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# Farmers Innovation Fund wins USDA certification, opening Farm Credit capital to farmer-led agtech startups

Publication Date: 2026-09-08T15:00:00-04:00
Last Updated: 2026-09-08T01:34:44-04:00

Author: Timothy Bueno (https://www.fertilizerdaily.com/author/timbueno/)

Categories: [Trade &amp; Policy](https://www.fertilizerdaily.com/trade-and-policy/), [AgTech &amp; Research](https://www.fertilizerdaily.com/agtech-and-research/), [Startups](https://www.fertilizerdaily.com/agtech-and-research/startups/), [United States](https://www.fertilizerdaily.com/trade-and-policy/united-states/)

![Nice cows and a giant American flag.](https://www.fertilizerdaily.com/wp-content/uploads/2026/09/nice-cows-and-a-giant-american-flag-stockpack-istock-scaled.jpg)

The Rural Business Investment Company model lets producers pick startups, run field trials and hold pooled equity in the companies they validate.

The U.S. Department of Agriculture has certified the Farmers Innovation Fund as a Rural Business Investment Company, a designation that allows Farm Credit System institutions to invest as limited partners. The fund, announced July 20, channels early-stage capital to companies developing technologies that improve farm productivity, profitability and resilience.

What separates the fund from a conventional [agtech venture vehicle](https://www.fertilizerdaily.com/20260515-agtech-vc-funding-2026-on-track-for-slight-decline-as-deal-count-falls-sharply-ai-not-filling-the-gap/) is its farmer-first structure. Producers in the network help select portfolio companies, run field validation trials and hold pooled equity in the startups they prove out. The model is designed to shorten the path from invention to adoption by testing technologies under real farming conditions before broad market launch.

"This certification connects our rural entrepreneurs with the resources they need to bring new technologies to market while ensuring farmers can evaluate those tools where it matters most — right in the field," said USDA Rural Development Deputy Under Secretary Joe Gilson.

The fund is a joint initiative of AgLaunch Holdings and has secured multiple limited partner commitments. USDA says the program will prioritize projects that strengthen agricultural supply chains and create new opportunities for rural businesses, entrepreneurs and manufacturers.

Source: [USDA Rural Development](https://www.rd.usda.gov/newsroom/news-release/usda-rural-development-certifies-farmers-innovation-fund-expand-private-investment-rural-businesses-0)

Tags: [AgTech](https://www.fertilizerdaily.com/tag/agtech/), [investment](https://www.fertilizerdaily.com/tag/investment/), [precision agriculture](https://www.fertilizerdaily.com/tag/precision-agriculture/), [United States](https://www.fertilizerdaily.com/tag/united-states/), [USDA](https://www.fertilizerdaily.com/tag/usda/)

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