USDA Microloan Farmer Programs

(disclaimer: Creative Oasis is in no way affiliated with the USDA. We are simply providing access to the information regarding farmer loans.) 

Microloan Programs

The focus of Microloans is on the financing needs of small, beginning farmer, niche and non-traditional farm operations, such as truck farms, farms participating in direct marketing and sales such as farmers’ markets, CSA’s (Community Supported Agriculture), restaurants and grocery stores, or those using hydroponic, aquaponic, organic and vertical growing methods.

Maximum Loan Limitations

The maximum loan amount for a Direct Farm Operating Loan is $300,000.

Loan Limitations

There is no minimum loan amount. The maximum loan amount for either Microloan is $50,000. The $50,000 limit includes any possible outstanding FSA Direct Operating loan balances. A loan applicant can have a Guaranteed Operating loan, Farm Ownership loan or Emergency loan and still qualify for a Microloan.

Your Guide to FSA Farm Loans Cover PageYour Guide to FSA Farm Loans

This guidebook simplifies information on the types of farm loans available; how to apply for a guaranteed loan, direct loan, or land contract guarantee; What you can expect once you submit your application; and most importantly, your rights and responsibilities as an FSA customer.



Current Interest Rates
Program Interest Rates
Farm Operating- Direct 3.250%
Farm Operating – Microloan 3.250%
Farm Ownership – Direct 3.750%
Farm Ownership – Microloan 3.750%
Farm Ownership – Direct, Joint Financing 2.500%
Farm Ownership – Down Payment 1.500%
Emergency Loan – Amount of Actual Loss 3.750%
Effective as of March 1, 2018
Continue below to learn more about Available Farm LoansTargeted Loan Audiences, and Specialty Loans.

*All FSA direct loan applications require the same basic forms. When you meet with your FSA county Farm Loan Program staff, you may be asked to complete additional forms based on applicable loan program requirements for the loan type.

Frequently Asked Questions

Microloan Purposes

Direct Farm Ownership Microloans

  • Make a down payment on a farm
  • Build, Repair, or Improve farm buildings, service buildings, farm dwelling
  • Soil and Water Conservation Projects
  • May be used as a Downpayment Farm Ownership Loan
  • May be used in Joint Financing

Direct Farm Operating Microloans

  • Essential tools
  • Fencing and trellising
  • Hoop houses
  • Bees and bee equipment
  • Milking and pasteurization equipment
  • Maple sugar shack and processing equipment
  • Livestock, seed, fertilizer, utilities, land rents, family living expenses, and other materials essential to the operation
  • Irrigation
  • GAP (Good Agricultural Practices), GHP (Good Handling Practices), and Organic certification costs
  • Marketing and distribution costs, including those associated with selling through Farmers’ Markets and Community Supported Agriculture operations
  • Pay for qualifying OSHA compliance standards (Federal or State)

More Information on USDA Microloans