Farm Grants Overview

What is a grant?

A grant is money given for a specific purpose, usually with conditions and reporting. Unlike a loan, it is not repaid if you follow the terms. Unlike cost-share, it may not require you to spend your own money first, though many do require a match.

Most grants are competitive. Many more people apply than are funded, and there is no guarantee you will receive one.

Reading a few past funded projects, if available, shows you what a winning application looks like.

• Grant: usually not repaid if terms are followed
• Cost-share: you pay part, the program pays part
• Loan: repaid with interest

Who offers farm grants?

Sources include federal and state agriculture agencies, universities, nonprofits, foundations and some businesses. Programs are often aimed at specific goals, such as conservation, beginning farmers, value-added products, research or community food projects.

Many programs are open to organizations, researchers or groups, rather than individual farmers. Some are open to individuals.

Read eligibility rules carefully to avoid wasting time. If the program is for groups, consider partnering with a local nonprofit or co-op.

• USDA agencies and farmers.gov
• State departments of agriculture
• University and extension programs
• Nonprofits and foundations
• Regional conservation and food groups

How do you find real grants?

Start with official sources. The farmers.gov site, USDA agency pages, your state department of agriculture and your county extension office are good places. SARE publishes information on its own grant programs for sustainable agriculture projects. A phone call to the program contact before applying can tell you whether your project is a fit, and that call costs nothing.

Be cautious with websites that charge to list grants. Legitimate government grant information is free.

Ask local farmers and extension educators what they have used.

What does applying involve?

Applications often require a description of your project, a budget, a timeline, a statement of need and sometimes letters of support. Deadlines are firm. Some require registrations that take time to complete.

Read the instructions fully and follow them exactly. Missing a requirement can disqualify an application. Ask whether the funder shares reviewer comments on applications that were not selected, since that feedback helps next time.

Start early, ask questions of the program officer and have someone else read your draft.

• Project description and goals
• Budget that matches the plan
• Timeline
• Evidence of need or demand
• Required registrations and forms

What happens if you win?

Grants come with rules about how the money is spent, reports you must file and records you must keep. Some pay in installments or after you spend the money. Cash flow planning is important.

Grant money may count as income for tax purposes. Ask a tax professional how it should be handled.

If you cannot meet the conditions, tell the program early.

• Rules on how money is spent
• Reports and records
• Possible payment after you spend
• Tax treatment of the income

How do you recognize grant scams?

Warning signs include requests for fees to receive a grant, promises of guaranteed money, pressure to act immediately, unsolicited calls or messages about a grant you never applied for and requests for bank account details or personal information. Scammers often copy the look of real agencies, so check the address of any website before you type anything into it.

Real government agencies do not ask you to pay to get a grant. If you doubt a message, contact the agency using a number from its official website.

Never share personal information with an unknown caller or website. Report scams to the appropriate authorities.

Are grants a good use of your time?

Sometimes. For a one-person farm, grant writing can take weeks that could be spent farming. Weigh the likely benefit against the effort, and consider cost-share programs, which are often more accessible, or loans that you can control. Think too about what happens after the grant ends. A project that depends on continuing funding may not last.

A local extension educator or a farm service provider can help you decide which opportunities fit your goals.

A small grant that fits your plan is usually better than a large one that pulls the farm in a new direction.

• How many hours will this take?
• How likely is funding?
• Is cost-share or a loan a better fit?

Last reviewed: November 12, 2026. Written by the Rural Farm Life Editorial Team. See our editorial policy.