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Tennessee Agricultural Enterprise Fund
Industry-Specific · Tennessee Department of Agriculture · TN
The Tennessee Agricultural Enterprise Fund is a state cost-share grant from the Tennessee Department of Agriculture that covers up to 25% of project costs, up to $499,999, for Tennessee agriculture, food, and forestry businesses investing in value-added or processing projects.
The Tennessee Agricultural Enterprise Fund (AEF) is a state grant program run by the Tennessee Department of Agriculture to support the growth of agricultural, food, and forestry businesses across Tennessee. The fund is aimed at helping start or expand operations, with a particular focus on value-added and processing projects — meaning projects that take a raw agricultural product and turn it into something of greater market value, benefiting other producers along the way.
Under this program, grants are structured as cost-share awards: the state will cover up to 25% of eligible project costs, up to a maximum of $499,999, while the applicant is responsible for providing the remaining match funding. This is a competitive grant, not a loan, so awarded funds generally do not need to be repaid, though applicants should confirm specific grant agreement terms with the state.
Eligible applicants include Tennessee-based agriculture, food, or forestry businesses, farmers, local governments, and nonprofits that are investing in value-added or processing projects. This makes the AEF a potentially useful funding source for small business owners in the agricultural supply chain who are looking to modernize equipment, expand processing capacity, or launch new product lines.
Because this is a competitive, round-based program, the deadline is listed only as "check current rounds" — interested applicants should visit the official Tennessee Department of Agriculture website to confirm whether applications are currently open, the exact award amounts available in the current cycle, and detailed eligibility criteria before applying. As of 2026, applicants are encouraged to confirm all current details directly at the official source before beginning an application.
Who qualifies
How to apply
Questions people ask
Is this a grant or a loan?
It's a grant — specifically a cost-share grant, not a loan.
Do I have to repay the funds?
No, grant funds generally don't need to be repaid, but confirm specific terms at the official source.
Who runs this program?
The Tennessee Department of Agriculture administers the Agricultural Enterprise Fund.
Who is eligible to apply?
Tennessee agriculture, food, or forestry businesses, farmers, local governments, or nonprofits investing in value-added or processing projects.
Is this available outside Tennessee?
No, this program is limited to Tennessee-based applicants and projects.
How much funding can I get?
The grant covers up to 25% of eligible project costs, with a maximum award of $499,999.
Do I need matching funds?
Yes, applicants must provide their own match for the remaining project costs.
What kind of projects are prioritized?
Value-added and processing projects that benefit other producers are prioritized.
When is the deadline to apply?
The deadline depends on current funding rounds — check the official site for open application periods.
Where do I apply?
Apply through the official Tennessee Department of Agriculture page at https://www.tn.gov/agriculture/businesses/aef.html.
Is the grant taxable?
Confirm at the source — this is not specified in the available program information.
Is this a one-time or recurring grant program?
The program appears to run in competitive rounds; confirm current round status at the official source.
Can nonprofits apply?
Yes, nonprofits investing in eligible value-added or processing projects can apply.
Can local governments apply?
Yes, local governments are listed among the eligible applicant types.
Opportunity number: not published. Source: curated + verified (official state source, 2026). GetFundedUSA is independent and not affiliated with Tennessee Department of Agriculture; always confirm current deadlines, amounts and eligibility on the sponsor's own page before applying.