Yes, farm related businesses are eligible. Federal financial assistance to agriculturally oriented enterprises is generally made by the United States Department of Agriculture (USDA), but may be made by SBA under the terms of a Memorandum of Understanding between SBA and USDA. Farm-related businesses that are not agricultural enterprises are eligible businesses under SBA’s business loan programs. Financial assistance under the 504 Loan Program is only available for facility enhancement such as fencing, diking, construction of silos, barns, hog and dairy facilities, and farm machinery and equipment with the required economic life span. All farm enterprises are subject to the same eligibility rules as other applicants.
NOTE: Agricultural Enterprises include businesses engaged in the cultivation of soil, produce of crops, and livestock. Farm-Related Businesses are those that supply goods and services primarily used in connection with farming.