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Decline Code 32 Business activity is not eligible.
(NOTE: Use only for EIDLs.)
Economic Injury Disaster Loans (EIDL) are available only to a small business engaged in an eligible business activity. Business activity means the nature of the business conducted by the applicant.
When the applicant, together with any affiliates, conducts more than one business activity, we first determine the applicant's main business activity. Generally, the main business activity is the one that produces the most revenue. We then identify the business activity that was impacted by the declared disaster event. This is called the loss activity. Both the main activity and the loss activity must be eligible in order to be eligible for an EIDL.
In your case, the information you submitted with your application does not meet SBA regulations for an eligible business activity.
Resource: SBA SOP 50 30 8