---
kind: "section"
citation: "7 C.F.R. § 4284.925"
title: "7"
number: "4284.925"
heading: "Allowable uses of grant and Matching Funds."
url: "https://uscodex.org/cfr/7/4284.925"
---

# §4284.925. Allowable uses of grant and Matching Funds.

- (a) **Planning grants.** Funds may only be used to pay a Qualified Consultant to conduct and develop a Feasibility Study, Business Plan, and/or Marketing Plan associated with the post-harvest processing and/or marketing of a Value-Added Agricultural Product.
- (b) **Working capital grants.** Funds may be used to pay the Project's eligible post-harvest operational costs directly related to the processing and/or marketing of the Value-Added Agricultural Product. Examples of eligible working capital expenses include purchasing a financial accounting system for the Project; paying salaries of employees (excluding owners and Immediate Family) to process and/or market and deliver the Value-Added Agricultural Product to consumers; paying for additional Agricultural Commodity inventory (less than 50 percent of the amount required for the Project) from an unaffiliated third party, necessary to produce the Value-Added Agricultural Product; paying for a marketing campaign for the Value-Added Agricultural Product; paying costs incurred in obtaining post-harvest Food Safety certification; and using up to $6,500 of the amount of a grant to purchase or upgrade post-harvest Equipment to improve Food Safety.

## Notes

### Source

Source: 89 FR 75778, Sept. 16, 2024, unless otherwise noted.

### Authority

Authority: 5 U.S.C. 301 and 7 U.S.C. 1989. Subpart F also issued under 7 U.S.C 1932(e). Subpart J also issued under 7 U.S.C. 1627c. Subpart K also issued under 7 U.S.C. 1632b.

### Source

Source: 62 FR 42387, Aug. 7, 1997, unless otherwise noted.
