Contract farming is a mechanism where buyers come to prearranged agreements with producers regarding the product’s quality, quantity, and price per unit, to be ready by a predetermined time. This has many potential benefits to farmers for example, it can lower the costs of production. The purpose of this study is to test the hypothesis if farmers who choose to engage in contract farming have increased income over those who do not participate in contract farming. This study utilizes the Uganda CGAP Smallholder Household Survey 2015 from the World Bank Database. Using OLS regression analysis, the data concluded that there was not enough evidence to reject my null hypothesis. In the future, researchers may need more data and/or clearer specifications to generate findings that support my hypothesis.