grant application business plan

How to write the business plan for a grant application?

Small business grants give free money to startups and existing businesses to help them flourish. 

Free money doesn’t come easy, though. You’ll need to first research and find the right grant for your business. Then you need to persuade the body offering the grant why they should give one to your business.

Most grants have their own specific application process, where businesses provide information so the body can decide whether it fits their specific funding criteria.

It’s important to accompany your grant application with a strong business plan. Besides, including most of the basic information that goes into a grant application (like the service or product you’re offering and your staffing plan) it also includes a financial forecast - showing the funding body how profitable your business is likely to be. 

Writing a business plan also provides another opportunity to convince them that your business objectives align with the grant’s purpose.

If you haven’t written a business plan for a grant application before, don’t worry. 

From information on where to find small business grants, to what you need to include in a business plan for a grant application, here are some key points to consider when applying for a small business grant.

In this guide:

What’s the difference between a small business grant and a loan?

What are the main types of small business grants, where can i find small business grants in the uk, where can i find small business grants in the us, what is a grant application, what information do i need to have before applying for a small business grant, why do you need a business plan for a grant application, what should you include in a business plan for a grant application.

• How long should a business plan be for a grant application?

What tool should I use to write my grant application business plan?

Business plan templates for a grant application, key takeaways.

Let's first define what a small business grant is, explore why they are given out and then compare it to a business loan.

What is a small business grant?

Small business grants are financial assistance provided by governments, organizations, or institutions to support small businesses in various stages of their development.

Unlike loans, which require repayment with interest, grants are typically awarded as non-repayable funds.

These grants aim to encourage entrepreneurship, stimulate economic growth, and address specific societal needs.

For example, a small retail store might receive a grant to upgrade its storefront and enhance its customer experience, while a local farmer could obtain a grant to invest in sustainable farming practices.

Grants come in different forms and may target specific industries, demographics, or geographic regions.

They can cover a wide range of expenses, including equipment purchases, marketing efforts, research and development projects, and employee training.

Small business owners often apply for grants to access resources that would otherwise be financially out of reach.

However, it's important to note that grant funding is competitive, and applicants typically need to meet certain criteria and demonstrate the potential impact of their proposed projects.

How it differs from a business loan?

While both grants and loans provide financial assistance to businesses, there are key differences between the two.

Unlike grants, business loans must be repaid over time, usually with interest.

Loans are typically provided by banks, credit unions, or other financial institutions, and they require collateral or a good credit history to secure.

For example, a small manufacturing company might take out a loan to purchase new machinery or expand its production facilities.

One of the main advantages of grants over loans is that they do not need to be repaid, which can significantly reduce the financial burden on small businesses, especially those in the early stages of development.

Additionally, grants often come with fewer restrictions on how the funds can be used compared to loans, which may have specific repayment terms and conditions.

However, grants are typically more competitive to obtain, and applicants may need to undergo a rigorous application process, including demonstrating the feasibility and impact of their proposed projects.

Understanding these differences will help you determine the most suitable financing option for your business needs and goals.

Need a convincing business plan?

The Business Plan Shop makes it easy to create a financial forecast to assess the potential profitability of your projects, and write a business plan that’ll wow investors.

There are four main types of small business grants:

Government grants

Research and development grants, startup grants, non-profit grants.

Let's take a look at each one in more detail.

Government grants are funds provided by the government to support various types of businesses, ranging from start-ups to established enterprises.

These grants are often aimed at fostering economic growth, innovation, and job creation within specific industries or communities.

For instance, a government grant might support a small retail business in upgrading its technology infrastructure to enhance online sales, or it could help a local farmer invest in sustainable agricultural practices.

In the UK, small business owners can explore grants offered by entities such as Innovate UK , which provide financial support for innovation and business expansion.

Similarly, in the US, the Small Business Administration (SBA ) offers grants like the Small Business Innovation Research (SBIR) program, which funds research and development projects with commercial potential.

These grants can significantly alleviate financial burdens and provide crucial resources for small businesses to thrive.

Research and development (R&D) grants are specifically designed to support businesses in conducting innovative research and developing new products or services.

Small businesses engaged in R&D activities can benefit from these grants to cover the costs associated with experimentation, prototyping, and market testing.

For example, a small manufacturing company may receive an R&D grant to explore and develop eco-friendly materials for its product line.

In the UK, organizations like the UK Research and Innovation (UKRI) offer funding opportunities for small businesses involved in cutting-edge research projects.

In the US, the National Science Foundation (NSF) provides grants to small businesses conducting high-risk, high-reward R&D initiatives.

By tapping into these resources, small business owners can accelerate their innovation efforts and gain a competitive edge in their respective industries.

Startup grants are tailored to support aspiring entrepreneurs in launching their new ventures.

These grants provide essential financial assistance during the early stages of business development, helping entrepreneurs cover initial expenses such as equipment purchases, marketing efforts, and operational costs.

For instance, a budding entrepreneur in the hospitality industry might receive a startup grant to renovate a space for a new café or restaurant concept.

In the UK, organizations like The Prince's Trust offer startup grants and mentorship programs to young entrepreneurs looking to turn their business ideas into reality.

These startup grants not only provide crucial financial support but also offer valuable guidance and networking opportunities for new business owners.

Non-profit grants are funds awarded by charitable organizations, foundations, or government agencies to support the initiatives of non-profit organizations.

These grants are typically aimed at addressing social, environmental, or community needs, rather than generating profit.

Non-profit organizations can use these grants to fund programs, projects, or operational expenses.

For example, a non-profit focused on environmental conservation might receive a grant to implement a recycling education program in local schools.

In the UK, non-profit organizations can explore grant opportunities from entities like the National Lottery Community Fund  which supports a wide range of community projects and initiatives.

In the US, organizations such as the Bill & Melinda Gates Foundation or the Ford Foundation offer grants to non-profits working on issues such as healthcare, education, and poverty alleviation.

These grants play a crucial role in enabling non-profit organizations to make a positive impact on society and address pressing social challenges.

The financial aid available to your business will depend on where in the UK you're based, your business’ size, your industry and whether you’re a startup or looking to expand your business.

By tapping into these resources, you can uncover potential funding sources to support your business endeavors in the UK market.

Small business grants in the US can be valuable resources for entrepreneurs looking to start or grow their businesses.

Understanding where to find these grants is essential for accessing financial support.

In this section, we'll explore some key avenues where small business owners can discover grant opportunities.

Government agencies

Government agencies at the federal, state, and local levels often offer grant programs to support small businesses.

For example, the Small Business Administration (SBA) administers various grant initiatives aimed at fostering entrepreneurship and economic development.

Small business owners can visit the SBA's website or contact their local SBA office to explore available grant programs.

Additionally, state economic development agencies and local chambers of commerce may also provide information on grants tailored to businesses within their jurisdiction.

Private foundations and Non-profit organizations

Private foundations and Non-profit organizations also play a significant role in providing grants to small businesses.

These entities may focus on specific industries, geographical regions, or social causes.

For instance, a non-profit organization dedicated to supporting women-owned businesses might offer grant opportunities exclusively for female entrepreneurs.

Small business owners can research and identify relevant foundations and nonprofits that align with their business goals and values.

Online platforms like GrantWatch or Foundation Directory Online can help streamline the search process by providing comprehensive databases of grant opportunities.

A grant application is a document or set of documents that is submitted to a grant-giving body with the purpose of securing funding for a startup or an existing business venture. 

Normally, grants are awarded to small businesses with the aim of generating jobs, energizing local communities and strengthening the economy.

While there’s an abundance of grants available to small businesses, obtaining one from the government can be quite tricky. Government grants are renowned for being quite complex and have a lot of stages. 

Each grant will come with its own unique criteria for applying, too. For example, if you’re applying for a research grant from a UK-based foundation then they may require that all your research is carried out within the UK. Or if you’re seeking funding as part of an initiative to make your business more sustainable, you might need to prove your business’s dedication to carrying out eco-friendly practices.

Whether you’re a startup or an existing business, the same rule applies when taking your first step in applying for a grant: research the funding body and the grant in question as thoroughly as possible so you know exactly what they’re looking for in a grant application.

According to Swoop , businesses should prepare the following information before applying for a small business grant:

• Create a realistic financial forecast to show your business’ financial position
• Provide evidence that shows how your business meets the specific grant qualifying criteria
• Specify exactly what your business plans to do with the money allocated
• Provide evidence that your team will be able to successfully meet this objective
• Be clear about the exact outcome you expect and whether there will be a return on the grant funder’s investment. This enables them to evaluate the efficiency of their grant.

The rationale behind writing a business plan for a grant application is simple: funding bodies want to know that they’re giving their money to a business they can trust. 

Writing a business plan will be an opportunity for you to neatly present all the information listed above. If you're not sure how to go about structuring a business plan, you can use business plan software. Most business plan software comes equipped with an inbuilt structure and instructions, ensuring you include all the information a funding body expects to see.

If you’re a start-up, a business plan also provides the perfect opportunity to show the grant-giving body that your business’ mission aligns with its own specific mission and purpose. 

If you’re already in operation, a business plan will show your business’ financial position and, if applicable, the positive impact it’s had on your community thus far. This helps alleviate any fear that your business is at risk of going under, making them more likely to get involved. 

Understanding the importance of a business plan is paramount when it comes to securing grant funding for your small business.

Crafting a compelling business plan is crucial when applying for a grant, as it provides potential funders with a comprehensive understanding of your business and its potential impact.

Let's delve into the key components that should be included in your business plan for a grant application.

Executive summary

The executive summary serves as an overview of your entire business plan, highlighting key aspects of your business in a concise manner.

It should include a brief introduction to your business, its mission, objectives, target market, and unique selling proposition.

For example, a small retail business seeking a grant to expand its operations might include information about its successful track record, customer base, and growth potential in the executive summary.

Company description

The company overview provides detailed information about your business, including its history, legal structure, ownership, and management team.

For example, you could state that your business is owned by four shareholders, each contributing 25% to total equity and that it is a limited liability company based in London.

Description of your product/service

This section outlines the products or services offered by your business, emphasizing their unique features and benefits.

Small business owners should clearly define their offerings and explain how they address the needs of their target market.

For example, a small manufacturing company applying for a grant might showcase its innovative product design or eco-friendly manufacturing processes to demonstrate its competitive edge.

Market analysis

A thorough market analysis is essential for demonstrating market demand and identifying potential opportunities and challenges.

Small business owners should research their target market, industry trends, competitors, and customer demographics.

For instance, a construction company seeking a grant may analyze local housing trends, demand for specific construction services, and competitor pricing strategies to inform its market strategy.

The strategy section outlines your business's approach to achieving its objectives and gaining a competitive advantage.

Small business owners should define their marketing, sales, and operational strategies, as well as any plans for expansion or diversification.

For example, a business services firm applying for a grant may detail its digital marketing strategy, networking efforts, and plans to introduce new service offerings to attract clients.

This section provides insight into the day-to-day operations of your business, including production processes, staffing requirements, and facilities management.

Small business owners should describe how their operations support the delivery of products or services to customers efficiently and effectively.

For example, a hospitality business applying for a grant may outline its staffing structure, customer service protocols, and inventory management systems to showcase its operational capabilities.

Financial forecast

The financial forecast projects your business's future financial performance, including revenue, expenses, and cash flow.

Small business owners should include detailed financial projections, such as income statements, balance sheets, and cash flow statements, to demonstrate the viability of their business model.

For example, a small agriculture business applying for a grant may forecast revenue growth based on anticipated crop yields, pricing trends, and market demand for its products.

Whilst writing your business plan, we recommend that you have the grant-giving body’s mission and purpose open on a separate tab. Where possible, refer back to the foundation’s mission in your business plan to show how it aligns with your business’ own values. 

You could even go a step further by adding buzzwords from the funding body’s mission statement in your plan to show how much you’ve thought it out. 

How long should a business plan for a grant application be?

The length of a business plan for a grant application can vary depending on the specific requirements of the grant provider.

In general, however, it's best to keep your business plan concise and focused, typically ranging from 10 to 20 pages.

Small business owners should prioritize clarity and relevance, focusing on presenting essential information in a compelling manner.

By keeping the business plan concise, applicants can ensure that funders can easily grasp the key aspects of their business and make informed decisions regarding grant funding.

If you haven’t written a business plan for a grant application before, the process can feel a little overwhelming. 

Using business plan software is a great way to create a high-quality business plan quickly and efficiently.

There are many business planning software out there, so it’s important to choose the right one for you. 

Most business plan software generate three full financial statements for you, helping you give the foundation as realistic a picture of your business’ finances as possible. 

For grant applications, we recommend going with a business plan software that lets you model grants. This gives the funding body total transparency as to how exactly their grant would be used within the business. 

Attractive visuals and a striking cover page with your business’s name and logo will also help your business stand out. So we recommend choosing a business plan software that breaks your numbers into colourful, easy-to-read charts and tables and automatically generates a cover page for you. 

If you’re not sure which business plan software to go for to create your business plan for a grant application, we recommend trying The Business Plan Shop . 

As well as having the features listed above, our online business plan software enables you to:

• Create a financial forecast to show your business’ financial potential
• Run a quality check to identify any issues with your forecast before sending it to a funding body
• Follow clear instructions to write a professional business plan
• Draw inspiration from the templates stored within our business plan software
• Track your actuals against your forecast

Above is an example of how your business plan for a grant application might like look in PDF format, including a table of contents and stylish cover page.

By leveraging these tools, you can streamline the process of creating your business plan and present a compelling case for grant funding.

When applying for a grant, having a well-structured business plan is essential to showcase your business's potential and suitability for funding.

Whilst our current business plan templates aren’t designed solely for grant applications, they can easily be tweaked to make it for that purpose.

The structure remains the same as illustrated in the outline above - all you need to do is replace the numbers and text with your own details!

The Business Plan Shop offers you templates for most industries, including retail, hospitality and services.

Now that we've covered the essential aspects of preparing a business plan for a grant application, let's recap the key points to remember.

• Use business plan software such as The Business Plan Shop to turn writing a business plan for a grant application into a breeze.
• Understand the different types of small business grants available: government grants, research and development grants, startup grants, and non-profit grants offer various opportunities for financial assistance.
• Thoroughly research grant opportunities: explore government agencies, private foundations, and nonprofit organizations to find suitable grant programs for your business.
• Tailor your business plan to the grant requirements: customize your business plan to align with the specific criteria and objectives of the grant you're applying for.
• Be prepared to demonstrate financial viability: provide realistic financial projections and evidence of your business's ability to generate revenue and sustain operations.
• Follow application guidelines carefully: pay attention to the requirements and deadlines specified by the grant provider, and ensure your application meets all criteria for consideration.
• Seek assistance if needed: don't hesitate to reach out to business advisors, mentors, or grant specialists for guidance and support throughout the grant application process.

Also on The Business Plan Shop

• How to do market research for a business plan
• How to write a business plan for a bank loan
• How investors analyse business plans
• The difference between a business plan and a business case

Founder & CEO at The Business Plan Shop Ltd

Guillaume Le Brouster is a seasoned entrepreneur and financier.

Guillaume has been an entrepreneur for more than a decade and has first-hand experience of starting, running, and growing a successful business.

Prior to being a business owner, Guillaume worked in investment banking and private equity, where he spent most of his time creating complex financial forecasts, writing business plans, and analysing financial statements to make financing and investment decisions.

Guillaume holds a Master's Degree in Finance from ESCP Business School and a Bachelor of Science in Business & Management from Paris Dauphine University.

Create a convincing business plan

Assess the profitability of your business idea and create a persuasive business plan to pitch to investors

500,000+ entrepreneurs have already tried our solution - why not join them?

Not ready to try our on-line tool? Learn more about our solution here

Need some inspiration for your business plan?

Subscribe to The Business Plan Shop and gain access to our business plan template library.

Need a professional business plan? Discover our solution

Write your business plan with ease!

It's easy to create a professional business plan with The Business Plan Shop

Want to find out more before you try? Learn more about our solution here

• Submissions & Reviews
• Publishing & Journals
• Scholarships
• News & Updates
• Resources Home
• Submittable 101
• Bias & Inclusivity Resources
• Customer Stories
• Get our newsletter
• Request a Demo

How to Start a Grant Program from Scratch

Start a grant and make a real impact that lifts up your community.

Creating a grant and becoming a grant funder may take some effort, but it can be incredibly rewarding and impactful if you do it right. 

It can also—no exaggeration—change the world.

Giving back to your community through starting a grant program is an admirable act of altruism that ensures your resources will be used on specific projects, consistently over time, and in line with your interests, passions, and goals.  

But where do you start when you start a grant? Even if you already have funding secured, launching a grant opportunity can be intimidating and daunting, especially if you’ve never done it before. 

Starting a grant without taking the proper steps can create tax issues, waste resources, or decrease the impact of your final program. 

Launching a grant the right way takes significant planning, research, and thoughtfulness. Here’s how to start a grant one step at a time, to get you from idea to implementation. 

1. Choose your focus and mission 

The issue your grant program addresses should be specific, but not so specific that you’ll have trouble finding applicants. 

Grantmaking goals tend to fall into one or more the following broad categories: 

• Help marginalized groups 
• Educate 
• Save the environment 
• Work toward equality 
• Forward science/knowledge 
• Provide basic needs 
• Spread humanity 

Within one or more of those goals, identify a specific angle for your organization’s mission. Your grant may center on funding housing for the homeless in your city, bankrolling science classes for African-American girls in middle school, or creating more habitats for spotted owls. 

If you don’t have a clear idea for your organization’s focus or mission, consider funding a project based on your passions and interests. For example, do you spend a lot of time outdoors, or do you play music professionally? That could guide your community grant. 

Also consider what helped you find success: perhaps it was an arts program that made you less shy, or an after school math team program that helped you find your strengths. 

Next, make certain that the community actually needs what you want to offer by conducting a needs analysis. There may already be similar programs or grants in place; your grant wouldn’t create much of an impact in that case. Referencing a grant report that outlines existing programs in your area can save you a lot of time and help you focus your grant on real needs. 

Bottom line: when you start a grant, choosing a mission should be a careful consideration of your areas of interest and the needs of those you want to help. 

2. Determine whether you need to set up a foundation 

Private foundations often fund grants from one source—like an individual, an estate, or a corporation. They are tax-exempt and managed by a director or a board of trustees and allocate their money to nonprofit organizations who apply for funds. 

If you have private funds with which to establish your grantmaking program, you’ll likely want to establish an incorporated private foundation. 

If you’re planning to fund your grants via a fundraising plan and public donations, you’ll likely need to establish a public charity, community foundation, or nonprofit organization. These organizations are also tax-exempt and are funded by public donations or grants from larger entities. 

If you don’t care about the tax benefits of offering grants, your options are wide open as long as you have funding secured. You can distribute your money as you’d like, and focus on the nitty gritty of determining your mission and how you will collect, review, and accept proposals. 

However, the vast majority of people and groups establishing grants definitely want to take advantage of the tax benefits. 

Because foundations involve significant start-up costs and efforts, you may consider running your grant through an already established foundation, charity, nonprofit, or other organization. This is a good option if you:

• Don’t mind working with a larger group
• Are comfortable giving up some control
• Can locate an organization that shares your mission and goals
• Don’t wish to run your own foundation

If this option sounds best to you, begin by researching possible organizations to work with and contacting their leaders with your grant idea. In this case, you’ll want to skip down a few steps and firmly establish your grant’s funding, focus, and mission before you go any further. 

Otherwise, continue to the next step to learn more about starting your own grantmaking foundation.

3. Consult with legal and tax professionals 

You’ll want to consult with an attorney, accountant, and/or financial advisor to validate your decision to set up and incorporate a foundation (or not). 

These professionals can also help you with the following documents and forms: 

• Articles of incorporation
• Foundation bylaws 
• Tax-exempt status (IRS Form 1023)

While incorporating and achieving tax-exempt status are not required, they are highly recommended for most people who wish to start a private foundation. 

Having tax-exempt status saves you from having to pay the government for your charitable endeavors and increases the impact of your grant program. 

Incorporation allows your foundation to become its own legal entity, which ensures that it can continue even after your involvement ends. It also ensures that you will not be personally liable if legal issues arise.

4. Assemble a Board of Directors 

Once you’ve created your grantmaking entity, it’s time to put together a Board of Directors or panel of trustees. The size of this group can vary, but every one should have a few things in common: 

• Passionate about the mission of the grant 
• Available to dedicate time and energy to your cause
• Knowledgeable about some aspect of your grant program or mission 

It’s completely acceptable to add friends or acquaintances to your board. But it’s also important to achieve diversity: not only is it the right thing to do, but it will help your foundation to have a board with a wide range of experiences and knowledge. 

Consider an application process for your board. You can even use Submittable to collect, review, and select board member applications much in the same way you’d use it with grant proposals. 

5. Determine grant funding details

Finally, with the assistance of your new board, it’s time to dig into the details of your grant funding. 

Depending on your goals, your mission, and the funds you have available, you need to make decisions about both time and money. More specifically, you should focus on three questions: 

What’s the best size for your grant program? 

Do you want to give a very large amount of money to one large organization, like some federal grants and government grants do? Or do you want to give a series of microgrants to dozens, hundreds, or thousands of grantees, as you would with small business grants or small business loans? 

Depending on your program, one avenue could have a much larger impact than the other. 

What’s the best duration for your grant program? 

Different grants have different lifecycles. Some run annually, some run seasonally, and others run continuously. 

Which grant lifecycle gives you enough time to execute on administrative tasks while also allowing your money to make a difference?

How will grant funds be used? 

As the one awarding funds, you get to decide exactly how grant funds can be used by grantees. 

You can be as strict or lax as you’d like—although in recent years, the trend in philanthropy has been to give grantees more leeway to spend their grant money on general operating costs or adjacent expenses. 

Remember: these funding details are not set in stone and you can make changes as you learn. When you start a grant program, you will make mistakes and require adjustments (and that’s okay!).

6. Write a business plan 

Next up: your business plan. Specifically, when you start a grant program, your business plan should include details on how you’ll allocate the program’s funds, and what resources you’ll need to make the program efficient and effective. 

You want to strike a smart balance between spending on grants versus administrative and operational costs. After all, effective grant management requires having sufficient resources. 

Luckily, your board of directors will be there to help you through each part of this step, from allocating spending to hiring. 

7. Write a marketing plan 

Branding and marketing are your next project. You’ll need a logo and tagline, and you’ll need to establish your tone and voice. You’ll need a website and social media accounts, too. 

You’ll also need to start thinking about brand awareness and your marketing budget for advertising and PR. 

Be sure to reserve part of your marketing budget for advertising your call for grant proposals.

8. Establish the grant’s terms

Writing out a grant’s guidelines at this point should be pretty straightforward since you’ve already determined your mission, your focus, your funding details, and your lifecycle. 

The grant’s terms and guidelines should include absolutely everything that a grant writer would need to know to apply, including: 

• All important deadlines 
• All grant requirements 
• All application requirements 
• The grant’s goal/mission 
• The amount of the grant
• The grant’s timeline 
• The grant’s reporting requirements 

Once you have your guidelines, format them so that they’re easy to read and accessible on a landing page. 

Make certain that your landing page is branded and easy to find for grant writers and grant seekers. Submittable’s grant management system makes it easy to set up your branded landing page and guidelines. 

Want to speed up your grant management process?

Submittable simplifies even robust grant review processes to save you time.

9. Set up an application process 

It’s finally time to set up your grant application online so you can start accepting grant proposals.

With the help of your grant administrators, use a grant management platform like Submittable to build your application form. 

When creating your grant application form , find a happy medium between asking for too much information (which creates a barrier to applying) and not asking for enough information (which makes it hard to pick the best applications). 

The length of your application should also reflect the size and heft of your grant. A grant writer will put more time and effort into a government grant or federal grant worth millions, but less time into a small business grant that is for a few hundred or a few thousand dollars. 

Submittable’s form builder has the fastest implementation of any platform by a long shot, and our features make it easy to create responsive, accessible forms with logic and conditions that fit your exact needs. 

Plus, Submittable’s eligibility quizzes save you and applicants time by screening out unqualified candidates before they even get to your application.

10. Organize a review process and post your call for proposals 

Assemble a review board and a process for reviewing grant applications and picking successful grant proposals. 

Considerations for your review board: 

• How many people will you need to review grant proposals? 
• Will any or all of these people need specific expertise? 
• How will they be compensated? 
• How much time will they need to dedicate to you? 
• Where will your reviewers be located? Will they be remote? 
• What kind of training will your reviewers require? 
• How will you ensure diversity and inclusion on your board? 

Considerations for your review process: 

• What will your scoring rubric be? 
• How many rounds of review will you require? 
• Will you engage in anonymous review, or keep any fields hidden? 
• How will you minimize bias during your process? 
• How long will this process take? 
• Will you share review comments or notes with your grant applicants? 
• How will you determine the final decision? 

Submittable makes it easy to systematize almost all of these considerations, making your review process more efficient, more effective, and less prone to bias. 

One of Submittable’s many review features includes multiple rounds of review, so that you can easily divide and conquer even the largest and most complex grant application processes. 

Welcome to the world of giving 

Establishing a grant the right way takes time, resources, effort, and care. But even small business grants and grants for individuals can change lives and shape the world we live in. A grant award of any size can make your community better.  Start a grant, change the world.

Once you establish your foundation, create your board, and turn your thoughts into a mission, Submittable can help you with every detail of collecting and reviewing grant applications.

Making a grant is work, but it doesn’t have to be quite as much work as it used to be. 

Sarah Aswell is an editor and content strategist at Submittable. She’s also a writer and stand-up comedian who gets rejected via Submittable all the time. You can read her comedy criticism at Forbes , follow her on Twitter , or learn more about her creative work on her website .

Better grants management starts here

Try the trusted and intuitive option for streamlined grants management.

Watch a demo

About Submittable

Submittable powers you with tools to launch, manage, measure and grow your social impact programs, locally and globally. From grants and scholarships to awards and CSR programs, we partner with you so you can start making a difference, fast. The start-to-finish platform makes your workflow smarter and more efficient, leading to better decisions and bigger impact. Easily report on success, and learn for the future—Submittable is flexible and powerful enough to grow alongside your programs.

Submittable is used by more than 11 thousand organizations, from major foundations and corporations to governments, higher education, and more, and has accepted nearly 20 million applications to date.

HOW IT WORKS

How to Write a Grant Proposal for a Small Business

Like a business plan, it is a challenge to complete a winning grant proposal, but if you are passionate about your business, then it is a small hurdle to overcome. Each grant is different in its requirements, but most of them ask for the same basic things as follows.

What is a Grant Proposal?

A grant proposal is a formal written request that someone, typically a potential donor willing to give grant money to an organization or cause based on merit, gives you financial assistance. There are many kinds of small business grants: for social service organizations by local and state government agencies and private organizations, for research projects and public health initiatives, and even for business ventures.  

Steps To Write a Grant Proposal for Small Business

Below are the steps to guide you through the process:

1. Research Grant Opportunities:

Start by researching available grant opportunities that align with your small business’s industry, goals, and needs. Look for grants from government agencies, non-profit organizations, and private foundations that support businesses like yours.

2. Read Guidelines and Requirements:

Once you’ve identified potential grants, thoroughly read and understand their guidelines and requirements. Each grant may have specific eligibility criteria, funding amounts, application formats, and deadlines.

3. Define Your Project or Business Need:

Clearly articulate the purpose of your grant proposal. Describe the project or business need that the grant will support and how it aligns with your company’s mission and objectives.

4. Craft a Compelling Executive Summary:

Write an engaging executive summary that succinctly summarizes your grant proposal. This section should highlight the most critical points of your project, emphasizing its significance and potential impact.

5. Outline Project Goals and Objectives:

Outline the specific goals and objectives of your project. Clearly state what you aim to achieve through the grant funding and how it will benefit your small business and the community.

6. Explain the Methodology:

Detail the methods and strategies you plan to use to accomplish your project goals. Provide a step-by-step explanation of how you will execute the project and measure its success.

7. Create a Budget:

Develop a detailed budget for your project, including all the expenses you anticipate. Be thorough and realistic in your estimates. Some grants may have specific budget formats that you must follow.

8. Demonstrate Sustainability:

Show how your small business plans to sustain the project’s impact beyond the grant period. Grant providers often look for initiatives that can continue making a difference even after the funding ends.

9. Include a Strong Organizational Profile:

Highlight your small business’s history, achievements, and expertise in the field. Demonstrate your business’s capability to successfully implement the proposed project.

10. Emphasize the Impact:

Clearly communicate the potential positive impact of your project on your small business, the community, or the industry. Use data and evidence to support your claims.

11. Review and Edit:

Go through your grant proposal multiple times to check for errors, consistency, and clarity. Consider having someone else review it as well to get a fresh perspective.

12. Submit the Proposal on Time:

Submit your grant proposal before the deadline. Late submissions are generally not accepted, so make sure you allow enough time for any unforeseen delays.

13. Follow Up:

After submitting the proposal, follow up with the grant provider if you don’t receive a response within the expected timeframe. Some grants may have a specific review process, and it’s essential to stay informed.

Why Write a Grant Proposal?

Grant funding can be a great way to get the money you need to start or expand your business. They are typically less restrictive than small business loans, and the application process is usually simpler. In addition, if your grant proposal is accepted, you may have access to other resources such as mentorship, networking opportunities, and workshops.

Who Can Apply For a Grant?

Not every cause will be eligible for grant funding. Applicants must meet the eligibility requirements outlined in the grant proposal guidelines, which means that they must fit into a certain category.

For example, an organization offering free job training to people who are physically or mentally disabled would be instantly eligible for grants by many granting agencies if it could prove its work ethic, validity, and financial stability. However, a new business start-up would not be as easily funded, since it is difficult to judge the potential success or failure of a company that has yet to go into operation.

What Are the Requirements?

Every grant proposal has different requirements, but most ask for the same basic information. These typically include:

• The organization’s history and mission
• What the grant money will be used for
• A detailed budget
• The impact the grant will have
• The organization’s financial stability
• A cover letter

It is important that your plan clearly states the specific purposes for which grant funds were requested, along with all the details about how they will be used and how much money will be required. Your proposal should also contain some personal information about yourself or your company, as well as your contact information.

What is the Grant Proposal Process?

• Your first step is to identify the grant you want to apply for and read the guidelines carefully.
• Gather all the necessary information – this will typically include your business plan, financial statements, resumes, and letters of recommendation.
• Complete the grant application and make sure you submit everything on time.
• Wait to hear back – if you are successful, congratulations! If not, don’t be discouraged and reapply the next year.

Types of Small Business Grants Available

There are many different types of grants that small businesses can apply for. The most common are federal grants, state grants, and local grants.

Federal Grants : These grants are awarded by the United States government to eligible organizations and individuals to support specific programs and projects. There are many different types of federal grants, and the application process is typically very competitive.

State Grants : State grants are awarded by state governments to eligible organizations and individuals to support specific programs and projects. The grant application process for state grants is typically less competitive than for grants from the federal government, but the awards are typically smaller in size.

Local Grants : Local grants are awarded by local governments to eligible organizations and individuals to support specific programs and projects. These grants typically have less stringent qualifications than federal or state grants, but the application process is typically more intensive due to the smaller number of available funds.

How Can I Find Grants for My Business?

There are many ways you can find grants for your business. The first step is to conduct an internet search for “grants for small businesses.” This will yield a variety of results, including government websites, private grant-making organizations, and online directories.

The next step is to identify which grants are best suited for your business. The most important factor to consider is the eligibility criteria of the grant. Each grant has its own set of qualifications, so take the time to review these guidelines carefully.

The final step is to complete and submit your grant application form before the deadline has passed. Although it may seem intimidating, completing a grant requires only a few hours of work and can have substantial benefits for your business down the road.

How to Write a Grant Letter for Small Business?

Although there is no set standard for a successful grant proposal, it usually includes a combination of all or most of the same elements. Here are some tips for writing a grant proposal for your nonprofit or small business.

To write an effective grant proposal, you should include the following elements:

Cover Letter

Table of contents, executive summary.

• Needs Statement & Problem Statement

Project Description

• Methods, Project Management Plans & Timelines

A good cover letter introduces the grantor to the business and extols its virtues about why the business is ideal for the grant. Make sure to cater to the specific grant and not speak in generalities as if you are applying to every financing source under the sun (even if you are).

This section helps the grantor flip right through to the specific section he wants to see. Make the grantor’s life easier and display your professionalism and courtesy at the same time. Our non-profit business plan template includes each of the items to include in your Table of Contents.

The executive summary of a document summarizes the rest of it. In this document, you should pinpoint the main reasons the grant is needed and how it will solve the problems of the grantee. The amount of small business funding, as well as information about the venture, should also be listed. Use this part of the document to convince the grantor that funding your business is the greatest idea ever and they’ll continue reading the rest of the proposal.

Needs Statement & Problem Statement

In this section of the document, detail the needs and problems that the project or venture is fulfilling and solving. Conduct research and show that you have done your homework. Answer key questions: What is the scope of the problem? What will your business do that someone hasn’t or can’t easily do in the future? Show that you fill a void in the market and that you need the grant to do so. Be concise and to the point.

The project description section is the main section of the small business grant proposal. This section is written best by separating different issues and ideas into separate sections. This will make it easier for you to write the section by focusing on one idea at a time and make it easier on the reader as well since the section won’t jump all over the place.

Goals & Objectives

The project goals section doesn’t list anything in intense detail but gives the reader an idea of what the potential grantee is trying to achieve.

The objectives section includes measurable aspirations of the venture such as achieving a hold of a certain percentage of the estimated market. Break down objectives in a bulleted list so it’s easier to read.

Methods, Project Management Plans, & Timelines

This section will show the reader how objectives will be achieved. The methods, plans, and timeline of implementation for those methods and plans will also be shown. Visual timelines are best to show the reader exactly where everything fits into the scheme of things as well as when. This section shows the reader you not only have goals and objectives but that you also know how to achieve them using a detailed well thought out plan.

Many government grants will have stringent personnel requirements because they want you to create employment with the money that they are giving you. If the grant needs specific information or provisions regarding personnel, make sure your personnel planning matches those requirements. Also, make sure that your objectives match personnel planning. Aggressive objectives might have to be matched with substantial growth in employment in certain industries.

The process of writing a grant proposal can seem daunting, but with careful preparation and organization, it can be a relatively easy task. By following these simple steps, you can increase your chances of being awarded the grant money you need to help your small business grow.  

How to Finish Your Business Plan in 1 Day!

Don’t you wish there was a faster, easier way to finish your business plan?

With our Growthink’s Ultimate Business Plan Template you can finish your plan in just 8 hours or less!

OR, Let Us Develop Your Plan For You

Since 1999, Growthink has developed business plans for thousands of companies that have gone on to achieve tremendous success.

Click here to see how our professional business plan writers can create your business plan for you.

Small business grants: 20 options to apply for free funds for your business

No matter what kind of small business you own, there are grants available to help your business grow. Read on for details on grant options and databases.

Ready to start your business? Plans start at $0 + filing fees.

by   LegalZoom staff

Read more...

Updated on: February 15, 2024 · 14 min read

• What are small business grants, and who is eligible to receive one?

Grants for starting a small business

Small business grants for women, small business grants for minority groups, business grants for veterans, business grants for startups, applying for a small business grant: 4 process tips.

Looking for a little financial assistance to help launch or grow your small business? Check out these grant opportunities—including LegalZoom’s Fast Break for Small Business grant program.

Small business grants offer funds to grow your business in a variety of ways. In many cases, you can use grants for things like operations, marketing, or expanding your team. Finding out which grants you may be eligible for is crucial so that you can start applying.

In this article, we'll cover the basics of grants and give you tips about how to score more of them.

What are small business grants, and who is eligible to receive o ne?

Small business grants are amounts of seed money given to entrepreneurs  to build their businesses. Grant money is considered “gifted," and you are not required to pay it back. Sometimes, you may need to pay taxes on the amounts received, so please consider this and talk to a tax professional.

To secure a grant, you may have to do things like:

• Meet eligibility requirements
• Submit applications
• Go through interviews

In exchange, you could be awarded financial resources to  build your brand , team, and operations.

Government entities or private businesses establish most grant programs because they want to help others succeed.

Tip:  Search grant databases, such as  GrantWatch , to find available grants in your industry. GrantWatch is an online hub for more than 26,000 grants in the United States and Canada in which you can browse various funding opportunities easily by filtering your specifications.

Grants vs. loans: What's the difference for entrepreneurs?

A  loan  is funding you must pay back to the creditor who loaned you the money. In contrast, a grant is “gifted" money you don't need to pay back.

You will have to apply for both grants and loans, but a loan application considers your ability to repay the money, while a grant application considers your merit as it applies to the rules of the grant.

If you’re considering a loan, LegalZoom’s Fast Break for Small Business grant fund administrator, Accion Opportunity Fund , is an inclusive Community Development Institutions Fund (CDFI) dedicated to helping small business owners. They provide support through affordable small business loans, coaching, educational resources, networks, webinars, and policy advocacy. 

4 types of grants available to small businesses

Grants of many types are available to small business owners and are grouped into four main categories. Your eligibility for these grants will depend on your products and services, how you own your business, and your business's mission.

The four types of grants available to business owners are:

• Federal grants : The government gives grants to stimulate the economy. These grants are drawn from the U.S. general federal revenue.
• State grants : These can be smaller than federal grants, but because of their state-specific requirements, the competition is often slimmer. This makes them more attainable for many organizations. Even though they may be smaller than a federal grant, they can still be a much-needed financial boost.
• Local grants : Small establishments are the main focus of these grants that directly stimulate the community around them.
• Corporate grants : These grants, given out by corporations, can have various requirements, come in different amounts, and be suited for specific or broad types of businesses. In most cases, companies set aside money at the beginning of the fiscal year and host competitions to distribute funds.

There's plenty of grant money available for entrepreneurs. Look into funding from the following sources to help your business. These grants were available at the time of publishing and may not still be available.

1. LegalZoom’s Fast Break for Small Business grant program

Together with the NBA, WNBA, and NBA G League, LegalZoom is offering $3 million in grant funding and services to small business owners and emerging entrepreneurs, with a $6 million commitment over three years. Apply today through Sept. 15, 2024, for your chance at a $10,000 small business grant and/or up to $500 in LegalZoom products and services.

• Award amount : $10,000 for established businesses, $500 in products and services for emerging entrepreneurs
• How to apply : Apply on Accion Opportunity Fund’s website .  

2. Grants.gov

The U.S. Department of Health and Human Resources created Grants.gov in 2002. It's a government program operated by the Office of Management and Budget. The program provides resources and assistance for grant seekers to find and receive funding.

• Award amount:  Varies
• How to apply:  Visit grants.gov for details on specific grants.

The website allows you to search for federal grants and check your eligibility before applying for one. You can also track your grant applications once submitted.  

3. Local chamber of commerce

Start by researching grants within your community—your local Chamber of Commerce is a great place to start.

• How to apply:  Reach out to your local  Chamber of Commerce  for information.

Although some grants have stipulations like industry, business type, size, and location, your local chamber of commerce should be able to connect you with grants that fit your situation. Their team can also provide your small business funding services, tips, and resources.

4. Small Business Innovation Research Program (SBIR)

The Small Business Innovation Research Program (SBIR) is a competitive grant program for small businesses. This program helps fund entrepreneurs in the research and development industry to support scientific and technological innovation.

• Award amount:  Phase 1, $50,000–$250,000 for six months or one year; Phase 2, $750,000 for two years (only available for businesses who previously received a Phase I grant).
• How to apply:  Apply with a  specific solicitation  if you meet industry requirements.

A  solid business plan  is a must before you apply. A plan will clarify your business's direction and how it can benefit your community.

5. Small Business Technology Transfer Program (STTR)

Small Business Technology Transfer Programs are similar to SBIRs but focused on the technology industry. This grant is issued to businesses in the technology industry.

These grants help fund innovative technological advancement in many fields with the intention of boosting the economy.  

6. FedEx Small Business Grant

FedEx hosts a small business grant contest to provide funding for ambitious entrepreneurs. The contest has tough competition, with nearly 18,000 applicants for the grant in 2022.

• Award amount:  Up to $30,000
• How to apply:  Visit the  FedEx website  for specific application details.

This grant is open to small business models with a story “worth telling," so if you plan to apply, pinpoint what makes your business unique.

7. National Association for the Self-Employed (NASE) Growth Grant

The  National Association for the Self-Employed (NASE) Growth Grant  was established in 2006. Over the years, NASE has awarded roughly $1,000,000 to entrepreneurs to help grow small businesses.

• Award amount:  Up to $4,000
• How to apply:  Visit NASE's  website  for information on the grant and how to become an NASE member.

You must be a member of NASE to apply for this grant, but winners can receive up to $4,000 to go toward marketing, team growth, and other needs.

Several small business grants are available exclusively to women, and more arise every year to tackle inequality in funding.

8. Amber Grant Foundation

WomensNet founded the  Amber Grant Foundation  in 1998. Its mission is to help aspiring  female small business owners  fund their dreams in honor of Amber Wigdahl, the grant's namesake.

• Award amount:  $10,000–$25,000
• How to apply:  Visit WomensNet's  website  for details on monthly and annual grant gifts. This grant has a $15 application fee.

In the first week of every month, $10,000 is awarded to a woman pursuing her entrepreneurial passions, from “scientific inventors to bakers," according to the WomensNet site. At the end of each year, the foundation also grants one woman $25,000.

9. Live Your Dream Award

Each year, the  Live Your Dream Foundation  grants $2.1 million in educational funds to women on behalf of Soroptimist International. This foundation focuses on women who have survived sexual violence or other traumatic events.

• Award amount:  $1,000–$10,000
• How to apply:  Visit Soroptimist's website  for more information.

The Live Your Dream Foundation offers programs and funding that help women build confidence, advance their careers, and overcome unexpected situations. 

10. Cartier Women's Initiative Award

This grant program is for eco-friendly and sustainable women-owned businesses around the world. Cartier offers three funding types:  regional awards ,  diversity, equity, and inclusion awards , and  science and technology pioneer awards .

• Award amount:  $30,000–$100,000
• How to apply:  Visit the  Cartier Women's Initiative website  for more information on various awards.

11. American Association of University Women (AAUW)

The American Association of University Women not only offers academic and research grants but also grants for career development for women looking to change careers or reenter the workforce.

• Award amount:  $2,000–$20,000
• How to apply:  Visit the  AAUW website  for a timeline and eligibility requirements.

In addition to grants for individual career betterment, the AAUW also grants funds for projects that encourage and jump-start young girls' careers in technical fields.

12. Stacy's Rise Project

Stacy's Snacks is a women-led brand that launched the Rise Project to help women grow their businesses in the food industry. The project offers funding in addition to mentorship and opportunities for community and networking.

• Award amount:  $25,000
• How to apply:  Visit the  Stacy's website  for grant information

Past winners have received more than $450,000 to grow their products with mentorship.

13. Tory Burch Foundation Fellowship Grant

Designer Tory Burch has a fund with the goal of mentoring and uplifting women entrepreneurs across all walks of life.

• Award amount:  $5,000
• How to apply:  Visit the  Tory Burch website  for details on the fellowship program and the foundation itself.

In addition to a monetary grant, the fellowship program offers a yearlong education model with mentorship tailored to your needs. The foundation also offers a peer network of other recipients and a trip to Burch's New York office.

Many small business grants celebrate this diversity by offering grants specifically for minorities to help you and your business grow.

14. Sephora Accelerate

Sephora is a makeup retailer that launched its  Accelerate  grant program to uplift minority business leaders. Each fall, this program helps fund and mentor entrepreneurs in the beauty industry.

• Award amount:  This is a non-monetary award that offers mentorship and a potential Sephora-exclusive product launch
• How to apply:  Visit  Sepora Accelerate  for more information on eligibility and selection criteria.

Though rewards for this grant aren't monetary, they do involve a hefty financial advantage. Winners receive access to a six-month boot camp and are eligible to launch their products directly with Sephora.

16. National Minority Supplier Development Council (NMSDC)

The  National Minority Supplier Development Council  is a top corporate membership organization that offers business services and networking opportunities to connect you with investors and build your practice.

• How to apply:  Visit the  NMDSC website  for more information on offerings and one-off funding and grant opportunities.

Although grant opportunities run the gambit, access to the NMSDC's roster of mentors and community small business advisors is top-notch.

17. Operation Hope Small Business Empowerment Program

The  Small Business Empowerment Program  from Operation Hope offers eight and 12-week entrepreneurship training programs with funding opportunities.

• How to apply:  Visit   Operation Hope  for details and other entrepreneurial growth opportunities.

18. SBA Funding Programs

The  SBA grant program  offers a few funding options—research and development, exporting, and associate rewards. Grants vary by year, and eligibility may differ depending on each grant offering.

• How to apply:  Visit SBA  for more information on grant offerings.

The SBA also offers a Veterans Business Outreach Center services for veterans to help assist in operations, funding, and other business needs.

Thanks to certain organizations, veterans are on the receiving end of many small business grants and programs.

19. The Second Service Foundation

The Second Service Foundation's mission is to inspire and support military entrepreneurs. It grants businesses funding, shares educational content, provides mentorship and coaching, and hosts networking events.

• Award amount:  $4,000–$15,000
• How to apply:  Visit the  Second Service Foundation  for more information on grant offerings.

Since 2016, the foundation (formerly The StreetShares Foundation) has built a strong community of over 85,000 members and helped more than 5,000 entrepreneurs build their businesses.

20. VA VR&E Business Ownership Track

If you're a veteran with a disability and an entrepreneurial passion, reach out to the  VR&E Self-Employment Track program . This program helps coordinate services to build your business—starting with your business plan. Team members assist in small business operations, marketing, and finances.

• Award amount:  Non-monetary. Assistance with planning and growing a business.
• How to apply:  Visit the  VA.gov  for more information on program benefits.

While the program isn't a monetary grant, the resources provided to recipients are valuable for planning and scaling a business as a veteran.

In all likelihood, you'll need funds to take your business model to the next level. Instead of taking out a business loan, consider these startup grants.

20. Economic Development Administration (EDA) Grants

The Build to Scale (B2S) Program seeks to build regional economies by funding scalable startups through various grant competitions. Total funding stands in the millions, with $45 million in federal funds available to startups in 2022.

• How to apply:  Visit EDA.gov  for details on grant competitions.

The B2S program accepts applications for three different competitions: Venture Challenge, Capital Challenge, and Industry Challenge.

Small business grants come in many forms and have various requirements. While there's nothing you can do to guarantee you get a grant, there are some things that can increase your likelihood of getting picked for one.

1. Start local

Nationwide grants can be appealing due to their large awards. Before you spend countless hours preparing submissions for nationwide grants, consider starting locally.

Look for any small grants offered by your town or city. Then, branch out to the state level and regional level. These grants may not be as big as some of the ones offered to the entire country, but you'll also be competing with a smaller pool and have a greater chance of winning funding.

2. Research previous winners

If you've found a grant that looks like a good fit for your business, do some digging and see who the previous winners were. Note any patterns you see between the business.

Seeing what kinds of businesses are awarded a certain grant can help you narrow down if your business is a good fit, what you could do to increase your chances, and ultimately help you save time by not applying to a grant you're unlikely to land.

3. Take your time with applications

Grant applications can be long and grueling. Take it slowly when filling them out, and don't let yourself get overwhelmed by trying to rush them. A mistake on the application could cost you the grant, so make sure it's time well spent by filling out the forms the right way.

Similarly, take your time developing your story before you start writing grant applications. Many grants may ask entrepreneurs to appeal to emotion in their applications, wanting to hear about the “why" behind your motivation to grow a business besides financial gain. A confident story can be a great asset before embarking down a path of grant applications.

4. Consider hiring a grant writer

Grant writing is an art, so consider hiring a grant writer. A grant writer will know what kind of language to use to make your application stand out, which can make quite an impact when you're competing.

It's worth noting that grant writers can be expensive. So, if you're strapped for cash, you may want to hold off and consider taking some  free grant writing courses  instead.

Before applying to grant programs, ensure you've  covered all your business's legal bases  and have a story to tell along with a business plan to show.

When you’re ready to take your business to the next level, LegalZoom will be there to help you every step of the way.

You may also like

What does 'inc.' mean in a company name?

'Inc.' in a company name means the business is incorporated, but what does that entail, exactly? Here's everything you need to know about incorporating your business.

October 9, 2023 · 10min read

How to write a will: A comprehensive guide to will writing

Writing a will is one of the most important things you can do for yourself and for your loved ones, and it can be done in just minutes. Are you ready to get started?

April 25, 2024 · 11min read

How to get an LLC and start a limited liability company

Considering an LLC for your business? The application process isn't complicated, but to apply for an LLC, you'll have to do some homework first.

March 21, 2024 · 11min read

• Search Search Please fill out this field.
• Building Your Business

How To Find and Get Small Business Grants

Learn how grants work and the ways in which to receive them

How Small Business Grants Work

How to find small business grants, types of small business grants, how to apply for grants for your business, frequently asked questions (faqs).

PixelsEffect / Getty Images

Small business grants are sums of money awarded to businesses for various purposes such as economic development, job creation, or disaster relief by government and nonprofit organizations.

Grants essentially are free money, providing businesses of all types, sizes, ages, and industries with the resources to grow without requiring anything in return. Learn what grant opportunities are perfect for your business, including what types are available, how to find them, and how to apply for them.

Key Takeaways

• Small business grants are sums of money given for a particular purpose by government or nonprofit organizations for economic and business development.
• Grants don't require equity (a stake in your company), which means nothing is expected in return other than your time and effort to acquire them.
• Grants do not need to be repaid; however, your business must meet requirements to receive funding.
• You can find small business grants by browsing the websites or calling the offices of local, state, federal, and nonprofit organizations in your area.

Small business grants can be divided into two categories: those from the government (local, state, or federal) and those from private organizations. Many different types of small business grants are available, but not all grants are the same. Most grants are first come, first serve and based on need, so as long as you fulfill the requirements, you have a shot at receiving funding. Unlike traditional loans , which are available for any kind of business, your business must be eligible and match requirements for the specific grant you are applying for to receive funding.

How Much Funding Can You Expect to Receive?

Federal agencies, including the Small Business Administration (SBA), award billions of dollars every year in small business loans and grants to help fund startups, keep existing businesses thriving, and create jobs.

In 2021 alone, the SBA distributed nearly $416.3 billion in emergency relief aid through various grant programs to more than 6 million small businesses impacted by the COVID-19 pandemic.

Small business grants can range from a few thousand dollars to a few million. Government programs from federal down to state and local can provide small business owners with grant funding, tax credits, free training, no-interest loans, and other financial perks. Private organizations such as nonprofits function similarly but on a smaller scale, and can provide grants, equity investments, no-interest loans, and patent protections to business owners.

Do You Have To Pay It Back?

As a small business owner, knowing the rules and regulations surrounding your grant funding, including what you need to do after receiving a small business grant, is essential. The short answer is no. Grants do not need to be repaid once you receive them from a government or nonprofit organization. Grants are free sums of money awarded to businesses in need.

There is no need for monthly repayments or interest charges; however, you are still responsible for any associated taxes that come with accepting the grant.

How Difficult Is It To Get Small Business Grants?

Many factors can complicate the process of applying for grants, including the grant itself, the level of competition, the longevity of the business, and how well you detailed your purpose for the grant. However, the SBA and most nonprofit grant organizations have resources to help guide you through the process. If you still run into difficulties, you can always turn to an attorney, business mentorship network SCORE, or nonprofit guide for help.

There are many ways to find small business grants. One way is to research online for funding opportunities. Government sites such as Grants.gov are excellent places to start your search because they offer the most variety of programs. However, there are also non-governmental sources where you can find grant programs.

One option is to ask your local chamber of commerce or other small business associations in your area about grant opportunities and where you can apply. Depending on your location, you can check out local and regional grant programs that focus on specific industries, such as manufacturing or tourism.

There are various ways to find small business grants, depending on the type of grant you are looking for. Local, state, and federal government agencies receive funding and offer resources to small business owners expressly for this purpose.

It can be helpful to reach out to these agencies about the grants available in your area or for your business type or demographic. The U.S. Chamber of Commerce is also a helpful resource for locating grants that fit your business’s needs.

If you're looking to get support for your small business, keep in mind that there are many avenues to explore. Some funds are issued directly by the federal government, while others are distributed through state and local governments or private organizations such as nonprofits. After the funds are distributed, organizations then can use their funding to provide technical or educational assistance on a regional level.

Below are some examples of resources across government levels.

Local Grants

Since local grant programs generally have less competition than state and federal ones, they are excellent places to start. Search online for your local small business development center (SBDC) or economic development center. SBDC websites and SBA local chapter websites should have information on grants available for your business. Additionally, you can contact your district's elected officials' offices about grant funding in your area.

State or Regional Grants

You can find out if your business qualifies for any state or regional grants by checking out the SBA’s website and exploring its information on available grants and funding programs. Another place to check is your state’s economic development websites. You can also contact your elected state officials’ offices for more information on grant funding available. State grants generally have more competition than local grants, so apply early and make sure you meet eligibility requirements. For example, there is:

• U.S. Small Business Administration State Trade Expansion Program (STEP) : STEP offers financial assistance to small businesses seeking to export products. This grant program distributes federal funds through state agencies. Small businesses that meet the criteria set by each state can use the funds to participate in foreign trade shows, facilitate entry to foreign markets, develop websites, create products, and design international marketing campaigns.
• Minority Business Development Agency (MBDA) grants : The MBDA is an agency subsidiary of the Department of Commerce and provides grants to promote the growth and competitiveness of minority-owned businesses .

Federal Grants

These grants can be the most competitive to apply for, but are available for a wide variety of recipients. Grants.gov is a great place to start while looking for federal grant programs for your industry or demographic. Federal grant programs include:

• Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) : SBIR and STTR are federal grant programs from the SBA that encourage small businesses to engage in research and development with the potential for commercialization and socioeconomic benefit.
• Boots to Business (B2B) : The B2B program provides entrepreneurship training, curriculum updates and program management support services for active military members, veterans, and their spouses.

Private Grants

The government is not the only provider of small business grants. Nonprofit organizations often provide funding for entrepreneurs starting or growing their business ventures. Private organizations, demographic-specific grants, and emergency economic development grants are also options. The type of small business grants available to help entrepreneurs grow their businesses vary greatly and include grants for women-owned businesses, minority-owned businesses, and veteran-owned businesses. Examples include:

• Fast Break for Small Business : LegalZoom has partnered with the NBA, WNBA, G League, and Accion Opportunity Fund to help out small business owners by offering $10,000 grants and up to $500 in LegalZoom services for small business owners. Applications are open twice a year.
• National Association for the Self-Employed (NASE) : The NASE offers up to $4,000 for business development through its Growth Grants program.
• Amber Grants : Grants are awarded monthly in the Amber Grants program to women who want to fulfill their entrepreneurial dreams. Previous grant recipients have ranged from bakers to inventors.

What’s involved in the typical small business grant application process? The process for obtaining a small business grant has three main phases.

• The pre-award phase : Grant applicants look for and apply for funding opportunities, then wait as their applications are reviewed.
• Award phase : Grant organizations make award decisions and notify the recipients.
• Post-award phase : Grant funds are utilized, any required reporting is submitted, and the grant organization closes the application.

Applying for a small business grant as a sole proprietor can be daunting and varies in time and effort depending on the type of grant and the funding organization's requirements. However, in general, the following steps are taken: c

• Determine which grants are a good match for your business needs and goals. Research government grant programs and reach out to specific organizations that might be interested in funding your business.
• Gather the information and documentation the funding organization needs to evaluate your application, including your pitch, financial statements, employer identification number (EIN) , and business plan.
• Fill out the application form or submit your online application.
• Wait for a response from the funding source.
• Repeat this process until you receive the funding amount needed for your business.
• If required, report back on how your business used the funding.

Is a Grant Right for You?

With the vast number of options available for this kind of funding, many applicants can find a grant that suits their business needs. However, there are potential downsides to seeking grant funding, including the competition and the time it takes to acquire it.

If you own a small business, need funding, meet grant eligibility requirements, and have time to be patient, then grant funding is right for you. For businesses unable to meet eligibility requirements for government or private grants, or who can’t wait for funding, there are better options, such as small business loans or lines of credit , worth looking into for financing.

How do I qualify for a small business grant?

You can qualify for a small business grant if you are a small business owner looking to start and grow your business, and meet the granting organization's criteria. The organization granting the funds will often specify what it is looking for during the application process. Call its office or review its website for more information about grant eligibility requirements.

How long does it take to get a small business grant?

The length of time it takes to get a small business grant will depend on what type of funding you're applying for and which organization is supplying it. Grant approval and funding, whether from government agencies or  private foundations, can take several months to as long as a year. Keep in mind that some grants have eligibility windows that applicants can't miss. Find out the average wait time for the grant you are applying for and plan accordingly.

U.S. Small Business Administration. “ FACT SHEET: The U.S. Small Business Administration Is Delivering Support to America’s Small Businesses, Helping Them Recover From the COVID-19 Pandemic .”

U.S. Chamber of Commerce. “ 52 Grants, Loans and Programs To Benefit Your Small Business .”

Grants.gov. " Grants 101 ."

Grants.gov. “ How To Apply for Grants .”

Fifth Third Bank. “ 3 Steps To Apply for a Small Business Grant .”

New York State, Empire State Development. “ Meet Me in New York Grant Program .”

GetFundid. “ How Long Does It Take To Get a Business Grant? ”

The Ultimate Grant Writing Guide (and How to Find and Apply for Grants)

Securing grants requires strategic planning. Identifying relevant opportunities, building collaborations, and crafting a comprehensive grant proposal are crucial steps. Read our ultimate guide on grant writing, finding grants, and applying for grants to get the funding for your research.

Updated on February 22, 2024

Embarking on a journey of groundbreaking research and innovation always requires more than just passion and dedication, it demands financial support. In the academic and research domains, securing grants is a pivotal factor for transforming these ideas into tangible outcomes. 

Grant awards not only offer the backing needed for ambitious projects but also stand as a testament to the importance and potential impact of your work. The process of identifying, pursuing, and securing grants, however, is riddled with nuances that necessitate careful exploration. 

Whether you're a seasoned researcher or a budding academic, navigating this complex world of grants can be challenging, but we’re here to help. In this comprehensive guide, we'll walk you through the essential steps of applying for grants, providing expert tips and insights along the way.

Finding grant opportunities 

Prior to diving into the application phase, the process of finding grants involves researching and identifying those that are relevant and realistic to your project. While the initial step may seem as simple as entering a few keywords into a search engine, the full search phase takes a more thorough investigation.

By focusing efforts solely on the grants that align with your goals, this pre-application preparation streamlines the process while also increasing the likelihood of meeting all the requirements. In fact, having a well thought out plan and a clear understanding of the grants you seek both simplifies the entire activity and sets you and your team up for success.

Apply these steps when searching for appropriate grant opportunities:

1. Determine your need

Before embarking on the grant-seeking journey, clearly articulate why you need the funds and how they will be utilized. Understanding your financial requirements is crucial for effective grant research.

2. Know when you need the money

Grants operate on specific timelines with set award dates. Align your grant-seeking efforts with these timelines to enhance your chances of success.

3. Search strategically

Build a checklist of your most important, non-negotiable search criteria for quickly weeding out grant options that absolutely do not fit your project. Then, utilize the following resources to identify potential grants:

• Online directories
• Small Business Administration (SBA)
• Foundations

4. Develop a tracking tool

After familiarizing yourself with the criteria of each grant, including paperwork, deadlines, and award amounts, make a spreadsheet or use a project management tool to stay organized. Share this with your team to ensure that everyone can contribute to the grant cycle.

Here are a few popular grant management tools to try: 

• Jotform : spreadsheet template
• Airtable : table template
• Instrumentl : software
• Submit : software

Tips for Finding Research Grants

Consider large funding sources : Explore major agencies like NSF and NIH.

Reach out to experts : Consult experienced researchers and your institution's grant office.

Stay informed : Regularly check news in your field for novel funding sources.

Know agency requirements : Research and align your proposal with their requisites.

Ask questions : Use the available resources to get insights into the process.

Demonstrate expertise : Showcase your team's knowledge and background.

Neglect lesser-known sources : Cast a wide net to diversify opportunities.

Name drop reviewers : Prevent potential conflicts of interest.

Miss your chance : Find field-specific grant options.

Forget refinement : Improve proposal language, grammar, and clarity.

Ignore grant support services : Enhance the quality of your proposal.

Overlook co-investigators : Enhance your application by adding experience.

Grant collaboration 

Now that you’ve taken the initial step of identifying potential grant opportunities, it’s time to find collaborators. The application process is lengthy and arduous. It requires a diverse set of skills. This phase is crucial for success.

With their valuable expertise and unique perspectives, these collaborators play instrumental roles in navigating the complexities of grant writing. While exploring the judiciousness that goes into building these partnerships, we will underscore why collaboration is both advantageous and indispensable to the pursuit of securing grants.

Why is collaboration important to the grant process?

Some grant funding agencies outline collaboration as an outright requirement for acceptable applications. However, the condition is more implied with others. Funders may simply favor or seek out applications that represent multidisciplinary and multinational projects.

To get an idea of the types of collaboration major funders prefer, try searching “collaborative research grants” to uncover countless possibilities, such as:

• National Endowment for the Humanities
• American Brain Tumor Association

For exploring grants specifically for international collaboration, check out this blog:

• 30+ Research Funding Agencies That Support International Collaboration

Either way, proposing an interdisciplinary research project substantially increases your funding opportunities. Teaming up with multiple collaborators who offer diverse backgrounds and skill sets enhances the robustness of your research project and increases credibility.

This is especially true for early career researchers, who can leverage collaboration with industry, international, or community partners to boost their research profile. The key lies in recognizing the multifaceted advantages of collaboration in the context of obtaining funding and maximizing the impact of your research efforts.

How can I find collaborators?

Before embarking on the search for a collaborative partner, it's essential to crystallize your objectives for the grant proposal and identify the type of support needed. Ask yourself these questions: 

1)Which facet of the grant process do I need assistance with:

2) Is my knowledge lacking in a specific: 

• Population?

3) Do I have access to the necessary:

Use these questions to compile a detailed list of your needs and prioritize them based on magnitude and ramification. These preliminary step ensure that search for an ideal collaborator is focused and effective.

Once you identify targeted criteria for the most appropriate partners, it’s time to make your approach. While a practical starting point involves reaching out to peers, mentors, and other colleagues with shared interests and research goals, we encourage you to go outside your comfort zone.

Beyond the first line of potential collaborators exists a world of opportunities to expand your network. Uncover partnership possibilities by engaging with speakers and attendees at events, workshops, webinars, and conferences related to grant writing or your field.

Also, consider joining online communities that facilitate connections among grant writers and researchers. These communities offer a space to exchange ideas and information. Sites like Collaboratory , NIH RePorter , and upwork provide channels for canvassing and engaging with feasible collaborators who are good fits for your project. 

Like any other partnership, carefully weigh your vetted options before committing to a collaboration. Talk with individuals about their qualifications and experience, availability and work style, and terms for grant writing collaborations.

Transparency on both sides of this partnership is imperative to forging a positive work environment where goals, values, and expectations align for a strong grant proposal.

Putting together a winning grant proposal

It’s time to assemble the bulk of your grant application packet – the proposal itself. Each funder is unique in outlining the details for specific grants, but here are several elements fundamental to every proposal:

• Executive Summary
• Needs assessment
• Project description
• Evaluation plan
• Team introduction
• Sustainability plan 

This list of multi-faceted components may seem daunting, but careful research and planning will make it manageable. 

Start by reading about the grant funder to learn:

• What their mission and goals are,
• Which types of projects they have funded in the past, and
• How they evaluate and score applications.

Next, view sample applications to get a feel for the length, flow, and tone the evaluators are looking for. Many funders offer samples to peruse, like these from the NIH , while others are curated by online platforms , such as Grantstation.

Also, closely evaluate the grant application’s requirements. they vary between funding organizations and opportunities, and also from one grant cycle to the next. Take notes and make a checklist of these requirements to add to an Excel spreadsheet, Google smartsheet, or management system for organizing and tracking your grant process.

Finally, understand how you will submit the final grant application. Many funders use online portals with character or word limits for each section. Be aware of these limits beforehand. Simplify the editing process by first writing each section in a Word document to be copy and pasted into the corresponding submission fields.

If there is no online application platform, the funder will usually offer a comprehensive Request for Proposal (RFP) to guide the structure of your grant proposal. The RFP: 

• Specifies page constraints
• Delineates specific sections
• Outlines additional attachments
• Provides other pertinent details

Components of a grant proposal

Cover letter.

Though not always explicitly requested, including a cover letter is a strategic maneuver that could be the factor determining whether or not grant funders engage with your proposal. It’s an opportunity to give your best first impression by grabbing the reviewer’s attention and compelling them to read further. 

Cover letters are not the place for excessive emotion or detail, keep it brief and direct, stating your financial needs and purpose confidently from the outset. Also, try to clearly demonstrate the connection between your project and the funder’s mission to create additional value beyond the formal proposal.

Executive summary

Like an abstract for your research manuscript, the executive summary is a brief synopsis that encapsulates the overarching topics and key points of your grant proposal. It must set the tone for the main body of the proposal while providing enough information to stand alone if necessary.

Refer to How to Write an Executive Summary for a Grant Proposal for detailed guidance like:

• Give a clear and concise account of your identity, funding needs, and project roadmap.
• Write in an instructive manner aiming for an objective and persuasive tone
• Be convincing and pragmatic about your research team's ability.
• Follow the logical flow of main points in your proposal.
• Use subheadings and bulleted lists for clarity.
• Write the executive summary at the end of the proposal process.
• Reference detailed information explained in the proposal body.
• Address the funder directly.
• Provide excessive details about your project's accomplishments or management plans.
• Write in the first person.
• Disclose confidential information that could be accessed by competitors.
• Focus excessively on problems rather than proposed solutions.
• Deviate from the logical flow of the main proposal.
• Forget to align with evaluation criteria if specified

Project narrative

After the executive summary is the project narrative . This is the main body of your grant proposal and encompasses several distinct elements that work together to tell the story of your project and justify the need for funding. 

Include these primary components:

Introduction of the project team

Briefly outline the names, positions, and credentials of the project’s directors, key personnel, contributors, and advisors in a format that clearly defines their roles and responsibilities. Showing your team’s capacity and ability to meet all deliverables builds confidence and trust with the reviewers.

Needs assessment or problem statement

A compelling needs assessment (or problem statement) clearly articulates a problem that must be urgently addressed. It also offers a well-defined project idea as a possible solution. This statement emphasizes the pressing situation and highlights existing gaps and their consequences to illustrate how your project will make a difference.

To begin, ask yourself these questions:

• What urgent need are we focusing on with this project?
• Which unique solution does our project offer to this urgent need? 
• How will this project positively impact the world once completed?

Here are some helpful examples and templates.

Goals and objectives

Goals are broad statements that are fairly abstract and intangible. Objectives are more narrow statements that are concrete and measurable. For example :

• Goal : “To explore the impact of sleep deprivation on cognitive performance in college students.”
• Objective : “To compare cognitive test scores of students with less than six hours of sleep and those with 8 or more hours of sleep.”

Focus on outcomes, not processes, when crafting goals and objectives. Use the SMART acronym to align them with the proposal's mission while emphasizing their impact on the target audience.

Methods and strategies

It is vitally important to explain how you intend to use the grant funds to fulfill the project’s objectives. Detail the resources and activities that will be employed. Methods and strategies are the bridge between idea and action. They must prove to reviewers the plausibility of your project and the significance of their possible funding.

Here are some useful guidelines for writing your methods section that are outlined in " Winning Grants: Step by Step ."

• Firmly tie your methods to the proposed project's objectives and needs assessment.
• Clearly link them to the resources you are requesting in the proposal budget.
• Thoroughly explain why you chose these methods by including research, expert opinion, and your experience.
• Precisely list the facilities and capital equipment that you will use in the project.
• Carefully structure activities so that the program moves toward the desired results in a time-bound manner.

A comprehensive evaluation plan underscores the effectiveness and accountability of a project for both the funders and your team. An evaluation is used for tracking progress and success. The evaluation process shows how to determine the success of your project and measure the impact of the grant award by systematically gauging and analyzing each phase of your project as it compares to the set objectives.

Evaluations typically fall into two standard categories:

1. Formative evaluation : extending from project development through implementation, continuously provides feedback for necessary adjustments and improvements. 

2. Summative evaluation : conducted post-project completion, critically assesses overall success and impact by compiling information on activities and outcomes.

Creating a conceptual model of your project is helpful when identifying these key evaluation points. Then, you must consider exactly who will do the evaluations, what specific skills and resources they need, how long it will take, and how much it will cost.

Sustainability

Presenting a solid plan that illustrates exactly how your project will continue to thrive after the grant money is gone builds the funder's confidence in the project’s longevity and significance. In this sustainability section, it is vital to demonstrate a diversified funding strategy for securing the long-term viability of your program.

There are three possible long term outcomes for projects with correlated sustainability options:

• Short term projects: Though only implemented once, will have ongoing maintenance costs, such as monitoring, training, and updates.

(E.g., digitizing records, cleaning up after an oil spill)

• Projects that will generate income at some point in the future: must be funded until your product or service can cover operating costs with an alternative plan in place for deficits.

(E.g., medical device, technology, farming method)

• Ongoing projects: will eventually need a continuous stream of funding from a government entity or large organization.

(E.g., space exploration, hurricane tracking)

Along with strategies for funding your program beyond the initial grant,  reference your access to institutional infrastructure and resources that will reduce costs.

Also, submit multi-year budgets that reflect how sustainability factors are integrated into the project’s design.

The budget section of your grant proposal, comprising both a spreadsheet and a narrative, is the most influential component. It should be able to stand independently as a suitable representation of the entire endeavor. Providing a detailed plan to outline how grant funds will be utilized is crucial for illustrating cost-effectiveness and careful consideration of project expenses. 

A comprehensive grant budget offers numerous benefits to both the grantor , or entity funding the grant, and the grantee , those receiving the funding, such as:

• Grantor : The budget facilitates objective evaluation and comparison between multiple proposals by conveying a project's story through responsible fund management and financial transparency.
• Grantee : The budget serves as a tracking tool for monitoring and adjusting expenses throughout the project and cultivates trust with funders by answering questions before they arise.

Because the grant proposal budget is all-encompassing and integral to your efforts for securing funding, it can seem overwhelming. Start by listing all anticipated expenditures within two broad categories, direct and indirect expenses , where:

• Direct : are essential for successful project implementation, are measurable project-associated costs, such as salaries, equipment, supplies, travel, and external consultants, and are itemized and detailed in various categories within the grant budget.
• Indirect : includes administrative costs not directly or exclusively tied to your project, but necessary for its completion, like rent, utilities, and insurance, think about lab or meeting spaces that are shared by multiple project teams, or Directors who oversee several ongoing projects.

After compiling your list, review sample budgets to understand the typical layout and complexity. Focus closely on the budget narratives , where you have the opportunity to justify each aspect of the spreadsheet to ensure clarity and validity.

While not always needed, the appendices consist of relevant supplementary materials that are clearly referenced within your grant application. These might include: 

• Updated resumes that emphasize staff members' current positions and accomplishments. 
• Letters of support from people or organizations that have authority in the field of your research, or community members that may benefit from the project.
• Visual aids like charts, graphs, and maps that contribute directly to your project’s story and are referred to previously in the application. 

Finalizing your grant application

Now that your grant application is finished, make sure it's not just another document in the stack Aim for a grant proposal that captivates the evaluator. It should stand out not only for presenting an excellent project, but for being engaging and easily comprehended . 

Keep the language simple. Avoid jargon. Prioritizing accuracy and conciseness. Opt for reader-friendly formatting with white space, headings, standard fonts, and illustrations to enhance readability.

Always take time for thorough proofreading and editing. You can even set your proposal aside for a few days before revisiting it for additional edits and improvements. At this stage, it is helpful to seek outside feedback from those familiar with the subject matter as well as novices to catch unnoticed mistakes and improve clarity.

If you want to be absolutely sure your grant proposal is polished, consider getting it edited by AJE .

How can AI help the grant process?

When used efficiently, AI is a powerful tool for streamlining and enhancing various aspects of the grant process.

• Use AI algorithms to review related studies and identify knowledge gaps.
• Employ AI for quick analysis of complex datasets to identify patterns and trends.
• Leverage AI algorithms to match your project with relevant grant opportunities.
• Apply Natural Language Processing for analyzing grant guidelines and tailoring proposals accordingly.
• Utilize AI-powered tools for efficient project planning and execution.
• Employ AI for tracking project progress and generating reports.
• Take advantage of AI tools for improving the clarity, coherence, and quality of your proposal.
• Rely solely on manual efforts that are less comprehensive and more time consuming.
• Overlook the fact that AI is designed to find patterns and trends within large datasets.
• Minimize AI’s ability to use set parameters for sifting through vast amounts of data quickly.
• Forget that the strength of AI lies in its capacity to follow your prompts without divergence.
• Neglect tools that assist with scheduling, resource allocation, and milestone tracking.
• Settle for software that is not intuitive with automated reminders and updates.
• Hesitate to use AI tools for improving grammar, spelling, and composition throughout the writing process.

Remember that AI provides a diverse array of tools; there is no universal solution. Identify the most suitable tool for your specific task. Also, like a screwdriver or a hammer, AI needs informed human direction and control to work effectively.

Looking for tips when writing your grant application? 

Check out these resources:

• 4 Tips for Writing a Persuasive Grant Proposal
• Writing Effective Grant Applications
• 7 Tips for Writing an Effective Grant Proposal
• The best-kept secrets to winning grants
• The Best Grant Writing Books for Beginner Grant Writers
• Research Grant Proposal Funding: How I got $1 Million

Final thoughts

The bottom line – applying for grants is challenging. It requires passion, dedication, and a set of diverse skills rarely found within one human being.

Therefore, collaboration is key to a successful grant process . It encourages everyone’s strengths to shine. Be honest and ask yourself, “Which elements of this grant application do I really need help with?” Seek out experts in those areas.

Keep this guide on hand to reference as you work your way through this funding journey. Use the resources contained within. Seek out answers to all the questions that will inevitably arise throughout the process.

The grants are out there just waiting for the right project to present itself – one that shares the funder’s mission and is a benefit to our communities. Find grants that align with your project goals, tell your story through a compelling proposal, and get ready to make the world a better place with your research.

The AJE Team

See our "Privacy Policy"

• Credit cards
• View all credit cards
• Banking guide
• Loans guide
• Insurance guide
• Personal finance
• View all personal finance
• Small business
• Small business guide
• View all taxes

You’re our first priority. Every time.

We believe everyone should be able to make financial decisions with confidence. And while our site doesn’t feature every company or financial product available on the market, we’re proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward — and free.

So how do we make money? Our partners compensate us. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Our partners cannot pay us to guarantee favorable reviews of their products or services. Here is a list of our partners .

Startup Business Grants: Best Free Funding Options

Many or all of the products featured here are from our partners who compensate us. This influences which products we write about and where and how the product appears on a page. However, this does not influence our evaluations. Our opinions are our own. Here is a list of our partners and here's how we make money .

Startup business grants provide free funding to help small businesses grow without debt. Competition for small-business grants is fierce, however, and many awards require a minimum time in business — often at least six months.

In some cases, newer businesses or true startups may be able to access grant funding, but these options can be more difficult to find. Nevertheless, it can pay to know where to look for future financing.

Here are the best business startup grants, plus alternative funding sources to consider.

How much do you need?

with Fundera by NerdWallet

We’ll start with a brief questionnaire to better understand the unique needs of your business.

Once we uncover your personalized matches, our team will consult you on the process moving forward.

Government startup business grants and resources

Some government programs offer direct business funding to startups looking for business grants, but those that don’t may point you in the right direction or help with applications.

Government agencies routinely post new grant opportunities on this centralized database . If you see an opportunity relevant to your business idea, you can check if startups are eligible. Many of these grants deal with scientific or pharmaceutical research, though, so they may not all be relevant to Main Street businesses.

State and local government grants

The federal government awards a variety of grant funding to other governments, like states or cities, or to nonprofit economic development organizations . Those entities then offer grants to local businesses. Plugging into your local startup ecosystem can help you stay on top of these opportunities. For example, New York state’s website offers a consolidated list of business grants and incubators organized by region [0] Empire State Development . Division of Small Business . Accessed Jan 2, 2024. View all sources .

Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs

These federal grant programs are designed for businesses with innovative technology or scientific research ideas. Federal agencies list the types of research they’re hoping to fund, and if you think your idea qualifies, you can submit a proposal. Unsolicited proposals aren’t allowed.

Small Business Development Centers

These resource centers funded by the Small Business Administration offer business coaching, education, technical support and networking opportunities. They may also be able to help you apply for small-business grants, develop a business plan and level up your business in other ways.

Minority Business Development Agency Centers

The MBDA , which is part of the U.S. Department of Commerce, operates small-business support centers similar to SBDCs. The MBDA doesn't give grants to startup businesses directly, but these centers can connect you with grant organizations, help you prepare applications and secure other types of business financing.

» MORE: Best small-business grants for minorities

Startup business grants from private companies and nonprofits

Many corporations and large nonprofits, like the National Association for the Self-Employed, offer startup business grants or organize grant competitions. Some national opportunities include:

Fast Break for Small Business

This grant program is funded by LegalZoom, the NBA, WNBA and NBA G-League and administered by Accion Opportunity Fund. You can win a $10,000 business grant plus $500 worth of LegalZoom services.

To qualify, you have to be U.S.-based business with at least three months in business. If you have less than three months in operation or haven't started your business yet, you can apply to receive a LegalZoom product of your choosing (up to $500).

Applications for the 2024 cycle are open until Sept. 13, 2024.

IFundWomen Universal Grant Application Database

IFundWomen partners with other corporations to administer business grants. The company generally focuses on small-business grants for women , but also offers startup grants, crowdfunding and coaching, among other resources.

You can fill out a universal application to receive automatic notifications when you’re eligible to apply for a grant.

Amber Grant for Women

WomensNet gives three $10,000 Amber Grants each month and three $25,000 grants annually. Although startups are eligible for all grants, one of the monthly $10,000 grants is specifically geared toward new businesses.

Filling out one application makes you eligible for all Amber Grants. To qualify, businesses must be at least 50% women-owned and based in the U.S. or Canada.

National Association for the Self-Employed Growth Grant

Join NASE, and you can apply for quarterly Growth Grant opportunities. There are no time-in-business requirements for these grants of up to $4,000, but you’ll need to provide details about how you plan to use the grant and how it will help your business grow.

Bizee’s Fresh Start Business Grant

If you plan to start a business — or have just launched a new endeavor, you may be able to get a $2,500 startup business grant from Bizee, formerly Incfile. Bizee’s Fresh Start Business Grant can be used to cover startup costs and also includes free formation services from the company.

To qualify, you’ll need to be at least 21 years old, a U.S. resident and planning to start or grow your business in a significant way. Applications require a sample business plan, as well as a two-minute video.

Bizee has not yet announced its next grant cycle, but updates will be posted to its website.

Venmo Small Business Grant

The annual Venmo Small Business Grant offers $10,000 grants to 20 business owners. This program also provides mentorship from industry leaders and the opportunity to be featured on Venmo’s social media pages.

To qualify, you need to have a U.S. Venmo business account in good standing. You also need to have fewer than 10 employees, less than $50,000 in annual sales and have sold $500 or more in goods and services at least three months before the start of the grant program.

You can receive the latest updates about the 2024 cycle through your Venmo business profile.

The Amplifier Grant

The Outrage is an activism organization that offers a $5,000 small-business grant to companies making a difference in their community. The Amplifier Grant is available on a seasonal basis; funding is awarded in January, April, July and October.

To qualify for this grant, you must be a business or organization actively working to make the U.S. a better place. The Outrage accepts applications from startups, grassroots organizations, and nonprofits, among other small businesses.

FedEx Small Business Grant Contest

This annual competition awards grants to small-business owners in a variety of industries. To be eligible, you’ll need to have been in business for at least six months, and have had an active FedEx business account during that same timeframe. One winner will receive a $50,000 grant, and nine additional small businesses will get $20,000 grants. The application window for this year's grant program closed on April 1, 2024.

Tory Burch Foundation Fellows Program

The Tory Burch Foundation Fellows Program is designed to provide funding, education and other resources to women-owned startup businesses.

Each year, the program chooses 50 small-business owners to participate in a yearlong initiative that includes workshops, networking groups, a $5,000 business education grant and a culmination presentation. Tory Burch Fellows participants also receive access to 0% interest loans through Kiva.

To qualify for this startup grant program, you must be a women entrepreneur who owns 51% or more of your business. You also must be an early-stage company (ranging from one to five years in business) that generates revenue (the program prefers a minimum of $75,000).

Applications are closed for the 2024 Fellow cycle, but you’ll be able to find updates for the following cycle on the Tory Burch Foundation website.

Small-business incubator programs

Business incubators or accelerators are designed to help companies in various phases of the startup stage — providing education, workspaces and mentorship. Some also provide funding in the form of grants, pitch competitions with cash prizes or access to investors upon completion of their program.

Although there are a range of programs for general startups, certain incubators target specific demographics, like underserved business owners. Head Boss in Charge Headquarters (HBICHQ), for example, is a Seattle-based nonprofit that serves women and minority-owned startup businesses. It offers merit-based grants for graduates of several of its educational programs.

Other programs are designed to offer support for certain industries. Accelerate Long Island , for instance, is a nonprofit designed to help high-growth biotech and health technology companies.

The program may provide startup grants to participants in conjunction with funding partners on a case-by-case basis, and it helps new businesses navigate New York state tax incentives and find workspace by partnering with local universities.

To find these types of institutions near you, you can do an online search for “[Your City] business incubator.” Even if you don’t see a grant program, it can be helpful to sign up for their email newsletter or follow them on social media. Like SBDCs and MBDAs, startup incubators often provide business coaching , courses and lectures that can help you develop and grow your business idea.

» MORE: How to fund your business idea

Alternatives to startup business grants

Finding and applying for new business grants can be difficult and time-consuming — plus, not all startups will qualify. If you’re looking for other ways to fund your business, you might consider these alternatives:

SBA microloans . These loans offer up to $50,000 to help your business launch or expand. So far in fiscal year 2024, the average SBA microloan is $17,083 [0] U.S. Small Business Administration . Microloans Summary Report . Accessed Apr 11, 2024. View all sources . The SBA provides microloans through intermediary lenders that administer, underwrite and issue their own microloans. As a result, SBA microloan requirements vary largely by lender. Many intermediaries are willing to work with startups, however. In fact, startup businesses received 25.3% of all SBA microloans issued in fiscal year 2024 [0] U.S. Small Business Administration . Microloans Summary Report . Accessed Apr 11, 2024. View all sources . You can find a lender in your state on the SBA's website .

Friends and family funding . Asking friends and family to provide an investment for your business is a common form of startup funding . This type of arrangement can place a strain on relationships, however, so you’ll want to be careful. You’ll want to define each person’s investment — is it a loan or are they getting equity in your business? If you’re receiving a small-business loan , you’ll want to lay out the rates and terms and detail how you’re going to pay it back. You should put all agreements in writing, if possible.

Business credit cards . You can qualify for a business credit card with your personal credit score and some general information about your business, like your business name and industry. Startup business credit cards often earn rewards for spending, making them great for daily expenses, but they aren’t typically suited for larger purchases. If you make a large purchase on your credit card and can’t pay it back right away, you’ll start accruing interest on your balance, which can become expensive and difficult to manage. Keep in mind that you’ll likely need to sign a personal guarantee with your application — which means you’ll be held responsible for paying back the debt if your business can’t.

Crowdfunding . If you have a dedicated customer base, they can help finance your business through crowdfunding. In exchange for capital, businesses usually offer something for their supporters, like debt notes, equity shares or access to an exclusive event. You can compare a variety of crowdfunding platforms that offer different terms, such as Kickstarter, Indiegogo and StartEngine, to find the model that works best for you.

Looking for a business loan?

See our overall favorites, or narrow it down by category to find the best options for you.

on NerdWallet's secure site

A business startup grant provides free capital specifically for new businesses, which can be used for a variety of purposes. Unlike small-business loans, grants offer access to funds that don’t need to be repaid.

You can find startup business grants at government and state agencies, private corporations and nonprofit organizations. In general, grants for startups can be more difficult to find, so it can be helpful to reach out to local business development centers for assistance.

To apply for a startup business grant, you’ll first need to make sure you meet all of the eligibility criteria. Then, you’ll need to take time to complete the application. Every awarding organization will have specific requirements and a unique application. You may decide to hire a grant writer to help you with the process.

On a similar note...

Grant Writing for Small Business: A Step-by-Step Success Guide

• Post author By awesome
• Post date September 5, 2023

Grant writing for small businesses involves identifying relevant funding opportunities and crafting compelling proposals that demonstrate the business’s need, viability, and potential impact.

Successful grant applications require a clear understanding of the business’s goals, a well-researched and persuasive narrative, detailed budgets and timelines, and strict adherence to the grant provider’s guidelines and submission requirements.

Understanding Grant Proposals

Proposal components.

Grant proposals are crucial for securing funding. They must include a cover letter, an executive summary, project description, game plan, eligibility requirements, specific programs, and budget. Each component, including specific programs, specific business, team, and technical assistance, serves a unique purpose in making a strong case for support.

The executive summary introduces the business and its goals. The project description outlines how objectives will be achieved. The budget details financial needs and allocations. Tailoring these elements to meet specific funder guidelines, including eligibility for grant funding and formula grants , is essential for success in the grant writing process .

Key Elements

Cover letter.

A personalized cover letter is your first impression. It should introduce your business and outline the grant amount requested, specifying if it’s for formula grants or local grants, and the project’s impact, serving as a game plan for applicants. Keep it concise and aligned with the funder’s mission to make a strong initial connection, following instructions for grant funding support during the grant writing process.

Executive Summary

The executive summary summarizes your proposal’s main points, including objectives, methods, and expected outcomes, vital in the grant writing process for following instructions and securing grant funding. It should be compelling to encourage further reading. Clarity, brevity, and effective use of resources such as information and instructions are key in the writing process of presenting your business case effectively.

Types Explained

Federal grants.

Federal grants, offering resources and information, award significant opportunities for small businesses in need, especially in research and development. Navigating federal grant applications requires understanding of compliance requirements. Use federal databases and their website information to find suitable grants, get help, and ensure alignment with your business goals by following the provided instructions.

Corporate Grants

Corporate grants award funding opportunities for small businesses and startups, with instructions and information available on their website. Understand corporate grantmakers’ goals and align your proposal accordingly. Networking and building relationships with small business corporations can open doors to valuable funding sources , help with grant writing, and award opportunities.

Preparing Your Proposal

Research first.

Before diving into writing, thorough research is crucial . It ensures your proposal aligns with the funder’s mission. Look into past award winners and review their grant funding proposals for valuable insights and information, following the provided instructions. This can help give you a clear idea of what information you need to succeed in grant funding.

Check the eligibility criteria and grant objectives meticulously. Every grant has specific requirements. Meeting these increases your chances of success.

Team Collaboration

Involving a diverse team in the grant writing process brings numerous benefits, including help for small businesses that need information. Different skills contribute to a stronger proposal. Assign roles based on expertise, such as financial planning or project management, to help use information on grant funding.

Hold regular meetings to discuss progress. This ensures everyone stays aligned with the proposal’s objectives. Collaboration fosters creativity and innovation, essential for a standout proposal that can help secure grant funding for a small business with the right information.

Writing Process

Needs statements.

Crafting a compelling needs statement is vital. It should outline the problem clearly, the need for help, and how the grant will address it by using the information. Use data and research to back up your claims.

Link this need directly to the funder’s priorities for a stronger connection, emphasizing how grant funding can help meet this need with information beneficial to small businesses. This shows you understand what they value and how your project aligns with their goals, demonstrating the need for grant funding and how this information can help.

Project Description

Detailing your project’s objectives, methodology, timeline, and personnel involved is next, which will help provide the information small businesses need. Demonstrate its feasibility and potential for success clearly. Funders want to invest in projects that show promise.

Highlight how the project aligns with the funder’s goals. This reinforces your understanding of their mission and how your project contributes to it, by providing information, help, grant, and the need.

Budgeting Strategies

Detailed budget.

A clear and justified budget is crucial in grant writing to help small businesses in need of information. It should outline all project costs and funding sources. Accuracy is key. Make sure your budget aligns with the funder’s guidelines. This shows you understand their requirements.

A budget narrative is equally important. It explains why each cost item is necessary. This transparency builds trust with funders. They see where their money goes.

Financial Planning

After crafting your proposal, focus on the project’s future. A solid financial plan demonstrates sustainability post-grant. It reassures funders that their grant investment has a lasting impact, providing the information and help they need.

Include a plan for future funding or revenue generation . This shows you’re thinking ahead. Detail your financial management practices too. Funders need to know you’ll spend responsibly.

Submission Guidelines

Final review.

A thorough final review of your small business grant proposal is crucial if you need help. It ensures the proposal’s coherence, completeness, and compliance with the submission guidelines, helping small businesses in need to secure grant funding. This step should never be overlooked. It ties directly to the budgeting strategies outlined previously, as any discrepancies between the budget and project description can lead to rejection, especially when the need for a grant to help a small business is involved.

Seeking external feedback is highly beneficial. Reach out to peers or mentors who have experience in grant writing to help your small business if you need it. Their insights can provide invaluable perspectives and help that you might have missed, especially for small businesses seeking to grant opportunities. They can help spot weaknesses in your argument or suggest improvements that make your small business grant proposal more compelling.

Proofreading is another essential step in the final review process. Look for grammatical errors and ensure your ideas are clear and concise. A well-written grant proposal not only communicates professionalism but also makes it easier for reviewers to understand your objectives and how you plan to achieve them, thereby offering help to small business.

Tracking Applications

Once your small business grant proposal is submitted, setting up a system to help track its progress is vital. This helps manage multiple applications efficiently for small business grants, ensuring you meet all deadlines and follow up appropriately.

Maintain detailed records of all grant submissions and correspondence with funders to help small business. This includes dates of submission for grant help, responses received for small business assistance, additional documents requested, and any other relevant interactions. Such records are invaluable for tracking your small business grant application’s status and preparing for future communications with the funder, which can help.

Analyzing unsuccessful small business grant applications offers a golden opportunity for learning and improvement, which can help. Identify areas where your business proposal may have fallen short by comparing it against the eligibility criteria and instructions provided by the grant funders to help you. Use these insights to strengthen future applications.

Enhancing Writing Skills

Strategic game plan.

Developing a long-term strategy for grant seeking is crucial to help your business. It involves targeting specific grant opportunities that align with your business’s needs and planning your submissions well in advance. This approach ensures you’re not just throwing darts in the dark but aiming with precision in your business grant strategy.

Setting realistic goals and timelines for each business grant application can significantly increase your chances of success. It’s important to allocate enough time for research, writing, and revision stages in the business grant process. Rushed applications are rarely successful.

Continuously refining your strategy based on outcomes and feedback is key. If an application is unsuccessful, learn from it. Adjust your approach accordingly for future submissions.

Using Rich Media

Incorporating images, videos, or infographics can make your business grant proposal stand out. These elements should not be added just for the sake of visual appeal but must be directly relevant to the business grant proposal. They should enhance the narrative and help explain complex ideas more simply.

Ensure any media used is professional and high-quality. Poorly presented visuals can harm credibility more than help it. Visuals must complement the written content in a business grant application, providing a cohesive and compelling application.

Research Winners

Studying successful grant proposals offers invaluable insights. It allows you to see what worked for others in the business and grant sectors and how you can adapt those strategies to fit your proposal. Look for patterns or common elements among business grant winners that could be applied to your own strategy.

Reaching out to past grant winners for business tips and advice can also be beneficial. They may offer practical suggestions or highlight pitfalls to avoid in business or grant applications based on their personal experiences.

Analyzing winning strategies isn’t about copying them verbatim but understanding why they were effective. Adapt these strategies to suit your unique business proposition and grant objectives.

Applying Strategically

Local grants first.

Starting with local grant opportunities for your business can be a wise move. These grants often come with less competition and are more accessible to small businesses. By focusing on these business grant opportunities, you increase your chances of success.

It’s beneficial to build relationships with local grantmakers. Understanding their business goals for community impact can give you an edge in grant applications. They look for business projects that align with their vision, making your grant application stand out.

Leverage your local networks and resources for support. Many communities have organizations dedicated to helping small businesses thrive, often through grant assistance. They can offer invaluable business advice and assistance throughout the grant application process .

Grants of All Sizes

Applying for business grants of various sizes is crucial in diversifying your funding sources. It’s a business strategy that balances risk and opportunity, ensuring a steady flow of resources and grant opportunities.

Small grants should not be overlooked. Despite their size, business grants can add up and often come with less competition. They might also require less comprehensive business grant applications, saving you time and effort.

Balancing efforts between large and small grant applications is key. Consider the potential return on investment (ROI) for each business grant opportunity. This approach ensures that you’re not putting all your eggs in one basket but rather spreading your efforts wisely in business and grant applications.

After Submission

Common mistakes.

After submitting a grant proposal, many small businesses wait anxiously for a response. However, this period can be used to reflect on the business grant application process and identify any potential errors that could have been made. Common mistakes in business grant applications include missing deadlines , which immediately disqualifies the proposal. It’s crucial to double-check all business grant submission dates in future applications.

Another pitfall in the grant application process for businesses is failing to follow the funder’s instructions or submitting incomplete applications. These oversights can lead to an automatic rejection. Businesses should ensure every question is answered and every required document, including grant applications, is included before submission.

Using overly technical language can also be detrimental. It might obscure the grant proposal’s objectives, making it hard for reviewers to understand the project’s value. Instead, aim for clarity and simplicity in describing your grant project’s goals and how they align with the funder’s priorities.

Lastly, not tailoring the grant proposal to directly address the funder’s criteria is a missed opportunity. Reviewers look for grant proposals that closely match their interests and objectives. Therefore, understanding and reflecting these grant priorities in your application is key.

Requirements Post-Grant

Understanding post-grant requirements is as important as securing the grant itself. Small businesses must prepare for reporting and audits that come with most grants. They should familiarize themselves with these grant requirements early on to ensure compliance throughout the project duration.

Maintaining good communication with the funder cannot be overstated. It builds trust and may pave the way for future grant funding opportunities. Regular updates on project progress demonstrate your commitment and responsibility towards the grant-funded project.

Setting up internal processes for monitoring and reporting on grant project progress is essential. This includes establishing clear roles within your team for who will handle reporting duties and how data on project outcomes will be collected, analyzed, and grant-related information managed. Such measures ensure you meet all post-grant requirements efficiently.

Additional Resources

Finding grants, federal databases.

Federal databases, such as Grants.gov, are treasure troves for finding government grant opportunities. They offer a comprehensive list of available grants across various sectors. Small businesses should dive deep into these resources . Familiarizing oneself with the search features is crucial. It helps in narrowing down the vast options to those most relevant.

The application processes on these platforms can be intricate. Hence, it’s advisable to understand them well ahead of time. Regular checks for updates and new grant announcements are essential. This ensures businesses don’t miss out on timely opportunities.

Corporate Databases

Corporate grant databases and websites are equally valuable for finding private funding opportunities. Many companies run corporate social responsibility (CSR) initiatives that include grants for small businesses. Researching these can open up new avenues for support.

Creating alerts or subscribing to newsletters from these entities can keep you informed about new grant opportunities as soon as they arise. This proactive approach can give businesses an edge in the competitive grant application process.

Grant Proposal Templates

Using templates can significantly ease the process of structuring grant proposals. They serve as a solid starting point for a grant, ensuring all fundamental aspects of a proposal are covered. However, customization is key. Each grant funder has specific requirements and guidelines that your proposal needs to meet.

It’s beneficial to review multiple grant templates to find the one that best suits your proposal’s needs. This not only saves time but also increases the chances of your grant proposal standing out.

Final Remarks

Navigating the world of grant writing for your small business can seem daunting, but armed with the right knowledge on proposal understanding, budgeting strategies, and submission guidelines, you’re set for success. Remember, enhancing your writing skills and applying strategically for grants are key steps. Don’t let the grant process after submission deter you; use it as a learning curve. The resources provided are there to guide you further.

Taking this journey can significantly impact your business’s growth, sustainability, and grant opportunities. It’s all about making smart moves, leveraging available opportunities, and utilizing grants. So, dive in, apply what you’ve learned, and remember—the effort you put in now can lead to substantial rewards down the line. Ready to make your mark? Start crafting that winning proposal today!

Frequently Asked Questions

How do i start writing a grant proposal for my small business.

Begin by understanding the grant requirements thoroughly. Then, outline your project’s goals, objectives, and how it aligns with the grantor’s mission. This initial step is crucial for a successful proposal.

What are key elements to include in my grant proposal?

Your grant proposal should clearly articulate your project description, objectives, target population, budget details, and the impact it will have. Transparency and specificity are key to standing out.

How can I create an effective budget for my grant proposal?

Start by itemizing all project costs realistically and justify each expense for the grant. Ensure your budget aligns with the project’s goals and the grant funder’s guidelines. Clarity and accuracy in this section are vital.

What are some tips for submitting a grant proposal?

Carefully follow the grant submission guidelines provided by the funding agency. Double-check your grant proposal for completeness and compliance with all requirements before submitting it on time.

How can I improve my grant writing skills?

Practice regularly, seek feedback from experienced grant writers , and consider attending workshops or courses on grant writing. Reading successful grant proposals can also provide valuable insights.

Is there a strategic approach to applying for grants?

Yes, research extensively to find grants that closely match your business needs and goals. Tailor each grant application to reflect how your project aligns with the funder’s priorities. Applying selectively but thoughtfully increases your chances of success.

What should I do after submitting a grant proposal?

Follow up with the grant funding agency if they allow it, but be patient as grant review processes can take time. Use this period to gather additional data or refine project plans that could strengthen future proposals.

• Tags Financial and Operational Management , Specialized Industry Strategies

Start Your FREE Business Growth Review and Consultation Today

Don't risk the common mistakes most Founders and CEOs make in exponentially growing their business and working to get leads and sales daily.

It's critical to get the qualified guidance to help you exponentially grow with less stress.

We're a Fractional CMO & CEO team that helps you grow 3 to 10x with less stress, get clients daily, and escape the rat race day to day.

We've helped over 5,000 Founders and CEOs from 180 industries and 13 countries over the last 30 years.

With our performance based model, the better you do (with your revenue and profits) the better we do.

We go beyond traditional agency or coaching as your Fractional CMO and CEO Team. We also give you access to the Implementation Team to 'get it done' and 'make your ideas real' .

Here's a small sampling of what you can expect:

• Grow 3-to-10x and Escape the Day to Day
• Flexible option based on your size & goals
• Get more clients daily with less stress
• No long term contracts

This is not a one size fits all model and we customize it for your situation. You get access to some or all of the following to help you IMPLEMENT when we work together:

• Web Developers
• Tech Experts
• Copywriters
• Graphic Designers
• Traffic Experts
• Content Writers
• Marketing & Sales Advisor
• Email Marketing
• & more!

Fill out the form or Call Us : 602-234-9410

Fill out the form or Call Us :

602-234-9410

Get a Business Growth Review & Consultation!

Enter your info below and one of our adviser's will get back with you ASAP. If you need immediate assistance, call: 602-234-9410

Do you want more clients? YES , Grow My Business NO , No Growth Please

How to Apply for (& Get) Small Business Grants

Opening a new business, or making improvements and upgrades to an existing one, requires capital – a fact you’re probably all to familiar with.   In many cases, small business owners must turn to lending opportunities through banks or investors , many of which come with added interest, fees, or credit requirements. However, small business grants offer a welcome departure from those financing options.

Small business grants provide owners with much desired funds but without those pesky repayment terms, though that doesn’t mean it’s easy money.   On the contrary, those who want to benefit from grants will need to work diligently to identify opportunities, complete applications, and prove that their business goals are aligned with the grant requirements. 

Of course, there’s more to winning grants than just following the requirements and submitting forms.   Businesses that want to secure the available funds will need to show a competitive edge, convincing the grant provider that their business is most worthy – a tall order when competition is high.

So how do you apply for these grants?   What can you do to put your best foot forward?   Here are a few tips to help you along the way.

Apply for Small Business Grants

Explore small business grants for businesses at every stage and quickly find the best grants for your business.

Know Where to Look

Grants come in all shapes and sizes and are extended on behalf of various entities, including government and nonprofit agencies, but also private companies and organizations. Don’t forget to look for grants specifically available to women and minorities.

It’s easy to hop online and search for “grants for small businesses,” but you could find the results overwhelming. Instead, you may want to check out (and bookmark) Small Business Grants: 24 Best Places to Apply ,   which covers some of the best small business grant resources, including Grants.gov and SCORE.org. Also keep in mind that Nav offers the “ Legitify Your Small Business “ grant worth $10,000.

It’s also worth your while to look into small business development centers and local business resources, as they typically have their finger on the pulse of, well, all things local business, including private small business grants.

Gather All Your Basic Business Information

Part of the application process will require you to provide basic-yet-essential business information.   The address, name, phone number, EIN, etc. for your business will be required, and as such, before you even start the application process, be sure that you can provide this information. 

Create or Update Your Business Plan

Regardless of what type of lending or financing opportunity you seek out, a business plan is likely to be a requirement.   Grants are no different, and in some cases, especially when it comes to federal grants, a business plan is required.

A well-written business plan will provide a comprehensive overview of your products or service, the target audience, and financial and operational requirements, among other things.   Together, these things show lenders and grant providers that you’ve done your homework and developed a comprehensive plan to get from point A to point B.

If you already have an existing business plan but your applying for a grant that will allow you to expand, pivot, or renovate, be sure to update your plan, as an outdated plan may not accurately describe your business or show how it meets the grant requirements.

Read & Understand all Requirements

Even if you have a stellar business plan , you’ve done your grant research and have found some potential opportunities your work isn’t quite done. One of the most complicated parts of the grant application process is actually properly submitting your application and supporting documents.

Many grant givers require the same basic information about how the funds will be used, your “elevator pitch,” your business plan, and your social media handles. Others, however,  require that you to submit a business proposal and other additional requirements, so be sure to read carefully before dropping your package in the mail.   The worst thing you can do it send in an application without thoroughly reviewing all the requirements and due dates.  In most cases, l ate or incomplete applications won’t be considered and it’s not likely you’ll get a second chance at the available funds.

Small business grants can provide your business with the cash necessary to get things started or take your business to the next stage in your long-term plan.   Finding and applying for grants may be overwhelming, but if you know where to look, prepare for the application process, and come armed with all the essential information and assets, you can increase your chances of beating the competition and obtaining much needed funds.

Know what you can qualify for before you apply

Nav is the only financial solution that evolves with your business, ensuring your business is always ready for financing.

This article was originally written on March 19, 2018 and updated on January 27, 2021.

Rate This Article

This article currently has 13 ratings with an average of 5 stars.

Jennifer Lobb

Jennifer is a alum of the University of Denver. While in the graduate program there, she enjoyed spending time identifying ways in which non-profits and small businesses could develop into strong and profitable organizations that while promoting strong community growth. She also enjoys finding unique ways for freelancers and start-up businesses to reach and expand their goals.

Have at it! We'd love to hear from you and encourage a lively discussion among our users. Please help us keep our site clean and protect yourself. Refrain from posting overtly promotional content, and avoid disclosing personal information such as bank account or phone numbers. Reviews Disclosure: The responses below are not provided or commissioned by the credit card, financing and service companies that appear on this site. Responses have not been reviewed, approved or otherwise endorsed by the credit card, financing and service companies and it is not their responsibility to ensure all posts and/or questions are answered.

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Save my name and email in this browser for the next time I comment.

Shop for Car Insurance

Other Insurance Products

Types of mortgages

Calculators

Find & Compare Credit Cards

Cards with Rewards

Cards for a Purpose

Cards for Building Credit

Credit Card Reviews

Understanding Credit & Score

Student Loans

Paying for College

Personal Finance for College Students

Life Events

Small Business Grants: Your Guide to Finding Funding

Small business grants provide financial aid without the burden of repayment, but obtaining them may be competitive. Federal and state agencies, corporations and industry-specific organizations may offer grant funding.

Quality Verified

Updated: March 15, 2024

• Small Business Grant
• Federal & State Grants
• Corporate & Private Grants
• How to Apply
• Specialty Grants
• Alternative Funding

Additional Resources

Advertising & Editorial Disclosure

Starting a small business is rewarding, yet securing initial funding is a common hurdle. Grants provide financial support without the obligation of repayment, but the allure of 'free money' typically results in stiff competition. As an entrepreneur, understanding the various types of grants, their advantages and limitations and the application process will help you secure grants that align with your business needs and increase your chances of acceptance.

What Is a Small Business Grant?

Small business grants are funds designed to support ventures that may not appeal to conventional lenders yet offer significant community value. These grants, sourced from government entities, private corporations and philanthropic organizations, are unique because they do not require repayment. The amount awarded can vary significantly, with some grants as modest as a few hundred dollars and others providing substantial support well over $10,000.

Grants vs. Business Loans: Key Differences

Grants may seem the ideal choice due to their non-repayable nature, but they come with their own challenges and stipulations. On the other hand, while requiring repayment, business loans can offer more flexibility and may be more accessible.

Federal and State Small Business Grants

The U.S. Small Business Administration (SBA) is a primary source for federal small business grants, providing various funding opportunities. These include grants and loans available through its Small Business Development Centers , many targeting businesses that focus on research and rural economic development. Numerous other federal and state agencies also offer specialized grant programs for small businesses.

Small Business Innovation Research Program (SBIR)

The SBIR program is a competitive grant initiative targeting small businesses engaged in research and development. Its goal is to stimulate scientific and technological innovation. The program is structured into three phases, each designed to serve distinct objectives and advance participants to the next stage of development.

Small Business Technology Transfer Program (STTR)

Like the SBIR, the STTR program emphasizes collaboration between research institutions and small businesses. A key feature of the STTR program is its requirement for the small business awardee and its associated institution to formulate an intellectual property agreement.

USDA Rural Business Development Grant

Administered by the U.S. Department of Agriculture, the Rural Business Development Grant program aims to bolster small businesses in rural communities. It focuses on stimulating job creation and economic development and providing financial assistance to businesses that are pivotal in rural growth.

The USDA provides two grant types: Opportunity and Enterprise. Opportunity grants are limited to up to 10 percent of the total annual grant funding. Enterprise grants are for projects that benefit small and emerging businesses in rural areas, as specified in the application. To learn more about how these grants can be used, visit their website .

Program for Investors in Microentrepreneurs (PRIME)

The PRIME program offers federal grants to microenterprise development organizations. These organizations also assist disadvantaged microentrepreneurs.

State Trade Expansion Program (STEP)

The STEP program supports small businesses aiming to expand their reach into international markets. This program grants businesses involved in exporting, assisting them in participating in foreign-market trade shows and other global expansion opportunities.

Environmental Protection Agency (EPA) Grants

The EPA Grants provide grants for small businesses striving to enhance the environment. These grants support innovative solutions and initiatives that address concerns such as air and water quality, pollution prevention and overall environmental quality.

Economic Development Administration (EDA) Grants

The EDA provides various programs, funding opportunities and grant competitions. Note that the EDA doesn't provide direct grants; you can review their funding options and apply accordingly.

National Institute of Food and Agriculture Grants

The NIFA provides grants to support small businesses within the agriculture and food sectors through three primary funding mechanisms: competitive, capacity and non-competitive. Competitive grant programs utilize a peer review process to select the best proposals from various institutions. Capacity grant programs help maintain research and extension capabilities within the Land-Grant University System. Non-competitive grant programs, mandated by Congress, support designated institutions in research, education or extension activities vital to state or regional needs.

Corporate and Private Grants for Small Businesses

Corporations and large companies often offer small-business grants as part of their philanthropic efforts. Some of these grants cater exclusively to nonprofits servicing industries. A significant number are also available to for-profit companies as well. While the application process might be more competitive, the potential rewards make it a valuable avenue for businesses seeking financial support.

How to Apply for Small Business Grants

Grant programs typically operate on annual cycles, announcing recipients well after applications are submitted. Given the fierce competition and precise eligibility criteria, it's helpful to understand the distinct requirements of each grant thoroughly. Using the steps below, you can start crafting a strategic application that effectively highlights the value and potential of your business.

Craft a Solid Business Plan

Many grants have specific application windows. Mark these dates and set reminders to ensure you start the application process well in advance. Set up alerts or regularly check grant websites to ensure you take advantage of new opportunities. Prepare a detailed business plan outlining how the grant funds will benefit your business.

Tailor Your Application

Review businesses that previously secured grants to gauge your chances. Avoid using a one-size-fits-all approach. For each grant, customize your application to address each grant's specific requirements and objectives.

Verify Eligibility

Have all necessary documents ready. This includes your EIN, DUNS number and revenue history. Also, double-check that you meet all the grant's eligibility criteria. This ensures your efforts are directed at viable opportunities.

Consider Professional Help

Local business organizations can guide you on grant applications. For substantial grants, consider hiring a professional grant writer. Their expertise can help articulate your vision and increase your chances of success.

Emphasize Innovation, Growth and Alignment

Focus on your business's innovative aspects and growth potential in your application. Highlight emerging technologies and how your business aligns with the grantor's mission.

Specialty Small Business Grants

Specialty small-business grants cater to distinct segments of the entrepreneurial landscape, ensuring that specific groups receive the support they need. These grants recognize their targeted demographics' unique challenges and offer tailored financial assistance. You can access resources that align closely with your needs by tapping into these specialized funds.

Small Business Grants for People From Racial Minority Groups

Entrepreneurs from racial and ethnic minority groups often face challenges in securing funding. Grants tailored for them aim to bridge this gap, offering recognition and financial support.

Small Business Grants for Veterans

After serving our nation, many veterans start a business . For veterans looking to kickstart or expand business ventures, the Veterans Business Outreach Center can be a valuable resource for finding support and assistance.

Small Business Grants for Women

Women entrepreneurs are making waves in business. There are grants tailored specifically for women-owned small businesses, aiming to bridge the funding gap and foster growth. Beyond these grants, local Women's Business Centers , with over 100 locations across the United States, offer invaluable resources and guidance. These centers can direct women entrepreneurs to additional grant opportunities or alternative funding avenues.

Alternative Funding Options for Small Businesses

Small business grants aren't always the most feasible or immediate solution for every entrepreneur. If you find yourself outside the grant eligibility circle or need quicker access to funds, there are several alternative avenues to explore.

Here are some resources that provide additional support and tools to bolster your business's success:

• General Services Administration : This independent agency provides resources to help businesses understand government contracting opportunities and how to market their contracts.
• Small Business Development Center (SBDC) : SBDCs ​​are corporate efforts that offer many services, including connecting businesses with potential small-business grants. Beyond grant assistance, they provide counseling, training and technical guidance on various business topics, from digital advertising to cybersecurity.
• State Business Incentives Database : This national database offers a user-friendly map feature, enabling business owners to select their state and instantly view available grants, tax credits and exemptions. Access is exclusive to members of the Council for Community and Economic Research (C2ER). A basic C2ER membership, which grants access to the database, is priced at $362 annually.
• Small Business Digital Alliance : This co-sponsorship agreement between the U.S. Small Business Administration (SBA) and Business Forward, Inc. provides a library of tools and resources for small businesses. They offer personalized resources for businesses.
• USBusinessGrants.org : This platform offers information on federal government grants with opportunities for various companies. The site emphasizes the limited small business grants provided by SBA.gov at the federal level.
• U.S. Department of the Treasury Small Business Resources : This platform provides links for reference and information related to small business programs. It does not endorse any non-government websites but offers a comprehensive list.

About Nathan Paulus

Nathan Paulus is the Head of Content Marketing at MoneyGeek, with nearly 10 years of experience researching and creating content related to personal finance and financial literacy.

Paulus has a bachelor's degree in English from the University of St. Thomas, Houston. He enjoys helping people from all walks of life build stronger financial foundations.

• American Association of University Women . " Current Funding Opportunities ." Accessed September 20, 2023 .
• Black Girl Ventures . " BGV Pitch ." Accessed September 20, 2023 .
• FedEx . " FedEx® Small Business Grant Contest ." Accessed September 20, 2023 .
• First Nations . " Grantmaking ." Accessed September 20, 2023 .
• Hello Alice . " $5,000-$25,000 Grants for Your Small Business ." Accessed September 20, 2023 .
• Lenovo . " Evolve Small Aid ." Accessed September 20, 2023 .
• National Association for the Self-Employed . " Growth Grants ." Accessed September 20, 2023 .
• National Black MBA Association, Inc. . " 2023 NBMBAA® Scale Up Pitch Challenge ." Accessed September 20, 2023 .
• SBIR.gov . " The SBIR and STTR Programs ." Accessed September 20, 2023 .
• Second Service Foundation . " Military Entrepreneur Challenge ." Accessed September 20, 2023 .
• Tory Burch Foundation . " The Fellows Program ." Accessed September 20, 2023 .
• U.S. Chamber of Commerce . " America's Top Small Business ." Accessed September 20, 2023 .
• U.S. Department of Agriculture . " Rural Business Development Grants ." Accessed September 20, 2023 .
• U.S. Economic Development Administration . " Funding Opportunities ." Accessed September 20, 2023 .
• U.S. Environmental Protection Agency . " EPA Grants ." Accessed September 20, 2023 .
• U.S. National Institute of Food and Agriculture . " Apply for a Grant ." Accessed November 20, 2023 .
• U.S. Small Business Administration . " Program for Investors in Microentrepreneurs (PRIME) ." Accessed September 20, 2023 .
• U.S. Small Business Administration . " State Trade Expansion Program (STEP) ." Accessed September 20, 2023 .
• Venmo . " The Venmo Small Business Grant ." Accessed September 20, 2023 .
• Verizon . " Verizon Small Business Digital Ready ." Accessed September 20, 2023 .
• Veteran Affairs . " VR&E Self-Employment Track ." Accessed September 20, 2023 .
• Visa . " Visa Everywhere Initiative 2023 ." Accessed September 20, 2023 .
• WomensNet . " Apply Today for a $25,000 Amber Grant for Women ." Accessed September 20, 2023 .

Everything that you need to know to start your own business. From business ideas to researching the competition.

Practical and real-world advice on how to run your business — from managing employees to keeping the books.

Our best expert advice on how to grow your business — from attracting new customers to keeping existing customers happy and having the capital to do it.

Entrepreneurs and industry leaders share their best advice on how to take your company to the next level.

• Business Ideas
• Human Resources
• Business Financing
• Growth Studio
• Ask the Board

Looking for your local chamber?

Interested in partnering with us?

Run » business financing, 65 grants, loans and programs to benefit your small business.

When you know where to look, help for your small business is there for the taking.

Whether you’re starting a new small business or looking to grow the one you already own, finding funding can be a challenge for businesses of all sizes. If you’re looking for a small business loan or grant, CO— is here to help.

Each week, we update this list of loans, small business grants, or other opportunities to connect with programs and organizations that can help you with your business. Come back often to see the latest. And, if your organization has a program or grant you’d like to see listed here, email us at [email protected] .

If you’re not sure of the difference between a loan and a grant, check out our explainer here . You can also learn more about all funding options in our small business financing guide here .

Government grants

Begin your search for a grant from the federal government at Grants.gov . This government site offers the most comprehensive database of funds the government is going to give away. There are thousands of grants to apply for, with opportunities for companies from all backgrounds.

Keep in mind that not all assistance flows directly from the federal government to small businesses. Some funds are distributed to state and local governments and agencies, nonprofit organizations, and institutions of higher learning. These entities, in turn, distribute the funds or use them to provide technical or educational assistance on a local level.

In addition to the programs listed here, be sure to check with your state and local governments and use the resources listed below. When searching through grant and contracting options, note that you may qualify for more than one program.

As illustrated by the following sampling of grants, the assistance available to you from the government will vary, depending on your specific situation.

• The Blueprint Medtech Small Business Translator Grant. This is a government grant for small businesses working on creating medical devices to treat nervous system disorders. It supports activities like making prototype devices, safety testing, and clinical studies to get approval from the FDA. The grant is a cooperative program where the NIH helps plan and monitor the research. It also provides funding and access to experts for things like regulations, patents, and manufacturing. Small businesses with their device ideas or collaborations with manufacturers can apply for this grant to advance their projects. The next deadline to apply is June 20, 2024.
• Employee Retention Credit. The Employee Retention Credit (ERC), sometimes called the Employee Retention Tax Credit, is a stimulus program established by the CARES Act. This refundable tax credit functions as a grant that helps businesses impacted during the COVID-19 pandemic. Eligibility guidelines are available on the IRS website .
• Illinois Infrastructure Grants. In 2020, Governor Pritzker launched an initiative to improve Illinois' infrastructure. $3 billion of this was allocated for capital grants through the Department of Commerce and Economic Opportunity (DCEO) . These capital grants, part of Illinois' $45 billion infrastructure initiative, are designed to support various projects that benefit local communities and businesses. The DCEO maintains a transparent list of these grants, which can be either general or specific project grants. You can find more information about these grants on the GATA website .
• The Minnesota Emerging Entrepreneur Loan Program (ELP). ELP is an initiative aimed at supporting the growth of Minnesota businesses owned by minorities, low-income individuals, women, veterans, and persons with disabilities. The program provides grant funds to nonprofit lenders across the state, which in turn offer loans to startup and expanding businesses. These loans not only foster business development but also aim to create jobs for minority and low-income individuals, strengthen minority-owned enterprises, and boost economic growth in disadvantaged areas. To participate in the program, eligible businesses must apply through certified nonprofit lenders, with DEED assisting in lender identification if needed, and loans are subject to DEED's approval.
• National Institute of Health Grants . The National Institute of Health (NIH) is currently funding grant opportunities related to COVID-19 research. These grants are reserved for small businesses that develop and research biomedical technology. There are multiple grants available with deadlines throughout 2024 and beyond.
• NIDILRR's SBIR program . The SBIR program aims to support organizations to help advance technology and research, as well as support the social/economic benefits for the nation. The SBIR will be backing the National Institute on Disability, Independent Living, and Rehabilitation Research (NIDILRR) through the Administration for Community Living (ACL) to provide 10 grants that support the improvement of the lives of those with disabilities. The total grant funding is estimated to be $1 million, and an outline of the available grants under this program can be found on the ACL website.
• San Francisco Accessibility Grant. Small business owners in San Francisco can apply for a grant to enhance accessibility in their establishments. The grant can cover expenses like accessible equipment, construction to remove ADA barriers, CASp inspections, design services, and relevant permit fees, with a maximum grant amount of $10,000. Eligible businesses must be registered in San Francisco, have less than $2.5 million in gross revenue for a single location, and employ an average of 100 or fewer employees. The application process is fast, and applicants can expect a response within 15 days of submission. Upon approval, they will need to provide proof of payment and photos showcasing accessibility improvements.
• Small Business Innovation Research Program (SBIR) . The SBIR offers grants to small businesses so they can participate in federal research and development with the potential for commercialization. It’s a highly competitive awards-based program that helps businesses achieve scientific excellence and technological innovation. To qualify for SBIR grants, you must operate a for-profit company and satisfy other requirements.
• Small Business Technology Transfer Program (STTR) . Similar to SBIR, the STTR program focuses on funding research in the R&D arena. However, what separates the STTR is the requirement that the small business has a formal collaboration with a research institution. To qualify for STTR grants, you must operate a for-profit company and satisfy other requirements.
• State Small Business Credit Initiative. The State Small Business Credit Initiative Investing in America Small Business Opportunity Program (SBOP) is a $75 million competitive grant program aimed at providing technical assistance, including legal services and financial management guidance, to very small and underserved businesses. The next application deadline is June 3, 2024. There is a maximum limit of $10 million per applicant.
• Texas Enterprise Fund (TEF). The Texas Enterprise Fund (TEF) offers "deal-closing" grants to companies competing with out-of-state sites for new projects in Texas. These grants are based on performance, encouraging significant capital investment and job creation. Eligible companies must meet criteria related to job creation, capital investment, financial stability, and local support. Once approved, grantees sign contracts committing to job and wage targets, with clawback provisions in case of non-compliance. The application process includes a thorough screening, and unanimous support from top state officials is required for approval.
• U.S. Department of Agriculture Rural Development Business Programs. The USDA’s Rural Development Business Programs provide financial support and technical assistance to promote rural business growth. They offer loans, grants, and guarantees with the goal of enhancing economic opportunities and job creation in rural communities; deadlines and eligibility requirements vary by program.
• U.S. Department of Commerce Minority Business Development Agency (MBDA) . Targeted grants and loans designed to aid minority-owned businesses are offered throughout the year. Minority-owned businesses can find information about local MBDA Business Centers at MBDA.gov .
• U.S. Department of Education (DOE) Grants. The U.S. DOE has various grants available to small businesses in the education sector. Each grant has unique eligibility criteria, with some opportunities set aside for public schools, state agencies, or nonprofit organizations; however, others allow applications from for-profit private sector companies. Deadlines for currently available DOE grants run through September 12, 2024.
• U.S. Small Business Administration State Trade Expansion Program (STEP) . Intended to assist small businesses desiring to export product, this program distributes federal funds through state entities . Small businesses that meet the criteria set by each state can use the financial assistance to participate in foreign trade missions and shows, obtain entry to foreign markets, develop websites, and design international marketing products or campaigns.
• U.S. Economic Development Administration (EDA) . The EDA is part of the U.S. Department of Commerce and offers ongoing funding opportunities for projects that support regional and national economic development. Applicants can apply for a variety of rolling-basis EDA investments that fund projects in construction, non-construction, planning, technical assistance, research and evaluation, higher education, and more.

As you would expect, acceptance of free money from the government comes with a fair amount of paperwork. Applying for a grant can be time-consuming and technical. You want to make sure, therefore, that you are eligible before applying. In addition to the legal and administrative prerequisites, there are ongoing reporting and auditing requirements.

Government contract assistance

The federal government spends billions of dollars on goods and services each year. A lot of that money is spent through a competitive bidding process. Programs have been put in place to assist some small businesses with the process, allowing them a better chance to compete for those federal dollars.

• Service-Disabled Veteran-Owned Small Business Program . The federal government seeks to award at least 3% of all federal contracting dollars to veteran-owned businesses annually, so this program helps with meeting that target. This federal contracting program offers assistance to small business owners who are service-disabled veterans . Eligible small businesses must be over 50% owned/controlled by one or more service-disabled veterans, have day-to-day operations and long-term goals managed by at least one service-disabled veteran and have a service-connected disability.
• Women-Owned Small Business (WOSB) Federal Contracting Program . The federal government seeks to award at least 5% of federal contracting dollars to women-owned small businesses annually. Through this SBA program , the Office of Women’s Business Ownership provides support to women entrepreneurs by offering business training, counseling, federal contracts and access to credit and capital. Their goal is to offer equal opportunities for all women in business.
• 8(a) Business Development Program . The purpose of this program is to assist small businesses owned by socially and economically disadvantaged entities. This is achieved by limiting competition for certain government contracts to businesses participating in the 8(a) business development program. To participate a business must be certified as an 8(a) entity.
• HUBZone Program . This program aids businesses in underutilized business zones by making them more competitive in regard to some government contracts. Businesses that join the HUBZone program can compete for set-aside contracts as well as receive preference on others, including a 10% price evaluation preference in open contract competitions.

Natural Resource Sales Assistance Program

In addition to the billions of dollars spent purchasing goods and services, the federal government also sells large amounts of natural resources and surplus property. The SBA Natural Resource Sales Assistance Program sets aside a percentage of these goods for bidding by small businesses only. In addition, federal agencies sometimes divide surplus materials into smaller parcels, making it easier for small businesses to purchase. The five categories are:

• Timber and related forest products.
• Strategic materials.
• Royalty oil.
• Leases involving rights to minerals, coil, oil and gas.
• Surplus real and personal property.

The program also provides training for small businesses on government sales and leasing.

General small business grants

There are many nonprofit and corporate entities offering grants and other assistance to small businesses. Here are a few such programs that are open to qualifying small businesses in any industry:

• 500 Global Flagship Accelerator Program . Startups and small businesses seeking funding can do so on a rolling, year-round basis with the 500 Global Flagship Accelerator program . Since 2010, this program has offered businesses the opportunity for a four-month accelerator program based in San Francisco in addition to a $150,000 investment. Rules for applying can be found on the company's website.
• Awesome Foundation Grants. Each month, the Awesome Foundation awards grants of $1,000 to individuals and groups looking to fund various projects. The Awesome Foundation is made of 84 independently-run chapters, with members contributing to a micro-funding pool that goes towards grant projects. Though funding is not limited to businesses, startups, and small businesses have been among the recipients of the monthly grants. Applications are accepted on a rolling basis.
• Bizee Entrepreneur Grant . Bizee (formerly Incfile) offers two grants to support aspiring entrepreneurs and students. The "Young Entrepreneur Scholarship Grant" provides $2,500 to a high school senior, undergraduate, graduate, or trade school student in the U.S. with a GPA of 3.0 or higher and an interest in starting a business. The "Fresh Start Business Grant" offers $2,500 and Bizee's Gold plan for free to adult entrepreneurs (21 years or older) in the U.S. planning to start a new business or significantly grow an existing one. Though dates for the next round of funding are "coming soon," entrepreneurs can review eligibility and application criteria in the interim.
• Fast Break for Small Business. The Fast Break for Small Business grant program, in collaboration with the NBA, WNBA, and NBA G League, offers small business owners and entrepreneurs the chance to win a $10,000 grant and/or up to $500 in LegalZoom products and services. Awarding a monumental $3 million in total grants and services, the initiative, currently in its third run, has already aided over 3,150 small businesses. The application window closes on September 13, 2024, at 8:00 p.m. ET.
• The Freed Fellowship Grant. This grant offers a monthly $500 to qualifying business owners in the US. Applicants are evaluated based on a “5C Framework”, which assesses various aspects of applicants’ business. Along with the grant, applicants receive feedback on their business and a two-month free membership in the Freed Studio, a community of ambitious business owners. Grant recipients are also eligible for an end-of-year grant of $2,500.
• GoFundMe Small Business Relief Fund . GoFundMe’s Small Business Relief Fund will match $500 grants to qualifying small businesses that have been negatively impacted by COVID-19 and raise at least $500 through a GoFundMe campaign. The fund is backed by GoFundMe and corporations like Intuit QuickBooks, Yelp, GoDaddy, and Bill.com. Small business owners with existing campaigns can add the hashtag #SmallBusinessRelief to their campaign and fill out this form to confirm their business.
• Skip Monthly Grants. Small business aggregator Skip offers monthly grants for U.S.-based small business owners and entrepreneurs; grants are typically set at $1,000, though the exact amount varies by Skip’s monthly YouTube revenue. To be considered, you must have a Skip account and add the monthly grant to your Funding Assistant, as well as be subscribed to Skip’s YouTube channel. Applications for the $1,000 May Skip Grant will close on May 27, 2024.
• Skip $10K Small Business and Startup Grants. Whether you’re a new entrepreneur or have decades of experience, Skip has funding opportunities to support your business. Entrepreneurs at all stages can apply for a $10,000 grant from Skip: early-stage entrepreneurs can apply through the Startup Grant , while the Small Business Grant is open to all entrepreneurs. Small Business Grant applications are due by May 15, 2024; the Startup Grant for new entrepreneurs will close on May 31, 2024.
• Skip Instant Grants. Skip offers Instant Grants on a rolling basis, providing funding opportunities with shorter turnaround windows. These grants are announced a couple of days in advance and generally occur twice a month. Applicants are required to participate in Skip’s YouTube livestream during the selection process. Learn more about these ongoing funding opportunities by following Skip on social media.
• Small Business Digital Readiness Program. In partnership with Verizon, National ACE has developed a digital readiness program to help small business owners succeed in a digital world. The free online curriculum includes expert coaching, peer networking, and other resources to support your small business. Those who register for the program and take two courses are eligible for a $10,000 grant. This opportunity is rolling and you can learn more at the program’s webpage .
• Small Business Readiness for Resiliency Program. Small businesses often feel the effects of a natural disaster the hardest. It can be difficult when starting a business to suddenly have to raise money to repair a roof or attend to flood damage. To help offset some of these concerns and costs, the U.S. Chamber of Commerce Foundation and FedEx have teamed up to create the Small Business Readiness for Resiliency (R4R) Program. The program helps small businesses put plans in place to prepare for disaster and also provides immediate emergency funding when necessary. Businesses are asked to complete a four-step process to be eligible for funding opportunities.
• Walmart Spark Good Local Grants. Organizations can apply for the Walmart Spark Good Local Grants program provided by Walmart and Sam’s Club, which offers grants ranging from $250 to $5,000 to address the unique needs of local communities. Tax ID status determines eligibility, with 501(c)(3) charities, public entities, and educational institutions qualifying. Grant applications are accepted quarterly, with Q1 submissions being accepted through July 15; all organizations must be Deed verified and have a Spark Good account to apply.

Industry-specific and diversity small business grants and programs

Some small business grant programs are confined to a specific entrepreneur demographic or business profile and they often have an application process that is easier to navigate. This is a sample list, so be sure to check with nonprofits and large corporations in your geographic area or industry.

• 2024 Merchant Maverick Opportunity Grant for Kid Entrepreneurs. The 2024 Merchant Maverick Opportunity Grant for Kid Entrepreneurs supports young visionaries by providing five $2,000 grants to fuel their innovative business ideas. Open to U.S.-based businesses majority-led by individuals aged 10-18, this initiative empowers kids with the creativity and drive to make their business dreams a reality, supporting them where traditional financing may not. Applications are due May 31, 2024, with five winners to be selected in mid-July.
• Accion Opportunity Fund. The Accion Opportunity Fund grants small business loans ranging from $5,000-$250,000, along with educational resources, coaching, and support networks in both English and Spanish. This program offers mentorship programs, microloans, and a hubzone program for small business owners’ financial needs. Accion Opportunity Fund works with a clientele that is 90% diverse, has created and retained over 50,000 jobs, and has generated $1 billion in economic activity. Those interested in applying for a loan can do so here .
• Amazon’s Black Business Accelerator Program. If you're a seller in Amazon's store, you may be eligible for the Black Business Accelerator Program. Created to support Black entrepreneurs, the program offers financial support, mentorship, business advice, and promotional support. Eligible sellers will have access to free imaging services, cash grant opportunities, advertising credits, and money toward start-up costs. You can learn more about this opportunity at their website .
• Amazon Business Small Business Grant Program. Amazon Business’s third annual Small Business Grant Program is set to award over $250,000 this year to eligible U.S.-based small businesses. There will be one grand prize winner who will receive $25,000, along with four $20,000 finalists and 10 $15,000 semi-finalists. Grant recipients will also walk away with one year of free Business Prime membership, Amazon devices, and Amazon Basics products. Current Amazon Business customers with an annual revenue of $1 million or less are eligible to apply; applications are due on May 24, 2024, with winners announced on July 22, 2024.
• Amber Grant Foundation . With a simple goal of supporting women entrepreneurs, the Amber Grant Foundation was founded by WomensNet in 1998. The foundation awards a series of grants throughout the year, including the $10,000 Monthly Amber Grant, two $25,000 Annual Amber Grants, and $10,000 each quarter for The Startup Grant and The Non-Profit Grant, respectively. There are also 12 Business Category Grants — an additional $10,000 each month — with all eligible applications remaining active until the month of their specific category.
• America’s Seed Fund. America’s Seed Fund, sponsored by the National Science Foundation (NSF), offers up to $2 million for U.S.-based startups and small businesses that are developing innovative technology. Project pitches are accepted on a rolling basis, and official responses from NSF typically take one month.
• Beyond Open Small Business Grants. This competitive grant program supports diverse-owned small businesses in the Charlotte, North Carolina area, offering funds for capital assets such as equipment, technology, inventory, and real estate, with a total of $15 million being awarded across three rounds. In 2023, Foundation For The Carolinas selected 116 small businesses in Charlotte's Corridors of Opportunity, which “supports six underinvested areas in Charlotte,” to receive a total of $4.8 million in grants from the Beyond Open program's second round, aiming to enhance economic mobility. Those interested in the 2024 Beyond Open funding can subscribe for updates for the opening of the third round.
• Binc Foundation Emergency Financial Assistance. The Binc Foundation provides emergency financial assistance to bookstore owners, booksellers, and comic store employees and owners facing unforeseen financial needs. Eligibility criteria include specific employment durations and financial hardship resulting from qualifying life events. Binc's assistance process involves a confidential application and documentation verification, aiming to help individuals regain financial stability.
• Carhartt For the Love of Labor Grant. Carhartt, a popular workwear distributor, created the Love of Labor grant program to help connect workers with trade programs in their local communities during an unprecedented labor shortage. Awards will be distributed on a rolling basis to “like-minded organizations” that are dedicated to the education, training, and placement of workers into trade jobs. Organizations with interest in the program can apply by reaching out to Carhartt directly. Nominations are accepted as well.
• Cartier Women's Initiative. The Cartier Women's Initiative Awards , initiated by Cartier in 2006, empower women impact entrepreneurs worldwide in various sectors, focusing on social and environmental sustainability. The program offers three award categories: regional, diversity, equity and inclusion, and science and technology pioneer. Winners receive financial support, coaching, and peer learning opportunities, with the diversity, equity and inclusion category open to all genders. Applications aren’t open yet, but aspiring entrepreneurs can prepare for the 2024 awards, which will feature 13 categories supporting 39 impact entrepreneurs globally.
• Casper Accelerate Grant Program. The Casper Association aims to support the adoption of blockchain technology via Casper, a scalable blockchain network. To support innovation within the blockchain industry, Casper has opened the Casper Accelerate Grant Program. Those who want to build apps to support infrastructure, end-user applications, and research innovation are invited to apply. This $25 million grant program has a rolling application deadline, so you can apply anytime here .
• Comcast Innovation Fund. Each year, the Comcast Innovation Fund provides grants to support technology and research “for the betterment of the Internet.” Areas of interest for the 2024 grant year include open-source development, general and targeted research, and work that enhances the growth of the Internet. Applications will be accepted until all funds for 2024 are disbursed.
• The Emerging Technology Fund (ETF). ETF is a financial resource aimed at assisting growing companies in Massachusetts . It provides loans of up to $4,000,000 to technology companies for purposes such as acquisition, expansion, working capital, or equipment purchases. To qualify, companies must demonstrate strong management, technical advancements, market demand, and solid financial records, making it a valuable tool for businesses looking to take the next step in their development and contribute to the region's economic growth.
• eBay Up & Running Grant. eBay, in collaboration with Hello Alice, is offering over $500,000 to support small businesses through its eBay Up & Running Grant program. Through this initiative, 50 eBay business sellers will earn a $10,000 grant package, which provides cash, educational resources from eBay, and a $500 stipend for purchasing essential office technology from eBay Refurbished. To be eligible, applicants must be over 18 and legal residents of the U.S. Additionally, they must have been selling on eBay since at least December 1, 2023, and maintain a seller rating of "Above Standard" or "Top Rated." Applications are due June 7, 2024, at 6:00 p.m. ET, and the winners will be announced in September 2024.
• Etsy Emergency Relief Fund. If you’re an Etsy business owner, you may be qualified to apply for relief funding courtesy of a partnership with CERF+, a nonprofit organization dedicated to helping artists prepare for and recover from emergencies and disasters. The partnership was established in 2017, and both companies continue to provide up to $2,500 in funding through the grant program. To apply, you must have been a registered Etsy business for at least one year and have been affected by a natural disaster. This grant opportunity is rolling.
• Foundation for a Just Society Grants . Foundation for a Just Society offers grants to local, national, regional, and global organizations and networks that support the rights of women, girls, and LGBTQI individuals. Grants are issued four times each year (March, June, September, and November), with invitations for proposals extended two months prior.
• Fund Her Future. Block Advisors, part of H&R Block, recently introduced the new grant initiative Fund Her Future , which allocates $100,000 to support female entrepreneurs in small businesses. The program will award one grand prize of $50,000 and four additional grants of $12,500 each to U.S.-based, majority women-owned businesses. Plus, all recipients will receive a year of complimentary business services including tax filing, bookkeeping, payroll, and business structure analysis. The deadline to apply is May 26, 2024. Grant recipients will be announced in June 2024, followed by a three-month period during which H&R Block will evaluate the grants' impact on the recipients’ success and business growth.
• Galaxy Grants. Galaxy Grants is on a mission to support women and minority entrepreneurs with their small businesses by offering valuable resources, tools, funding, and knowledge. They are running a $3,750 Galaxy Grant Giveaway , sponsored by Hidden Star, a 501(c)(3) organization, with a quick 30-second entry process. The deadline to enter is June 30, 2024, and winners will be announced the following week. Plus, there's an opportunity to win for both you and a friend, as each of you could receive a $3,750 grant if your friend wins, subject to the Terms and Conditions.
• Giving Joy. Giving Joy is a charitable organization that empowers women across the world to dream big and create positive change in their communities through grants. These grants, ranging from $250 to $500, are available to those with businesses in any sector and can be used to start or expand businesses, nonprofits, non-governmental organizations, or community projects that focus on benefiting women, girls, and families. Any woman over 18 is encouraged to apply. Applications for the next grant cycle will open on June 1, 2024.
• Grow-NY. The Grow-NY competition aims to attract food and agriculture startups from around the world, inviting them to join the region's growing ecosystem. This initiative welcomes businesses engaged in the food, beverage, and agriculture sectors, focusing on those that demonstrate potential for growth, sustainable and health-conscious practices, and a commitment to innovation across the agri-food value chain. The competition is open to established for-profit entities, and applications can be submitted until May 15, 2024, at 5:00 p.m. EST.
• HerRise MicroGrant. The HerRise MicroGrant offers financial aid to U.S.-registered businesses that are majority-owned by women of color, with a focus on businesses with innovative community solutions that are still struggling to obtain funding. Applications are reviewed monthly, with winners announced during the subsequent month's HerSuiteSpot First Friday Mixer. Nonprofits, franchises, direct sellers, authorized resellers, and independent consultants are ineligible to apply.
• Hivers and Strivers Investment Program. As an angel investment group, Hivers and Strivers works to provide capital to qualifying businesses. Specifically, the investment group funds projects submitted by veteran-owned and veteran-led businesses. Funding opportunities can range from $250,000 to $1 million. Those who qualify can apply for funding for a business idea on a rolling basis, but businesses reliant on government contracts are not eligible to apply.
• IFundWomen Universal Grant Application. This is a resource for female entrepreneurs seeking grants . Through partnerships with brands like Visa, Caress, and Comcast, IFundWomen has deployed over $170 million in grants to entrepreneurs. Applicants gain priority access to funding opportunities and resources within the IFundWomen community.
• Jobber Grants Program. The Jobber Grants program is awarding $10,000 grants to support 15 home service businesses that display excellence in their industry. Eligible businesses include those that provide one-time or recurring maintenance or repair in industries such as landscaping, car detailing, and pool maintenance, among others. Businesses across the U.S. and Canada (excluding Quebec) can apply. Applications only take five minutes to complete and are due on June 12 at 5:59 p.m. MT.
• #MomsMeanBusiness. ZenBusiness, a company that helps others launch and run their own businesses, has created the #MomsMeanBusiness campaign to recognize the resilience of moms and celebrate their accomplishments. To help mothers take the first step toward entrepreneurship, ZenBusiness is covering business formation costs and will help entrepreneurs form an LCC, track expenses, secure a business name, and more. All mothers are eligible and costs will be covered for “every mom in America.” The program is rolling and you can sign up here .
• The National Black Business Pitch. The National Black Business Pitch is a competition aiming to connect Black-owned businesses with corporations looking to diversify their supply chain. It seeks to go beyond offering just a seat at the table by focusing on opening doors and fostering long-term relationships that can lead to sustainable contracts. The selected 30 finalists will pitch to corporate procurement and supplier diversity professionals, with three companies receiving cash prizes of up to $10,000 to promote business growth and opportunity. Applications are due by June 3.
• National Association for the Self-Employed (NASE) Growth Grants . According to its website, the NASE has distributed over $1,000,000 in grants to its members. Its growth grants provide up to $4,000 to assist with training, marketing, and more. You must be a member for 90 days before you are eligible to apply.
• Patagonia Corporate Grant Program . Patagonia’s corporate grant program offers between $10,000 and $20,000 of funding to nonprofits with missions to protect and preserve the environment. If you meet the grant requirements, you can apply today.
• Rebuild The Block. Rebuild The Block was created with the sole purpose of supporting Black entrepreneurs. Through its grant program and donations, the company provides monetary support to Black businesses to help them connect with community members on a larger scale. Their popular grant program is open right now, but don’t wait to apply — the application form only accepts 90 applicants per three-month cycle. To apply, Black-owned businesses must detail how they’ve been affected by COVID-19 and/or looting destruction. More requirements can be found on the grant page .
• RTC Women in Tech Fund. Rewriting The Code (RTC) works to support college and early-career women in tech by providing them with opportunities to help disrupt gender and racial inequality in the industry. The RTC Women in Tech Fund provides financial resources to women enrolled in undergraduate tech programs to help cover costs that may be an obstacle to education. There are three different grants available depending on each applicant’s specific financial needs. All applications are accepted on a rolling basis.
• StartOut Scholarship Program . StartOut offers scholarship opportunities to LGBTQ+ entrepreneurs who wish to participate in their Founder Program and become a Giving Member. The initiative provides a 12-month membership for those LGBTQ+ entrepreneurs who have been underrepresented, underserved, and underestimated within their community.
• The United States-Brazil Climate/Inclusive Education Grant Competition. The 100,000 Strong in the Americas Innovation Fund promotes educational partnerships between the United States and Brazil, focusing on study-abroad initiatives that support student accessibility, mobility, and engagement. The U.S.-Brazil Climate/Inclusive Education Grant Competition invites U.S. minority-serving institutions to collaborate with Brazilian educational bodies to develop initiatives centered on climate action and inclusive education. Proposals must outline clear implementation strategies and address student exchange challenges. Seven grants of up to $40,000 will be awarded; applications are due July 31, 2024.
• The Wish Local Empowerment Program. This program brought to you by the e-commerce brand, Wish, assists Black-owned small businesses by dedicating a $2 million fund to support approximately 4,000 Wish Local partners. Recipients can receive financial assistance ranging from $500 to $2000, with flexibility in fund allocation. Eligible businesses must meet criteria such as having a Black-owned business with 20 or fewer employees and an average annual revenue under $1 million. Successful applicants will also join Wish Local, gaining access to its consumer base through various partnership opportunities.

Additional resources

The programs listed above are a good start when it comes to grants and funding. You may find additional resources available by following the links below.

• Agricultural Justice Project (AJP) , a program offering free resources and guidance for owners of farms and food businesses.
• Challenge.Gov , part of the General Services Administration's Technology Transformation Services, aids federal agencies in utilizing prize competitions and crowdsourcing to advance their goals. Hosting over 1,300 challenges since 2010, Challenge.Gov facilitated 105 in 2021 alone, totaling a prize pool of over $60 million alongside non-monetary rewards.
• Community Development Financial Institutions (CDFI) Fund , a government agency that offers financial support to certified lenders serving low-income communities. The CDFI is broken up into several different program areas, including Native Initiatives that provide training and assistance to Native communities, and the Capital Housing Fund that delivers affordable housing for low-income communities.
• Fearless Fund , a venture capital firm that actively invests in businesses led by women of color across the United States. Concentrating on early-stage investments in various industries, the fund looks for companies at the Pre-seed, Seed, or Series A financing stages, offering up to $3 million in exchange for a minimum equity stake of 10%.
• Funding options for Black-owned businesses , including venture capital firms and programs offering financing to Black entrepreneurs.
• Funding options for LGBTQ+-owned businesses , including resource networks and organizations that offer grants to LGBTQ+ entrepreneurs and those from other underrepresented backgrounds.
• Funding options for Hispanic-owned businesses , including funding sources and organizations aimed at supporting Latinx and Hispanic entrepreneurs.
• Funding options for minority-owned businesses , including multiple grants, funding sources, and low-cost loans that are intended to help minority-owned businesses grow.
• Funding options for women-owned businesses , including ten programs, agencies and organizations that are helping women entrepreneurs be better represented in the ranks of American business owners.
• GrantsForWomen.org , an online directory that provides a comprehensive database of grants for women globally, along with valuable advice on securing grants and information on relevant events and workshops for female business owners. The grants featured in the directory are sourced from reputable organizations, foundations, and venture capital funds, covering both nonprofit organizations and for-profit businesses.
• Resources and funding opportunities for AAPI-owned businesses , including accelerator programs, grants for AAPI entrepreneurs, and networking groups.
• SBA Small Business Development Centers , which can help companies of all kinds locate additional funding opportunities at the national and local level.
• SCORE , which can assign a volunteer business mentor who can provide guidance on numerous topics, including funding and operations.
• Tory Burch Foundation Funding Finder , a tool for founders that provides personalized funding recommendations and resources based on their responses to a few questions about their business financials and aspirations.
• Warrior Rising , a national organization designed to turn Veterans (and their immediate families) into “vetrepreneurs” through business opportunities in the form of mentorship, funding, education, and training. Since its inception in 2015, the program has supported over 26,000 Veterans — more than 5,400 so far in 2024 alone — and helped 21 Veteran-run businesses achieve a $1 million valuation.

CO— aims to bring you inspiration from leading respected experts. However, before making any business decision, you should consult a professional who can advise you based on your individual situation.

Follow us on Instagram for more expert tips & business owner stories.

CO—is committed to helping you start, run and grow your small business. Learn more about the benefits of small business membership in the U.S. Chamber of Commerce, here .

Become a small business member and save!

Become an integral voice in the world’s largest business organization when you join the U.S. Chamber of Commerce as a small business member. Members also receive exclusive discounts from B2B partners, including a special offer from FedEx that can help your business save hundreds a year on shipping. Become a member today and start saving!

Subscribe to our newsletter, Midnight Oil

Expert business advice, news, and trends, delivered weekly

By signing up you agree to the CO— Privacy Policy. You can opt out anytime.

More financing tips

How to use accounting software to generate accurate and timely financial reports, 21 funding options for black-owned businesses, what is alternative credit, and why does it matter for your smb.

By continuing on our website, you agree to our use of cookies for statistical and personalisation purposes. Know More

Welcome to CO—

Designed for business owners, CO— is a site that connects like minds and delivers actionable insights for next-level growth.

U.S. Chamber of Commerce 1615 H Street, NW Washington, DC 20062

Social links

Looking for local chamber, stay in touch.

• Search Search Please fill out this field.

What Is a Business Grant?

How business grants work, business grant types, advantages and disadvantages of business grants, requirements for business grants, how to apply, what is the difference between a grant and a business loan, what is the benefit of receiving a grant to fund your business, what is the most popular business grant, the bottom line.

• Small Business

Business Grant: Definition, Types, and Where to Find Them

Financing opportunities for businesses

Matt Webber is an experienced personal finance writer, researcher, and editor. He has published widely on personal finance, marketing, and the impact of technology on contemporary arts and culture.

A business grant is a sum of money given to a business by a donor. In the United States, the largest donors are the federal government, state governments, foundations, charities, and corporations. Business grants are usually given to businesses to achieve specific goals or to businesses that are owned or run by members of an underrepresented community.

Business grants are different from business loans in one key way: You don’t have to pay them back.

Key Takeaways

• Business grants offer many advantages over other types of business financing . Unlike a business loan, for example, a grant does not have to be paid back.
• Business grants are provided by various levels of government—federal, state, and local—and a wide variety of private charities, foundations, and corporations.
• Business grants are typically designed to support specific activities or specific types of business.
• It can be difficult to qualify for and secure a business grant, as the application process can be highly competitive.

Business grant programs are run by donors—including federal and state governments—to support businesses. Businesses can apply for grants from governments, corporations, foundations, or trusts, and if they are successful, they will receive a sum of money. 

The crucial difference between a business grant and many other types of business financing, including business loans, is that grants don’t have to be repaid. If a business receives a grant, it might have to report back to the donor on how it used the grant, or how it has supported the business, but the money itself can be kept.

Most business grants are designed to achieve a specific purpose. This can be to promote a particular type of business or a specific type of business activity, or to support people from communities that are underrepresented in the world of business. For example, a wide range of grants are available for research and development companies—businesses that work in highly technical fields—or businesses owned and run by women or minorities.

This means that the “average” company can find it difficult to qualify for a business grant. Even if your business does qualify, business grants are often highly competitive, so it can be quite difficult to actually get funding.

If your business doesn’t qualify for a business grant, plenty of other financing opportunities are available, including business loans with no credit check .

In general, the following steps are involved in securing a business grant :

• A business owner or employee identifies a grant that their business is eligible for, and submits an application for it.
• The donor organization will assess the application and decide whether the applicant qualifies for the grant.
• If an application is successful, grant money is then paid to the business by the donor.
• The business is often required to use this grant money for a specific purpose, but is not required to repay the donor.
• Typically, the donor organization will ask the business to report on how it has used the grant.

There are many different types of business grant. Some are administered by federal or state governments, some are focused on supporting certain types of business owner, and some are focused on businesses that operate in a particular field or geographical location. 

Government Business Grants

Government business grants are offered by three levels of government: federal, state, and local.

• Most federal business grant programs are administered by agencies of the federal government (such as the Department of Agriculture ) and are designed to achieve the agency’s specific objectives. These are generally the largest grants that companies can qualify for, but they are also the most competitive. 
• State and local business grants are usually smaller than federal grants , but are typically easier to secure because they are less competitive. Sometimes, state governments administer federal business grants and tailor their grants process to fit local priorities or objectives. 

Grants for Minorities, Veterans, and Women

There are also lots of business grants available for certain types of business owner. These include:

• Grants for veterans . The federal government has occasionally offered grants for business owners who are veterans. However, these programs aren’t available on an ongoing basis because they don’t run continuously. That said, veterans are able to access preferential business loan rates from the U.S. Department of Veterans Affairs (VA) to finance a business.
• Grants for women . If your business is female-owned or -run, you may have access to a wide range of governmental and private grants. The federal government offers grants to support this kind of business, as do a large number of private foundations, charities, and corporations.
• Grants for minorities . Similarly, a federal agency, the Minority Business Development Agency, supports businesses run or owned by Blacks and minorities to access grants and investment opportunities. Lots of local and city-level foundations also provide financial support.

If your business qualifies for a business grant, it almost always makes sense to apply for one. However, business grants have advantages and disadvantages compared to other forms of business financing. Here’s a look at both.

• The primary advantage of a business grant (over, say, a business loan) is that you don’t have to pay it back. Applying for a business grant also won’t affect your ability to apply for other forms of funding or financing, so it’s possible to receive both a grant and take out a business loan at the same time.
• Business grants can be helpful for businesses run by women or minorities. Both groups face structural barriers when it comes to accessing other forms of business financing, including loans, so grants are often crucial to their ongoing success.
• Business grants are also useful for capital-intensive businesses that don’t expect to make profits in the short term. For example, businesses that are focused on developing new technologies might need to rely on business grants for the period it takes to bring a profitable product to market.

Disadvantages

• Business grants can be fairly inflexible compared to business loans. Most donors require businesses to spend their grant in a specific way, and to confirm that they have done so. If your business priorities or market conditions change, this can mean that you are unable to use your grant.
• The amount of money that a business grant provides is usually smaller than a typical business loan. This is especially true for business grants given out by local governments or private foundations.

There are many different types of business grant, each focused on a different objective and each with its own specific requirements. This makes listing the “average” requirements for a business grant difficult and points to the need to read grant applications carefully.

However, most applications for a business grant will require:

• A well-developed business plan . This should outline the current status of your business, prove that it is stable and well-run, and outline your objectives for the future.
• An indicative budget . Most grant applications will require you to outline your current business budget , and to indicate how the business grant for which you are applying will fit in. 
• A justification for the grant . During the application process, most donors will ask you to explain why you need the grant that you are applying for, and how it will support or develop your business.

There are, broadly, five steps involved in applying for a business grant.

1. Find a Grant

This is likely to be the most time-consuming part of the process. To find a grant that is both suitable for your business and that you are able to apply for, you might have to search quite widely:

• For federal government business grants, there is a central database: grants.gov . This website will allow you to search for a federal grant against a number of criteria.
• For state and local government grants, there is no comparable system. To find these grants, you’ll have to search the websites of your state and local governments. Some states, however, offer consultation services for businesses, and these can point you in the right direction.
• Similarly, there is no central database for business grants offered by corporations, charities, or foundations. These grants are generally announced and advertised via the websites of the corporations, charities, or foundations that offer them, so you’ll have to do some research to find them. Since many of these grants are focused on a specific industry, a good place to start is to search online for grants offered in your sector. For example, you can search for “grants for manufacturing companies” or “grants for technology companies.”

2. Check Your Eligibility

Once you find a suitable grant, you should carefully check whether your business is eligible. Most grants have very specific eligibility requirements, and you don’t want to waste time applying for a grant for which your business won’t qualify.

Many grants, for example, are only available for businesses that have been operating for a specific number of years or that have an annual turnover below a certain dollar amount. Read the eligibility guidelines for any grant before starting your application, and, if possible, contact the donor organization to double-check that you are eligible.

3. Register

You will need to register an account on grants.gov to be able to apply for federal grants. For other types of grant, you might be able to skip this step.

You can apply for federal business grants directly through the grants.gov website. For other types of grant, the application process varies a lot. Typically, you will be able to apply for a business grant online, although some donors still require a paper form. In either case, however, the grant application documents will indicate how you should fill out the forms, and what additional documentation you need to supply.

5. Track Your Application

If you are applying for a federal grant, the grants.gov website will allow you to track the progress of your application and check on the decision once the time comes. For other types of grant, it’s often necessary to call or email the donor organization to get an update on your application.

You don’t have to pay back a business grant, but you do have to pay back a business loan. However, business grants are often less flexible than business loans, generally because you have to use them for a specific purpose.

A business grant can support a business to carry out a specific activity or provide support to a business that might find it hard to access a business loan.

The U.S. Small Business Administration (SBA) offers a variety of grant programs to support small businesses. The most popular federal grant program is the Small Business Innovation Research (SBIR) program, which provides funding for research and development projects.

The main advantages of a business grant over other types of business financing is that it doesn’t have to be paid back. Business grants are provided by various levels of government—federal, state, and local—and are typically designed for specific activities or types of business.

It can be difficult to qualify for and secure a business grant, as the application process can be highly competitive. However, for many businesses, a business grant represents a great opportunity for growth and development.

U.S. Chamber of Commerce. “ What’s the Difference Between a Grant and a Loan? ”

U.S. Small Business Administration. “ Grants for Community Organizations .”

U.S. Small Business Administration. “ Grants .”

Grants.gov. “ Grant Eligibility .”

Grants.gov. “ Grant Lifecycle Timeline .”

Grants.gov. “ Grant-Making Agencies .”

Minority Business Development Agency. “ MBDA Grants .”

U.S. Small Business Administration, via SBIR.gov. “ Leveraging America’s Seed Fund ,” Pages 3–6.

Grants.gov. “ Post Award Phase .”

Grants.gov. “ Pre-Award Phase .”

Grants.gov. “ Search Grants .”

Grants.gov. “ Applicant Registration .”

SBIR.gov. “ About .”

• Terms of Service
• Editorial Policy
• Privacy Policy
• Your Privacy Choices

3 Questions to Ask Yourself Before Applying for a Business Grant

It takes time and effort but can pay off in the form of capital that you do not have to repay.

Shortly after losing everything to a fire with my first company, I turned to pitching to and applying for grants to keep my business afloat. After doing some basic searches for grants related to my industry, I’d take a few hours per month to apply, a process that ultimately led me to win 22 of the 23 grants I went after and securing six figures in capital I didn’t have to pay back.

5 Grant Resources for Startups

• Hello Alice , an info hub for small businesses
• FedEx , which offers a yearly grant program (you must create an account to apply)
• Visa Everywhere Initiative , a grant competition for small businesses
• Ladies Who Launch , a grants database for women and non-binary founders
• NAACP’s grant database for Black founders

Any business that has between zero and $2 million in funding or revenue should consider applying for grants, especially before meeting with investors. Why? While working with investors means giving up equity in exchange for capital, grant money doesn’t need to be paid back. 

Applying for grants may seem time-consuming, but businesses that are at the idea stage or have up to $2 million in revenue or funding to date should take advantage of grant applications. It takes anywhere from one to three hours, on average, to apply for a grant less than $100,000 and anywhere from one to six months to find out whether you have received the grant.

The best part is that the questions for 95 percent of grant applications are similar in style and in format, so once you get to organizing your story, the problem, solution, go-to-market and more, you can almost copy and paste your answers for multiple opportunities, pending specific word and character limits.

I now coach founders in how to secure millions in grant money. Here are three questions I tell them to ask themselves before going for grant money.

more on the topic Here’s How 3 Startups Raised Money That Wasn’t Venture Capital

Does the Grant Make Sense for Your Business?

Not all grants are for all companies. For example, if you apply to the national FedEx grant competition, your company must be one that ships products because FedEx is a shipping company. This grant is a PR and marketing opportunity for FedEx (companies get a lot of media attention around their grants), so the company won’t want to promote a business that has no connection to shipping. 

Even if you think you’re familiar with an organization, spend an hour or so researching the particulars of its grant. Companies want to choose someone they can get behind, so understanding their motivations will be crucial. For example, if you’re applying for a grant promoting sustainability or climate change, but that is not part of your company ethos or you don’t plan to implement those kinds of initiatives, it wouldn’t be worth your time to apply. The grant selection process is supposed to be mutually beneficial; they are looking for you to make them look good and you are looking to them for credibility.

What Will You Do With the Money?

This is a question guaranteed to be asked in every application. The more detailed you can get about your use of funds , the more likely you are to impress them. 

Think about the impact of the allocation versus the sheer dollars going to random categories like marketing. If you were to spend a certain amount of dollars on specific marketing initiatives, what would that do for your business? If you used the grant for marketing , how exactly will that affect your revenue growth? If you use it to hire a new salesperson, how will that help you meet the company’s sales goals? If you spend it on a larger run of inventory, will it allow you to lower your costs? Get specific and quantify the impact.

more on alternative financing What Is Venture Debt? How Can It Support Diverse Founders?

Is It Worth It to Apply?

If you find yourself overwhelmed by a grant application, think of the payoff in terms of an hourly rate. If you’re applying for a $5,000 grant and it takes you two hours to apply, that’s like making $2,500 an hour if you get the grant.

It might seem like a lot of work at the onset, but it is well worth the one or two hours it might take to work through each application. Here’s a tip most founders don’t think about: Make a document recording every question and every answer you’ve submitted. Many times, you can batch apply, meaning you go back to your grant Q&A depository and copy and paste answers you’ve already used.

Here’s something else to remember: Grants are not always awarded in the form of money. Some organizations offer in-kind services. Others include credits for marketing, legal, printing or other business services that don’t have a cash value, per se, but still help drive the winner forward. These resources can lead to mentorship, introductions, partnerships and new business opportunities. 

For me, the process of applying for the grants was even more valuable than the actual capital that came with winning. Taking the time to write about my business forced me to get organized, while the organizations that put forth grant opportunities would typically offer mentorship or a network to further support businesses who apply.  When you’re mulling a grant application, remember that a little bit of effort can go a really long way. And who doesn’t love free money? Sure, it may take more time up front, but far less time and stress than fundraising and the best part is you’ll never have to pay your grant money back or give away equity to receive those funds.

Recent Expert Contributors Articles

7 Government Small Business Grants to Apply For in May 2024

Seeking funding is a right of passage for many small business owners. While there are endless private and government-backed loans to choose from, if you’re looking to evade strict repayment terms and steep interest rates, it could be worth considering government business grants.

Government business grants are financial awards issued by federal, state, or local authorities. There are thousands of grants up for grabs through government website portals, but since this type of financing is designed to support the public, their eligibility criteria tend to be quite specific.

If you’re interested in pursuing this type of finance, we round up some government grants small businesses can apply for in May, including their specialisms, funding limits, and deadlines. We also offer some advice for writing your application, to make sure your proposal is as competitive as possible.

In this guide: 

Government Small Business Grants to Apply For in May 2024

Tips for perfecting your government grant application.

Get the latest tech news, straight to your inbox

Don't miss out on the top business tech news with Tech.co's weekly highlights reel

By signing up to receive our newsletter, you agree to our Privacy Policy . You can unsubscribe at any time.

There are thousands of government funds to apply for. If you want to cut through the noise, take a look at some of the most popular options below:

• Small Business Innovation Research (SBIR) program
• Small Business Technology Transfer (STTR) program 
• Women-Owned Small Business (WOSB) Federal Contracting program
• 8(a) Business Development Program 
• HUBZone Program
• Small State Business Credit Initiative (SSBCI)
• U.S. Department of Commerce Minority Business Development Agency (MBDA)

1. Small Business Innovation Research (SBIR) program

• For: Small businesses interested in carrying out innovation research
• Funding limit: Over $2 million
• Deadline: September 5, January 5, and April 5

The Small Business Innovation Research program was designed by the Small Business Administration to encourage US businesses to engage in Federal research and development. The competitive program is open to select small businesses and specifically encourages participation from women and socially or economically disadvantaged persons.

To be eligible for the SBIR program, your business must be for profit, be over 50% owned by permanent residents of the US, and have fewer than 500 employees. To apply for the grant, you need to register your business with SBIR, if you haven’t already, submit a proposal before one of the program’s tri-annual deadlines, and then respond to feedback and refine your concept if necessary.

Learn more about the SBIR grant, and how to apply here .

2. Small Business Technology Transfer  (STTR) programs

• For: Small businesses that have paired up with a research institution

Like the SBIR, the Small Business Technology Transfer program is a government program focused on developing innovative solutions to pressing problems across the US. This type of funding aims to facilitate cooperative research and development efforts research between small business concerns and non-profit US research institutions, with the potential for commercialization of innovative technological solutions.

However, unlike the SBIR, this program requires the small business applicant to be teamed up with a non-profit research institution already, which typically takes the form of a university or Federal Laboratory. The STTR program is also focused on the transfer of technology from the research institution, rather than just the research alone.

Aside from being paired with a research institution, STTR’s eligibility criteria are nearly identical to SBIR’s.

Learn more about the STTR grant, and how to apply here .

3. Women-Owned Small Business (WOSB) Federal Contracting Program

• For: Women-owned businesses
• Funding limit: $4 million for service contracts and $6.5 million for manufacturing contracts
• Deadline: Rolling

The Women-Owned Small Business Federal Contracting Program was designed to build a level playing field for female business owners. The contracts are designated for specific industries where female-owned businesses are underrepresented. You can see which industries are eligible for the grant program here .

To be eligible for this program, you need to run a small business, have the business be at least 51% owned and controlled by US women, and have an economically disadvantaged woman manage the day-to-day operations and make long-term decisions.

Learn more about WOSB, and how to apply here.

4. 8(a) Business Development Program

• For: Socially and economically disadvantaged business owners
• Funding limit: $7 million for acquisitions assigned manufacturing NAICS codes and $4.5 million for all other acquisitions

The 8(a) program is a nine-year program created by the SBA to financially support firms owned and controlled by socially and economically disadvantaged individuals. It’s designed to span nine years and helps eligible businesses access new business paths from government contracting.

Since the creation of the program in 1970, it has helped disadvantaged businesses gain access to billions of dollars in funding. To be eligible for the government grant, you must run a small business, be at least 51% owned and controlled by US citizens who are socially and economically disadvantaged, have a personal net worth of under $805 thousand, and demonstrate good character.

Learn more about the 8(a) business development program, and how to apply here .

5.  HUBZone Program

• For: Small businesses in historically under-utilized business zones
• Funding limit: $3.5 million for products and services, and $5.5 million per contract for manufacturing

The HUBZone program is a SBA initiative designed to promote economic development and job growth in historically underutilized business zones (HUBZones). The program does so by offering financial grants to business owners operating within these communities.

To be eligible for this business grant you need to run a small business, have the business be at least 51% owned and controlled by a Community Development Corporation, an agricultural cooperative, an Alaska Native corporation, a Native Hawaiian organization, or an Indian tribe, have its main office located in a HUBZone, and have at least 35% of it employees living in the HUBZone for at least 45 days before applying.

Learn more about the HUBZone program, and how to apply here .

6. Small State Business Credit Initiative (SSBCI)

• For: Small businesses run by socially and economically disadvantaged individuals
• Funding limit: $20 million

The Small State Business Credit Initiative is a federal program designed to support entrepreneurship across the US. The grant program is provided by the US Department of the Treasury and was expanded by President Biden’s American Rescue Plan Act in 2021, providing an extra $10 billion in funding to eligible businesses.

In addition to providing capital support to small businesses, SSBCI can also provide technical assistance to eligible businesses through its Technical Assistance (TA) Grant Program. The SSBCI is available to businesses owner-occupied small businesses with 500 employees or less, and is specifically tailored to small businesses owned and controlled by socially and economically disadvantaged (SEDI) owners and very small businesses with less than 10 employees.

Learn more about the SSBCI program, and apply here .

7. U.S. Department of Commerce Minority Business Development Agency (MBDA)

• For: Small businesses run by minorities
• Funding limit: Up to $350,000 for the first 10 months

The U.S. Department of Commerce Minority Business Development Agency (MBDA) is a Federal grants program designed to promote the growth of minority-owned businesses. The ultimate aim of the program is to provide minority business enterprises (MBEs) with access to funds, contracts, and market opportunities both in the US and globally.

To be eligible for MBDA assistance, a business must be owned or controlled by one or more socially or economically disadvantaged persons. The majority of business owners must also identify as racial minorities.

To apply for an MBDA business grant, you need to register your business with SAM.gov and Grants.gov if you haven’t already, align your proposal with the stated requirements, and submit your application before the deadline.

Learn more about the grant, and how to apply here .

Government grants offer a golden opportunity to businesses looking to grow or recover their business. However, due to the competitive nature of the financing, you need to ensure your grant proposal is polished and stands out from the crowd.

We understand that writing a grant application might seem like a daunting process, especially if you’re a first-timer. So, to give your proposal the best chance possible of succeeding, take heed of these pointers below.

• Give yourself enough time –  You don’t want to be writing a grant application against the clock. Writing a proposal can take much longer than you expect, so to account for unexpected hold-ups we recommend giving yourself at least 45 days to complete your written application.
• Follow the instructions carefully – Don’t go off-piste when writing your application. Make sure you include all the information requested by the agency, and present it in the correct format.
• Be as concise and clear as possible – Ensure your application is written in clear, simple language, and use as many candid examples as possible to paint a clear image for your reader. If you use any graphs or imagery, make sure you label them clearly as well.
• Keep the audience in mind – The likelihood is that the reviewer won’t already be familiar with your business. To make sure you won’t gloss over necessary information write the proposal for an audience that’s hearing about your business for the first time.
• Develop a proofreading strategy – You don’t want to hamper your application’s success with silly mistakes like typos or grammatical errors. So, to ensure your proposal looks polished carefully proofread the application or outsource the service to a professional.

Stay informed on the top business tech stories with Tech.co's weekly highlights reel.

We're sorry this article didn't help you today – we welcome feedback, so if there's any way you feel we could improve our content, please email us at [email protected]

Written by:

11 Small Business Grants and Loans to Apply For in 2024

Getting a financial boost could be easier than you think,...

Company Offering $10K for a 30 Day Phone Detox, Apply Now

If you think you've got what it takes to do a one-month...

9 Innovative Startups To Watch Out For in 2024

Discover the startups that have triumphed over adversity in...

Claude 2.1: Anthropic’s ChatGPT Rival Gets New Killer Feature

As OpenAI hits the headlines for all the wrong reasons,...

How to Write an RFP for Grants – Everything You Need to Know

Updated: May 09, 2024

Published: May 08, 2024

Beth Goldowitz, who’s been managing nonprofit organizations for the past 20 years, says that when “managed correctly, grants can keep organizations afloat. They’re stable and predictable, a revenue stream that the organization can count on for the duration of a contract.”

But do you know how long it takes to write a single grant application?

Over 30 hours, and considering that grant writers usually get paid between $25 and $100 per hour, depending on their experience, it’s a significant cost. That’s why it’s so important for nonprofits to decide which grants to pick.

Your organization can make it much easier for applicants to assess if they’re the right fit for your project. It all comes down to getting your RFP for grants right, including adding the right sections and asking the right questions.

Before I dive deeper into the subject, let’s answer the question: what is an RFP for grants?

What is an RFP for grants?

The challenges of writing an rfp for grants, the anatomy of an rfp for grants, how to write an rfp for grants, best practices for writing an rfp for grants, rfp for grants resources.

An RFP for grants, or Request for Proposals, is a document issued by grantors such as foundations and government agencies encouraging nonprofit organizations to submit proposals for funding.

Essentially, RFPs offer nonprofits an opportunity to secure funding for various initiatives, irrespective of whether they relate to education, healthcare, or environmental causes.

Each RFP is tailored to achieve a specific goal, so submitted proposals must be in line with the objectives outlined in the RFP.

Free RFP Templates

Fill out the form to get these templates.

• One-Pager RFP
• Longer In-Depth RFP
• Designed PDF RFP

You're all set!

Click this link to access this resource at any time.

I have spoken to a few people working at nonprofits to find out what challenges they came across, either while creating their own RFPs or preparing RFP proposals. Here are the most common obstacles.

Lack of Sufficient Information About the Procurement Process

The quality of your procurement process will impact the quality of the applications you receive. If you don’t share enough information about it, like the timeline, budget, selection criteria, etc., then two things might happen:

• You will receive applications that aren’t the right fit for the project.
• A lot of applicants who are the right fit won’t take part in the process as they’ll feel discouraged by the lack of clarity.

The more detailed and logical your procurement process is, the higher the chances of receiving high-quality proposals.

RFP Grants Failing to Communicate the Vision Clearly

This is an RFP grant challenge that has come up the most frequently.

Gauri Manglik, CEO and co-founder of Instrumentl , says that “many organizations struggle to articulate what specific issues they are trying to address and how the grant they offer will drive impact.”

What often happens is that RFP grant writers take a scattered approach instead of having a cohesive strategic framework. As a result, it’s hard for founders who give out grants to evaluate the proposal’s purpose and potential.

Manglik adds that “the most effective RFPs have a sharply defined focus outlining the goals, target population, and theory of change for proposed activities.”

Not Understanding the Legal Implications of the Grant

Grants often come with terms and conditions that must be followed to stay compliant. Failing to do so might result in penalties or even in grants being revoked.

These terms and conditions should be clear and easy to understand to minimize the risk of breaching them.

Jonathan Feniak, general counsel at LLC Attorney , says, “When writing RFP grant proposals, it’s crucial to understand the legal implications of the grant and factor any liabilities into your plan.

If any IP is developed with grant funding, you must specify ownership rights to avoid potential conflicts with donors later.”

Feniak also notes that proposals should clearly outline your expectations, and you must agree on whether the charity or the investor owns its rights.

“Generally, it’s best to consult your legal team throughout the RFP writing process to manage the risks and clearly outline IP ownership,” adds Feniak.

Ensuring clarity and specificity in the language used.

It’s vital to use a language that is not only clear but also specific so it’s easier for potential bidders to understand what’s expected of them. This applies to the requirements, objectives, and expectations of the project.

Kimberly Wall, co-founder of BibleKeeper , says, “The challenge lies in articulating the project’s goals, objectives, and expected outcomes clearly using words that are not really overwhelming the potential applicants with unnecessary details.”

Using the right language will eliminate confusion among nonprofits and make sure that their proposals accurately correspond to the needs of the RFP issuer.

RFPs for grants come in two forms: concise, short tables, where information is filled out in bullet points, and longer ones, which cover each section in detail.

The former aims to give a high-level overview, while the latter is where applicants take a deep dive into their proposal.

So, there isn’t such a thing as an “ideal” length for an RFP. These types of documents can take up multiple pages and usually function as downloadable PDFs.

If you’re wondering what elements grantors should include, then here’s an RFP structure we recommend at HubSpot.

RFP: [Project Name]

Proposal Due By: [Date]

[Organization Name]

In addition to the name, this section could also feature a short overview of your mission. Don’t include a long history of your organization. Instead, use this space to provide a bit of context on what it does and its target market.

Project Overview

A brief introduction to the project itself to let nonprofits know right away if it’s something worth bidding on — no longer than 1-2 paragraphs.

Project Goals

This section identifies what you hope to accomplish through assigning funds to relevant organizations. Specify what you’ll see as a “win” so everyone is on the same page.

Scope of Work

A description of the project and a scope of work — either detailed, if it’s a long RFP, or bullet points if it’s short.

Current Roadblocks and Barriers to Success

In this section, mention any potential constraints that could either disqualify certain candidates or increase the operational complexity of meeting goals.

Evaluation Metrics and Criteria

Here, you outline how you’re going to choose grantees. There are different approaches — some companies use simple “yes” or “no” evaluations to check if a proposal meets the project objectives.

Other organizations use percentages to score more important criteria higher than others.

Submission Requirements

Exact guidelines bidders must adhere to.

Project Due By

If there is a specific project delivery date, mention it in the RFP. This will help you filter out applicants who can’t guarantee completing it within the required timeline.

Here, you should include the target budget. Specify if this budget will be distributed among multiple organizations or assigned to a single grantee.

General Conditions of Contract

This could include information like:

• Applicant’s legal status.
• Your stance on subcontracting.
• Indemnification, insurance, and liabilities.

Some templates also suggest asking questions that you expect bidders to answer — these can serve as a way to further check their alignment with your mission.

So, now that you know what goes into an RFP, let’s learn how to write them. Below, I’ll describe the steps you should take when tackling this paperwork.

In each section, I’ll work through the steps, as I build a mock RFP for sustainability nonprofits.

My sample organization, Earthly Partners, is looking to fund sustainability projects based in the Southwestern United States. Let's get started.

1. Identify the objectives.

In this step, I want to list all the key information, like goals, timeline, budget, and applicant profile.

As you gather these, you’ll likely come across some informational gaps or considerations that require expert knowledge, like legal considerations and grantor/grantee obligations.

This is an important preliminary stage, which should end with a complete list of information you’ll need to evaluate bidders.

Testing It Out

So, what does my organization, Earthly Partners, want to accomplish? We want to focus on fighting climate change in the South West, particularly through drought relief and community advocacy.

We are able to provide grants of up to $50,000 to each nonprofit.

2. Write an introduction.

Now, I want to provide a bit of information about the organization and the area we focus on. I may also include my organization’s values, current challenges, and the problems we would like to address.

Here is an example of an intro to Earthly Partners’ RFP. Here, we highlight the mission that we focus on and a little bit about our mock organization’s history.

Earthly Partners is pleased to announce the availability of grant funding to support projects that align with our mission of environmental conservation and advocacy.

Established in 2010, Earthly Partners has been dedicated to promoting eco-friendly practices, water conservation, and community empowerment. We recognize the importance of fostering innovative solutions and collaborations within our community, and through this grant opportunity, we aim to support projects that demonstrate creativity, sustainability, and significant impact.

We are most interested in projects focused on community advocacy for climate policies and drought relief.

3. Provide a project description.

This section should serve as a high-level overview. Potential applicants will look at it to quickly assess whether they can propose a relevant project within the required timeline and available budget.

Here’s my project description for my mock sustainability nonprofit:

Grant Purpose: The purpose of this Request for Proposals (RFP) is to solicit proposals for projects that address environmental conservation, climate change mitigation, or sustainable development.

We seek proposals that offer innovative approaches, foster community engagement, and contribute to the long-term sustainability and resilience of ecosystems and communities.

Grant Details:

• Total Funding Available: $50,000
• Grant Duration: 12 months
• Grant Amount: Grants may range from $2,500 to $10,000
• Eligibility: Nonprofit organizations and community groups operating within the Greater Metropolitan Area are eligible to apply.
• Application Deadline: July 31, 2024.

4. List clear requirements.

Here, I can specify what exactly I need to know about the proposal. That includes asking the applicants for the project description and how it will help fulfill the goals of your grant.

Continuing with the sustainability grant project from above, this section could look like the following:

Proposal Guidelines:

Applicants are invited to submit proposals that address the following key components.

• Project Description: Provide a detailed description of the proposed project, including its objectives, activities, target population, and anticipated outcomes.
• Project Impact: Clearly articulate the potential impact of the project on the environment or the local community. Describe how the project will contribute to positive change and address identified environmental or social needs.
• Innovation and Creativity: Highlight any innovative approaches or strategies proposed to address the identified environmental or social challenge. We encourage applicants to think creatively and propose solutions that may be outside traditional approaches.
• Sustainability: Demonstrate the project’s sustainability beyond the grant period. Describe plans for ongoing funding, partnerships, and stakeholder engagement to ensure the long-term success of the project.
• Roadblocks to Success: Identify potential challenges or roadblocks that the project may face and describe strategies to overcome them. Consider factors such as regulatory hurdles, community resistance, funding constraints, or technical limitations.
• Budget and Timeline: Provide a detailed budget that outlines how grant funds will be used. Include a project timeline with key milestones and deliverables.

5. Include a submission deadline.

Here, I want to call out the deadline for submissions and explain my preferred way of submitting proposals.

For Earthly Partners, I want to have proposals by the end of July. I call that out, along with my preferred submission format, below.

Submission Instructions:

Please submit your proposal electronically to [email address] no later than July 31, 2024. Proposals should be submitted in PDF format and include the organization's name, contact information, and the title of the proposed project in the subject line.

​​​​6. Be clear on the evaluation factors.

It’s important to explain all the elements your organization will pay attention to while evaluating applications.

Applicants who do not meet your criteria will likely withdraw from submitting their proposal if they don’t see they’re a good fit. This, in turn, will help you pre-qualify organizations and shorten the selection process.

For Earthly Partners, I want to explain how we plan to evaluate applicants and give an overview of next steps. This allows me to explain what projects are likely to receive funding and the timeline for these evaluations.

Evaluation Process:

Proposals will be evaluated based on the following criteria:

• Alignment with Earthly Partner’s mission and grant objectives.
• Clarity and feasibility of the project proposal.
• Potential impact and sustainability of the project.
• Innovation and creativity of proposed approaches.
• Budget justification and cost-effectiveness.

Notification:

Applicants will be notified of funding decisions by August 31, 2024. Successful applicants will receive further instructions regarding grant agreements, reporting requirements, and funding disbursement.

7. Proofread and edit the document.

I use the editing process to make sure that all the necessary elements are included in my RFP and that the instructions are easy to follow.

Failing to use easy-to-understand language might result in low-quality submissions. It’s a good idea to ask a few of your colleagues for feedback to ensure you’ve not missed any important details.

Here are a few considerations to take into account while preparing your RFP.

Dedicate time to selecting the right eligibility and application criteria.

This is, arguably, the single most important section of your RFP — perhaps even more important than “budget,” as NGOs will want to quickly assess their eligibility.

Esther Strauss, co-founder of Step by Step Business , agrees:

“Given the diversity of causes we support, from education to environmental conservation, finding a grant that provides the necessary funding and also aligns with our goals can be like searching for a needle in a haystack.”

Strauss says that, whenever applying for a grant herself, she needs to know if her organization can genuinely meet the grantor’s requirements while staying true to the organization’s objectives and values.

The need to get the application “right” can also extend to selecting the right application format or method. “The pressure to get it right is immense, as these grants can significantly impact our ability to serve our community,” she adds.

So, how can you make it easier for applicants to assess if they’re the right fit and avoid application mistakes?

Include clear information like:

• Only bidders who meet at least X out of Y criteria will be considered.
• Proposals must be sent in [FORMAT] by [DEADLINE]. Applications sent in through other channels will not be considered.
• Application needs to include a proposed schedule.
• Proposals must be shorter than [NUMBER] pages. Failure to comply with this guideline will result in an automatic rejection.

For a real-life example, you can also look at this RFP proposal from the U.N. , which keeps the requirement descriptions clear and concise.

As you can see, the quality of the proposals and organization fit lies largely in your hands.

Image Source

Simplify negotiations by including key contract terms.

Earlier, I’ve mentioned that many RFP grant writers struggle with translating legal requirements in the RFP.

Wayne Tung of Sendero wrote a great piece on this subject, encouraging RFP publishers to give it the same level of attention as requirements and scope.

“Many people do not include contract term requirements, such as legal and commercial terms, in RFPs. This results in prolonged negotiations,” or even failed grants, he says.

Featuring the main contract terms in the RFP shows respect for both parties — you as the project operator and the organizations seeking funding.

Sometimes, fewer questions are better.

I spent quite some time going through Reddit threads popular among the RFP community, and one of the most interesting points I’ve seen was about question-fit.

One Redditor, roger_the_virus , blatantly says grantors should avoid “useless questions that won’t provide helpful answers. I do my best to make sure we’re not asking for a bunch of information we don’t need and won’t do anything with.”

That said, when it comes to questions, don’t automatically discredit applicants who can’t answer all of them. Offer organizations that have pitched a fitting project and budget the opportunity to ask follow-up questions.

This will prevent them from submitting answers with low informational value, i.e., responses that are vague or unrelated to your query.

Speaking of supplementary questions, this leads to the next point.

Provide clear contact information.

The larger your organization, the less likely it is that there will only be one person responsible for proposal reception and answering questions from applicants.

However, even if it’s an entire office, you should provide contact information with the relevant communication method — either walk-ins between a specific time, like Monday to Friday, email address, or phone number.

Bear in mind that many nonprofits apply to RFPs ongoingly and will only do so if they see that the grantor can help with applicant requests. Here’s an opinion on Reddit from an RFP proposal writer, which garnered multiple upvotes:

“I won’t respond to an RFP unless they commit to giving me their time for detailed discovery and a chance for them to read me the RFP requirements line by line and why they’re important.”

Disclose any potential blockers.

Finally, be transparent about any potential roadblocks winning bidders might come across.

When applying for grants, NGOs need to know if they have the means to complete the project and if there are any other issues, like conflict of interest.

For example, say your organization wishes to assign funds to boost literacy rates in remote rural areas. One of the prerequisites could be having established relationships within target communities.

Such an approach will help preselect applicants, particularly those who don’t have the operational capacity to navigate around any potential constraints.

Here are three resources that might come in handy while drafting an RFP for grants.

1. Candid’s Foundation Directory

Candid’s Foundation Directory shares essential information to help you make smart and strategic funding requests. These resources and tools give you access to funding opportunities that go beyond RFPs.

It includes a list of foundations, including their profiles, funding priorities, application procedures, and contact information.

RFP writers can go through the proposals that have been published already and use them as inspiration to create their own.

2. Free RFP Templates From HubSpot

HubSpot’s Free RFP templates are a great starter kit and will help you draft your request in no time.

This resource gives you two RFP versions — a shorter one and a longer one. Both documents are fully customizable, allowing you to easily add your company name and logo.

You can download them in PDF or turn them into a Microsoft Word or Google Docs file.

These templates include all the crucial elements of an RFP, such as:

• Company name and background.
• Project goals.
• Expected project timeline.
• Submission requirements.
• Evaluation criteria.
• Potential roadblocks.

Each section comes with a quick explainer to help you get the contents right.

Download HubSpot’s RFP Templates for Free

3. Reddit – RFP Subreddits

Unsurprisingly, Reddit is one of the best places to learn from RFP experts as well as understand the applicant’s perspective.

I especially recommend following the RFP subreddit and navigating into more intricate conversations and topics from there.

While many of the discussions cover not only grants but also commercial projects, the advice is universal.

It also goes without saying that you shouldn’t just lurk around the corner — if there’s a challenge you’ve come across while drafting your RFP, this is the community you should ask for advice.

Getting Your RFP for Grants Right

Writing the RFP is the first — and arguably — most important step in the entire grant process. How so? It’s up to you as the grantor to select the right questions and criteria and explain the purpose of the project.

Remember, the more information you provide potential applicants, the easier it will be for them to assess if they fit the grant objectives. And this, in turn, will lead to a higher quality of proposals.

While there isn’t a one-size-fits-all template for each project, there are certain must-have sections to include. So, refer to this article to get a head start next time you need to create an RFP for grants.

Don't forget to share this post!

Related articles.

Can Automation Help You Ace Your RFP? I Used AI to Find Out

RFP: How to Write a Strong Request for Proposal [Example & Template]

The Ultimate Guide to RFPs

RFIs: The Simple Guide to Writing a Request for Information

RFQ vs. RFP: What’s the Difference?

How to Win More Proposals by Interviewing Your Prospects

Why You Should Never Email a Proposal

The Right Way to Think About Your Marketing Software RFP [+Sample]

Free, Unique RFP Templates to Start Using Immediately.

Marketing software that helps you drive revenue, save time and resources, and measure and optimize your investments — all on one easy-to-use platform

Join Our Community!

Log in or create an account

User Agreement

Thank you for registering!

An account was already registered with this email. Please check your inbox for an authentication link.

Never miss a thing!

Sign up for our free newsletters and get the best of QCity Metro delivered to your inbox.

Support our work

We believe Black-owned media is vital to building healthy, Black communities. When you support the work of QCity Metro, you also support the communities we serve.

Thanks for your contribution!

Party with Black Charlotte at our Great 28 Celebration - get tickets now

QCity Metro

News, Opinion & Events for Charlotte's African American community

City of Charlotte announces grant for business district organizations

Share this:

• Click to share on Twitter (Opens in new window)
• Click to share on Facebook (Opens in new window)
• Click to share on LinkedIn (Opens in new window)
• Click to email a link to a friend (Opens in new window)

The city of Charlotte announced a new grant for business district organizations within the Corridors of Opportunity. 

The Start-Scale-Sustain (S3) grant is for Business District Organizations (BDOs) within the Corridors of Opportunity.

Organizations that wish to apply must:

• Be a nonprofit with an existing or pending 501(c)3 or 501(c)6 designation.
• Serve a business district in the Corridors of Opportunity.
• Represent at least 10 businesses from the business district they serve.
• Be an active SAM.gov Unique Entity Identifier, the official name of the “new, non-proprietary identifier”,  or have a fiduciary/fiscal sponsor with a UEI

Applications are being accepted through June 14 at 5 p.m. 

City staff will host a question-and-answer webinar on Thursday, May 16, at 11 a.m.

Participants must register for the webinar to get a virtual meeting link and submit questions prior by emailing [email protected] .For more information on the grant program and application guidelines, please visit the S3 grant webpage .

Charlotte’s indoor activities: Museums, coffee shops, and thrills for a rainy day

Mecklenburg County’s behavioral health plan aims to improve access and quality of services

‘Hadestown’ delights with captivating performances and emotional impact

NC runoff elections likely to be decided by small group of voters who show up

Leave a comment.

Your email address will not be published. Required fields are marked *

Save my name, email, and website in this browser for the next time I comment.

We've recently sent you an authentication link. Please, check your inbox!

Sign in with a password below, or sign in using your email .

Get a code sent to your email to sign in, or sign in using a password .

Enter the code you received via email to sign in, or sign in using a password .

• Subscribe to our newsletters: Keep up daily with the news and events that impact Black Charlotte

Sign in with your email

Lost your password?

Try a different email

Send another code

Sign in with a password

Progressive ® Driving Small Business Forward: $50K Grants

Applications are now open for the Progressive®   Driving Small Business Forward grant program , in collaboration with Hello Alice ! 

This year, Progressive is dedicating $1 million to award 20 deserving businesses with a $50,000 grant each. Grant recipients will also be invited to attend an exclusive 12-week virtual Boost Camp coaching program, designed to equip business owners with the tools and resources to help them achieve their growth objectives.

To qualify for the grant program, you must be an entrepreneur who is the leading executive of a business that meets the below business criteria:

• Have 10 or fewer employees and less than $5M in annual gross revenue;
• Be a for-profit business located and registered in one of the fifty United States and the District of Columbia; excluding U.S. Territories;
• Have a demonstrated need for a qualifying commercial vehicle to run your business and a clear plan for growth as a result of this vehicle purchase;
• Not be an independent contractor whose primary business is for a rideshare service such as Uber or Lyft, or third-party food delivery such as UberEats, DoorDash, PostMates, Grubhub, Instacart, etc;

No purchase necessary. 18+, U.S. only. For official rules and how to enter, see the Terms and Conditions and FAQs .

Application Timeline

The Progressive ® Driving Small Business Forward grant program will accept applications from April 29, 2024 at 9 a.m. ET to June 14, 2024 at 6 p.m. ET.  Applications will be reviewed by a committee in accordance with the review criteria outlined in the official Terms and Conditions . Recipients will be notified by email and publicly announced in August 2024. 

About Progressive Commercial Insurance 

With over 50 years of experience, Progressive Commercial Insurance offers a full range of business insurance products featuring competitive rates and first-class service. They offer customized insurance solutions for both heavy and light commercial vehicles, as well as business insurance coverages including general liability and business owners policies, professional liability, workers’ compensation and more. Progressive is a Fortune 100 company and trusted by thousands of small business owners to protect their livelihood.

*Ranked as the No. 1 commercial auto insurer based on SNL Financial’s 2022 National Written Premium Data.

Cookie Consent

Hello Alice uses cookies to make your experience even better. By clicking "Accept All" , you consent to the use of ALL cookies outlined in our Cookie Statement , Privacy Policy , and Terms of Service .

• 2024 Spring restaurant grants

Sign up for restaurant insights

Grubhub is excited to announce three grant opportunities for small business restaurants made possible in part by the Grubhub Community Fund . Running a local restaurant comes with its fair share of challenges. These grants are aimed at helping restaurants in need grow their businesses.

Spring grants restaurants can apply for in 2024:

• AAPISTRONG Restaurant Fund : Application opens on May 1.
• NGLCC Community Impact Grant: Applications open on April 30.
• NYC Greg Hill Foundation’s Restaurant Strong Fund: Applications open on April 26.

Apply for the AAPISTRONG Restaurant Fund

The AAPISTRONG Restaurant Fund , enabled by the Grubhub Community Fund, aims to support Asian American, Native Hawaiian, and Pacific Islander-owned eateries nationwide. In light of ongoing economic hurdles in the industry, this initiative provides assistance to under-resourced restaurants grappling with supply chain disruptions, rising inventory expenses, workforce development, and employee safety concerns. 

Through this funding, AAPI restaurant owners can enhance their businesses by investing in infrastructure upgrades, embracing e-commerce and technological advancements, offering better employee benefits, and refining operational efficiency. Ultimately, these endeavors empower AAPI entrepreneurs to expand their business, fortify their financial stability, and enrich their communities by nurturing safe and welcoming gathering spaces. 

With over $5 million to 351 AAPI establishments in the past three years, the AAPISTRONG Restaurant Fund and the Grubhub Community Fund remain steadfast in championing the tireless efforts and commitment of Asian American, Native Hawaiian, and Pacific Islander restaurant owners.

Application Timeline:

• Application opens May 1 until May 31, or if we reach 5,000 applications, whichever comes first.
• Application review will occur in June and July.
• Grant results will be announced in August.

Click here to apply for the AAPISTRONG Restaurant Fund.

Apply for the NGLCC Community Impact Grant

LGBTQ+-owned restaurants and bars across the country are eligible to apply for this year’s NGLCC Community Impact Grant , made possible through the partnership between National LGBT Chamber of Commerce (NGLCC) and the Grubhub Community Fund. 

Individual grants range from $5,000 to $25,000. Restaurant owners can use these grants to bolster employee wages, upgrade infrastructure, fuel marketing efforts, and more. The NGLCC aims to allocate 30% of the funds to businesses owned by people of color and transgender and gender expansive (TGX) individuals. 

Application Deadlines:

• East Region Application: 4/30 – 5/21
• Central Region Application: 5/14 – 6/4
• West Region Application: 6/4 – 6/25

Click here to apply for the NGLCC Community Impact Grant .

New York City: Apply for the Greg Hill Foundation’s Restaurant Strong Fund

The Grubhub Community Fund in collaboration with the Greg Hill Foundation Restaurant Strong Fund is announcing a grant opportunity of $500,000 for New York City restaurants. This grant will assist New York City-based restaurants in enhancing the environmental sustainability of their operations.

Starting on April 26, the Restaurant Strong Fund will be accepting applications for this grant cycle. The focus will be on providing financial support for recent or future upgrades to kitchen equipment, particularly coal-and wood-burning ovens, with the aim of reducing carbon emissions. This grant seeks to ease the burden on small businesses as they undertake necessary operational enhancement to promote environmental sustainability.

Grants up to $5,000 will be available to restaurants who complete the application form and meet the following criteria:

• Must be an open restaurant that is currently operating in New York City
• Must have recently updated (no earlier than January 1, 2024) or will soon update kitchen equipment that aims to improve environmental sustainability, including reducing the restaurant’s carbon footprint through emissions reduction.
• Must provide a detailed plan on how the grant will be used and how funding will help make operations more environmentally friendly.

Click here to apply for the Greg Hill Foundation’s Restaurant Strong Fund . 

Strengthen your takeout and delivery business strategy with Grubhub

Here at Grubhub, we are dedicated to helping small businesses grow. With over 33 million diners on our app, Grubhub continues to help connect small businesses to hungry, paying customers.

Restaurant delivery and pickup are continuing to rise in popularity as customers grow accustomed to convenience. 90% of customers expect consistent or increased usage of food delivery apps going forward. With food delivery trends evolving, Grubhub is committed to be a leader and resource to help grow restaurants of all kinds. Learn more about how we can support your business by partnering with Grubhub today.

Trending articles

• 5 restaurant menu ideas to attract more customers
• Best third-party delivery in Boston
• Menu engineering: How to make a profitable restaurant menu
• Memorial Day menu ideas for restaurants

More articles like this

March game day promotion ideas for your restaurant

The 2024 college basketball tournament is tipping off this March. Is your restaurant ready to roll out winning...

Master the art of negotiating a restaurant lease...

Discover valuable tips and strategies for negotiating a restaurant lease successfully. Learn how you can craft the perfect...

Boost your restaurant sales with creative back-to-school promotions

It's back-to-school season! Make your restaurant the go-to place for students and families by running these back-to-school promotions.

Best Practices to Maintain Restaurant Culture and Retain...

Hiring and training new employees is a significant portion of every restaurant’s budget. Here’s how to retain employees...

Don't leave money on the table

The faster you partner with grubhub, the faster your business can grow..

Join Grubhub Marketplace and get access to all the benefits that go with it. All fields required

Already have an account? Sign in

Don't miss out - drive higher ROI for your Restaurant!

Nearly 9 out of 10 restaurant owners surveyed agree that Grubhub delivers a high ROI to their business - higher than the competition average*

Thrive on your own terms with flexible pricing and marketing rates as low as 5%.

*Grubhub Restaurant Intelligence Technomic Report 2022