Small horse, female, on branch rural establishment (5,4)

I believe the answer is:

hobby farm

I'm a little stuck... Click here to teach me more about this clue!

'rural establishment' is the definition.
I don't know anything about this answer so I can't judge whether this works.

'small horse female on branch' is the wordplay.
'small horse' becomes 'hobby' (I am not sure about the 'small' bit.).
'female' becomes 'f' (common abbreviation).
'on' is a charade indicator (letters next to each other).
'branch' becomes 'arm' (synonyms).
'hobby'+'f'+'arm'='HOBBY FARM'

Can you help me to learn more?

I've seen this clue in the Sydney Morning Herald.

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