When you are starting your business, nothing sounds better than the idea of getting free money. These are not like business loans. They do not need to be repaid, so you do not have to worry about interest rates, the length of time, refinancing and APR.
There are two minor inconveniences to getting free money. One, they are always specific on what you can spend the money on. This means that if you need to conduct research on a product, a small business grant will only allow you to use for just one use.
Secondly, they are not only challenging to find but also difficult to qualify for. There is a lot of misinformation to sieve through, and a lot of confusing databases discontinued contests and even government restrictions. That is why we have compiled this list the verified places where you can get grants for small businesses.
What Are Grants for Small Businesses?
Before we go ahead and tell you the places you get grants, we must tell you what they are and how they can help your business go to the next level.
A grant is a sum of money that is issued by government agencies or private organizations to growing businesses. While most people say that this is essentially free money, this term does not always capture the essence of what small business grants provide.
This is mainly because the money comes with strings attached. It is specifically meant for specific processes in the businesses and not all processes therein. They are not like loans, so the business owner does not decide how to invest the money.
Additionally, a lot of work goes into the application process, and there are numerous businesses that apply to get them each year. Therefore, there are a lot of hoops to jump, and because time is money, these are not as cost-free as most people put it.
You can use the following tips to apply for a grant.
- Specify the funding need. Start by defining the objectives of the grant and how it would help your business.
- Provide details of your business plan
- Assemble all the business records for the past three years
- Have these reviews checked by experts, especially mentors. Also, professionals with experiences in guiding business owners through the grant hunt.
- You may also want to hire a professional grant writer to improve your chances of getting the funding
Below are organizations that can give you free money to kick start your business.
Small Business Innovation Research Program
The small business innovation research program encourages business owners to research and develop new programs that have commercial potential. Their main aim is to stimulate technological innovations, especially scientific entrepreneurship.
There are eleven government agencies involved in the program, and each has its own unique eligibility guidelines, development topics, and research. They also each have different review applications. The grants usually start at $150,000 and can be increased to a million if your business shows promise of being great.
NASA
Is there anything better than collaborating with one of the biggest institutions on earth? Well, NASA is always willing to help business owners get funding for their research and businesses. There are numerous technological sectors that are important for NASA’s development.
They are mostly interested in renewable energy, energy efficiency. They also continuously look for efficient ways to build spacecraft and how to promote easier take-off. If this is a field you are exploring, go to NASA’s website and find out how you can get that grant.
National Science Foundation
If your business is in the fields of science, engineering, and medicine, you can check out the specific topics that the NSF is currently funding. The topics have a tendency to change from year to year.
The best part is all you need to do to know if you qualify is to subscribe to their YouTube channel. Once your application is in order, you have a higher chance to get grants that will help support your research and get your business at a higher level.
Department of Defense
Is your research aimed at improving services in the navy, army, DARPA’s, and airforce? The department of defense is who you should approach. They will fund and commercialize of your products.
There are also some government agencies that offer small business grants. These are for innovation and research programs. Therefore, you can look at those to see if your research can be supported.
National Institute of Food and Agriculture
If you are doing your research and business in the agricultural field, then the department of agriculture can be of great help to you. The main topics supported are food sciences and nutrition, animal protection, and biofuel products.
Economic Development Administration
This is the US Department of commerce that provides business owners with grants. They mostly support already established businesses and upcoming ones.
They give technical assistance and resources to communities. Thus, supporting economic growth and encouraging innovation and entrepreneurship.
Small Business Development Centers
They help connect the business owners with much-needed financial and networking opportunities. They also provide them with mentorship that helps them acquire essential business skills.
They also get ideas that help them grow and reach deeper into their target market. To find these opportunities, you can search in the local and regional office websites.
They are partially funded by Small Business Administration and local colleges and universities that foster small business and jobs through the provision of educational resources.
Grants for Small Businesses Are For Everybody
Need money to launch your business and help you reach a bigger market? Consider applying for grants. Grants for small businesses can help companies get much-needed cash for business expenses.
For more information on how you can grow your business and improve funding, visit the Finance section of our website.
