Get Top Business Grants
Top business grants do not require repayment and are available from multiple sources. Learn how to find and get the top business grants available today.
Small businesses have unique financial needs, especially during their first years in operation. Fortunately, numerous types of grants for smalls businesses are available. The top business grants do not require repayment, but competition for this type of funding is fierce. Grants are available from federal, state, county, local and private sources. The keys are knowing how (and where) to find them, followed by completing the application process on time and with accuracy. Read ahead for more information on how to find and acquire the top business grants available today.
Business Grants - Here’s What They Are
A grant is a sum of money disbursed to an individual or organization based on applicable qualification factors. Unlike loans, grants do not require repayment unless the funds are misused (spent outside the terms of disbursement) or not used at all. Many grants are awarded to be used for specific purposes. A small business or business grant is typically targeted at a particular industry demographic, marketing region or business type. Business grants might also be awarded to specific segments of a community. For example, some grants are only available for female or minority-owned businesses, while others are only available for non-profit organizations.
Business grants are equally as helpful as they are challenging to obtain. Because no repayment is generally required, funding is limited and competition to receive grant money is fierce. Grant amounts are also greatly varied from program to program. Some business grants might total $500 or less, while others surpass six figures. Having limited or no repayment requirements is perhaps the top feature associated with business grant programs. Receiving grant money from one organization does not prevent you from obtaining grant funds from multiple others. This means you are permitted to apply for as many types of business grants as are relevant to your company’s qualification factors. To ensure you have the best chance to get the business grants your company needs, it is necessary to spend time researching the following:
Types of business grants available (and who awards them).
Types of business grants for which your company qualifies.
What your company will do with the grant funds (why your company needs the assistance).
Application process and deadlines for each grant program to which you apply.
Additional rules, regulations and restrictions.
Types of Businesses Qualified to Get Grants
Small businesses are the primary type of businesses qualified to get business grants but other business types also qualify. Small business grants are funded by organizations such as the Small Business Association (SBA) and many more, as a collective effort to encourage the establishment and success of U.S. small businesses across the country. When small businesses succeed in America, the national economy also benefits. Small businesses are owned and operated by a wide variety of people, however, including businessowners with diverse ethnicities and socioeconomic disadvantages. Some business grants are therefore only available to Hispanic, African American, or Asian entrepreneurs (to name a few). Several business grants are designated for female businessowners, special needs groups, veterans organizations, education groups and non-profits.
Categories of Grants (Part A - Types)
Grants are essentially categorized based on type, source, and purpose. Direct, resource and training and tax relief grants are three common types of business grants. Direct grants are the type most businessowners consider when pursuing grant funds. These grants are purposed to pay some or all expenses associated with specific business projects or needs. Resource and training grants help businesses who need to develop projects but do not have the resources to make it happen. Tax relief grants offer reprieve from tax obligations for qualified small or start-up businesses. This helps businesses make a viable profit during their first years in operation, when success is often the most tenuous.
Soft loans are technically not business grants but are a possible alternative if your company does not qualify for grant programs (but does qualify for business financing). Repayment terms on soft loans are friendlier than those offered by regular bank or other financial institution loans. For example, some soft loans are offered at a six percent APR on up to $25,000.
Categories of Grants (Part B - Sources)
Grants are funded by a variety or sources. Government grants are funded by federal, state, county and local government organizations. Business grants are also funded by private individuals and organizations, charitable organizations, religious institutions, and cause-based advocacy groups. Please note: Many federal grants are disbursed to state or regional organizations, which then award the funds based on a wide variety of qualification factors, including:
Likelihood of success.
Categories of Grants (Part B - Recipients and Purpose)
The primary purpose of all business grants is to assist businesses financially to help improve their chances of success. Business grants are also designed to help U.S. minority groups experience increased opportunities in both the business and corporate worlds. Some grants are funded to help socially or environmentally conscious business achieve their goals. Essentially, business grants are awarded to:
Veterans-run or veterans-based advocacy businesses.
Small businesses and corporations.
Requirements for a business to qualify for grant funds depend largely on each provider’s qualification policies. Your company’s mission statement, on-record activity and needs must match the purpose of the grant. For example, an environmental advocacy business is unlikely to receive a grant designed to help a start-up technology business succeed. A large corporation will not qualify for a small business grant. A company owned and operated by men will not receive grants for women businessowners.
Grants Help Start or Grow a Business - Here’s How
Grants help start or grow a business by infusing cash into its budget without the need for repayment. Expansion costs money and grants help fund the expansion you need to grow your business for long-term success. Business grants also help underprivileged or socioeconomically challenged businesses get the chance at success they otherwise might not have had.
Business Grants - Application Process
Before applying for a grant, you must first create a business plan and pitch. Research the grants for which your business might qualify. Study the application requirements and submission deadlines. Make certain all your submitted information is accurate to avoid processing delays or disqualification. Apply as early as possible (to beat out the competition), but before the deadline expires. Most grant applications are submitted online as well, which makes the application process convenient when completed correctly.