FSA Offers New Microloans

FSA is offering up to $35,000 available to small farms; no downpayment required.

Published on: May 13, 2013

The Farms Service Agency in North Dakota and South Dakota is offering direct microloans to small and beginning farmers.

FSA developed the Microloan program to better serve the unique operating needs of beginning, niche and the smallest of family farm operations. Loans of up to $35,000 can are available. No down payment is required.

Microloans are direct farm operating loans with a shortened application process and reduced paperwork designed to meet the needs of smaller, non-traditional, and niche type operations. Apprentice and mentorship programs, non-farm business experience, and farm labor experience are acceptable alternative solutions for helping to meet farm experience and managerial requirements.

Up to $35,000 available to small farms; no downpayment required.
Up to $35,000 available to small farms; no downpayment required.

Operating loans may be used to purchase items such as:
•Livestock and feed
•Farm equipment
•Fuel, farm chemicals, insurance and other operating costs, including family living expenses
•Minor improvements or repairs to buildings
•Refinance certain farm-related debts, excluding real estate
•Operating loan funds cannot be used to finance nonfarm enterprises, including earthworms, exotic birds, tropical fish, dogs or horses used for non-farm purposes (racing, pleasure, show and boarding).

For more information, contact your local FSA office or see www.fsa.usda.gov.

Source: USDA