The process of obtaining funding for your start-up is often the toughest part of getting started. There are several types of funds to pick from One option that frequently not considered is small business grants.
Learn everything you should be aware of when it comes to locating (and getting) an award for small businesses.
What is a Small Business grant?
Small business grants are a way to get investment options — ranging from a few hundred bucks up to one hundred thousand dollars or more – for entrepreneurs and smaller businesses. It’s a good start if you’re yet ready for the more standard and rigorous investment process for venture capital. The grants can be provided by the government, non-profit organizations and social responsibility departments of big companies.
Things to think about when submitting an application for small-business grant
The application process for grant applications takes an extensive amount of effort and time. Apart from filling out the appropriate data, applicants may also need to complete several rounds of interviews or compete in a pitch contest for the chance to get money. If you require cash quickly to ensure your business’s survival it is recommended to look for loans or other quick-term investments initially.
How do you make an application for a small-business grant
As grants are available in various shapes and sizes every application procedure is distinctive. These grants tend to be driven by a mission or are aligned with certain areas, industries or geographic regions, which means that the type of grant you are eligible for differs greatly based the person you’re applying to and your company’s model as well as your company’s area.
19 small business grants that you could apply to
To locate small business grants, look up engines such as Grants.gov or GrantWatch and figure out the options for your state on a state by state basis using the State Business site Incentives Database and the chamber of commerce in your area.
Small-business federal and state sponsored loans
Small Business Innovation Research (SBIR) as well as Small Business Technology Transfer (STTR)
It is administered through the US Small Business Administration, both funds are the biggest federal grants accessible to domestic startups that are working on cutting-edge technology as well as the development of research. Both programs are slightly distinct each STTR is geared towards more technological-focused businesses, whereas SBIR is more geared towards research-oriented projects, however both programs are competitive and involve the public-private sector in partnership with government institutions for critical research.
State Trade Expansion Program (STEP)
Alongside the STTR and SBIR programs In addition, The Small Business Administration also sponsors this grant that grants the local and state governments with funds to aid exports as well as expanding into international markets. They are administered and distributed by the state or local government However, you can find out more from the SBA’s website.
US Economic Development Administration (EDA) Grants
The EDA offers grants at an individual state level, divided according to the industry. Additionally, it provides the use of certain funds to assist businesses after a covid. There are a variety of options available in grants offered by the EDA depending on your company kind. Examples of EDA grants provide funds for outdoor and tourism aiding in planning for statewide as well as financial aid for small businesses that are that are in need, and various other competitions for pitching and entrepreneurship that you are able to take part in. It is possible to apply for the grants directly on their site.
Minority Business Development Agency (MBDA) Grants
A part from part of the US Department of Commerce, the MBDA provides pitch competitions and grant opportunities throughout the year to companies owned by minority groups in the US. There are also activities and resources for minorities entrepreneurs wanting to begin their journey and should be checked the website to find further details.
Rural Business Development Grants
The US Department of Agriculture sponsors various grants that are specifically designed for rural businesses with a small size (under 1 million in annual revenue which employs less than 50 employees). There are a variety of grants you can submit depending on the business plan you have (such for example, whether you want to utilize the funds to support training or technical help such as acquisition of land, equipment, or for communities economic development). You must show the value for rural towns or cities in a way. The grants range from 10k up to $500,000.
National Institute of Health (NIH) Grants
To support scientific, pharmaceutical or biotech-related startups for biotech or scientific startups, companies in biotech, scientific or pharmaceutical industries can apply to the National Institute of Health sponsors numerous grants during the entire year. Search the website for research grants or fellowships as well as additional resources like the development of careers.
Other Opportunities for State and Federal Governments
For opportunities to apply for grants in other federal and state agencies like those of the Department of Energy, the Department of State, or the Environmental Protection Agency, the SBA lists available grant opportunities on their site that you may look through.
Small-business grants sponsored by corporate sponsorship
FedEx Small Business Grant Competition
With three grand prize winners each taking the cash each, and seven first-place winners raking in 20k The stakes are very high for FedEx’s contest to win small businesses. Apart from the prize money the winners also receive web audits and software subscriptions and additional resources such as advice on packaging and financial matters.
Visa Everywhere Initiative
Fintech companies can submit applications to Visa’s grant contest that offers more than $500k worth of cash prizes. The eligible startups are those that work using blockchains, crypto and digital wallets. They also work with alternative loans, merchant services, technology for retail, among others. Visa chooses five regional finalist who then face off in the finals in global competition.
Tory Burch Foundation Fellowship
The program runs for a year and is designed for women who are founders of companies that are in the early stages and earning minimum revenue of $75k. Fellows will receive mentoring, a virtual training, peer-to-peer network, as well as a $5,000 award.
Capital One Business Grant
Businesses owned by black owners can apply to the Capital One Business Grant. The grants are for up to $10,000, the winners also get access to the business hub of Capital One, as well as peer network that is available to small entrepreneurs.
Fearless Strivers Grant
This grant is administered by Mastercard The grant is available to Black owned, female-owned companies. The grantees will receive a total of $10k and also digital business tools as well as mentorship and other. There’s a national version of this grant, as well as local versions in selected US cities.
Small-business grants sponsored by nonprofits
Amber Grant for Women
It is managed through WomensNet, Amber Grant gives more than $30k in cash prizes each month along with annual and quarterly grants. Many business types are eligible that range from marketing and animal welfare.
Operation Hope offers entrepreneurship workshops as well as funding for entrepreneurs who come from communities with poor and underserved services as well as those who cannot access traditional loans or capital. The intense 8-week program blends classes in business, financial guidance as well as networking in order to assist start-ups get their feet on the ground.
StreetShares provides their Veteran Small Business Award, that offers financial aid for those who are veterans and want to begin their own business. The award includes education, coaching mentoring, networking, and other programs designed to aid the military build a career following their service.
IFundWomen has a wide range of grants that are made in collaboration with large corporations. Individual applicants can apply for grants, or apply for their database of all grants that connects entrepreneurs with grants that match their criteria.
SoGal Black Starter Startup Grant
SoGal is an online network with investors and diverse entrepreneurs that focuses specifically on non-binary and female entrepreneurs in order to reduce the gender gap in the field of entrepreneurship. Their grant for startups is designed towards Black women-owned and owned businesses. the awards are ranging from $5k up to 10k.
The Barstool Fund
The Barstool Fund is a nonprofit 30 day fund that was founded by Dave Portnoy (of Barstool Sports fame). The fund was created to assist small businesses in the local area such as bars, restaurants hair and nail salons and dry cleaning companies to deal with the aftermath of the pandemic of covid. Already, they’ve given around $40m to owners of businesses across the nation and helped more than 400 companies.
500 World Flagship Accelerator Program
The accelerator takes applications on a rotating basis. It places entrepreneurs at the center of Silicon Valley for an intensive 4 month program that offers connections, education for business with a 150k capital investment.