only if you get the loan
How it works
What’s a USDA Microloan?
The USDA microloan is a low-interest loan administered through the Farm Service Agency (FSA) specifically designed for “small, beginning farmers, niche and non-traditional farm operations”.
If you’re starting a farm or if your farm doesn’t fit the conventional farming mold, FSA Microloans could be a great fit for you.
What can I do with this microloan?
These low-interest loans can fund operating costs, land purchases, building repairs, and conservation practices.
How much can I borrow?
Farmers can borrow up to $50K from the USDA.
When will I have to pay the loan back?
1-7 years for an operational loan. No more than 25 years for an ownership loan. Loan terms depend on the purpose of the loan and will be determined by your FSA Loan Officer.
Am I eligible for USDA microloans?
You could be a good candidate for these loans if (1) you’re a beginning or non-conventional farmer (2) you’ve found it hard to access credit in the past (e.g. you’ve been denied a loan from a traditional agriculture lender) and (3) you have a few years of farming experience. FarmRaise will walk you through an eligibility quiz before you purchase to further check if you’re a good candidate for these loans.
What is a non-conventional farmer?
The USDA describes farmers that market direct-to-consumer (e.g. via farmers’ markets, restaurants, or grocery stores), vertical farmers, and hydroponic/aquaponic farmers as “non-conventional” farmers.
What’s the interest rate associated with the microloan?
The current FSA microloan interest rate as of May 2022 is 2.875% for operating loans (to fund an existing operation) and 3.375% for farm ownership loans (to purchase a farm, make farm repairs, or fund conservation practices).
How can I apply?
You can apply with FarmRaise to complete an application in minutes, or you can apply through your local FSA office. We will begin processing our next cohort of loans starting June 1st, and you can sign up today and complete your paperwork ahed of time.
Why should I apply with FarmRaise?
We make the application process faster and more straightforward with a simplified digital form. When you submit with us, you can partner 1:1 with a real human (Ian or Angelos on our Farmer Advocate team) to answer your questions and submit an application with confidence. We’re on your team throughout the process and help you put your best foot forward.
How much does it cost to apply with FarmRaise?
We charge $50 to process your application. If (and only if) you get the loan, we charge a $950 fee after you’ve been funded. We only get paid if you do!
Can I talk with a human before I sign up?
Of course! You can chat with one of our Farmer Advocates here.
Farmers trust us to listen to their needs and find farm grants, loans and cost-share programs that ease financial burdens and build farm prosperity.
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