The Best Small Business Government Grants in 2022

Learn how to take advantage of government grants to help you start or grow your company.

  • Grants from the government are federal, state, and local programs that help small businesses start or grow.
  • Only apply for grants you are eligible for, and that meet all conditions.
  • For coronavirus relief programs in your area, contact your local government.
  • This article was written for small business owners, new and old, who are looking to get a grant from the government to help grow or launch their businesses.

The Best Small Business Government Grants in 2022

money.defendthegrave.com It can be expensive to start and expand a small business. There are many financial options available that will help you secure financing. Many small business owners consider government grants a good option. Many grants are offered by the federal, state and local governments to small businesses in order to help them launch, grow and develop their business. Find out which government grants are the most attractive in 2020, how to apply, and five tips for helping your business get one.

What is a Small Business Grant?

A small business grant is basically free money that is given to small business owners to help them start, grow or expand their business. Although grants are not required to be repaid, they can often be restricted in how the money is spent.

A grant may not be free, but that doesn’t make it easy to obtain. Grants are difficult to obtain and require a lot of preparation. They are also highly competitive. Small businesses should only apply for the grants that they are eligible.

Small business owners and entrepreneurs can apply for grants such as grants from private corporations or grants from the federal, state and local governments. There are grants available for certain industries and specific demographics. For example, minority-owned businesses can receive grants that are specifically tailored to them.

The key takeaway:Small Business Grants are money that is given out by private companies or the federal, state or local governments to small businesses.

 

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Business loans vs. business grants

You don’t have to repay a grant, as we discussed earlier. You may not be eligible for grants if your business is just starting or you are in an early stage of startup. Grants can also have limitations due to strict requirements regarding grant applications and grant proposals. Your request will be denied if your proposal or application doesn’t comply with the agency’s requirements.

Finding a loan provider is a good option if you are just starting your business (two years or less).

business loan has one advantage: you can get the capital you need, while grants are limited and may not be sufficient to meet your company’s financial needs. One advantage of a business loan is the flexibility that lenders offer, with some having lower income requirements or a shorter time limit.

Where can I find grants for business?

Here is a list with some of the best resources to help you find grants that will benefit your business.

  • SBA.gov ranks high among the best places to find grants. This government site has many funding and grant opportunities.
  • Grants.gov provides the ultimate source for federal grants. You can search grants by funding type, eligibility and category (arts and commerce, health, and business), as well as agency. You should be aware that it will take some time to sort through the database, but you might find the perfect grant opportunity for your company.
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There are many resources available, including federal funding and private funding, to help businesses deal with the severe economic contraction that has been affecting the world as a result of the coronavirus.

  • The SBA administers the Economic Injuries Disaster Loans and can be used to provide working capital for businesses to pay rent, employees, and other expenses.
  • Companies like Verizon also offer loans to the government, but grants can be made to small businesses through funds.

Small businesses can receive government grants

Many small businesses find government grants attractive as a source of funding. Grants.gov, Challenge.gov and the U.S. are all well-known sources of government grants. The U.S. Economic Development Administration, Grants.gov and the Small Business Administration (SBA) are two well-known sources for government grants. However, small businesses should seek out every level of government (federal and state) to get the best grant possible.

These government grants are available to small businesses if this is an option that you are looking at.

Small Business Innovation Research Programs and Small Business Technology Transfer Programs (SBIR, STTR).

For-profit small businesses that are interested in science and technology innovation can apply for grants from the government through the SBIR or STTR programs. These grants are very competitive and encourage small businesses to do research and develop their product in order to commercialize it.

These programs offer small businesses the opportunity to partner with non-profit organizations in addition to funding. You must have a U.S. small business with less than 500 employees and more than 50% U.S. citizen ownership to be eligible.

These programs can be broken down into three phases.

  • Phase 1:Award ranges from $50,000 to $250,000 for six months or one-year (STTR) The goal is to assess technical merit, commercial potential, and feasibility.
  • Phase 2: TheAward for two-years is $750,000 (SBIR/STTR). This award is intended to support research and development activities that began in Phase I.
  • Phase III:Funding cannot be provided by STTR or SBIR programs. Commercialization is the goal.

State Trade Expansion Programs (STEP).

STEP funding is a grant program that provides funding for small businesses at the state level. STEP grants are awarded to state entities in order to increase sales and exporters in the state.

To locate STEP awardees within their state, small businesses can search for them to gain access to STEP resources and expand their customer reach. STEP financial assistance helps small businesses export, take part in foreign trade missions, design and develop products that will attract foreign buyers.

Environmental Protection Agency grants

Through billions in grants and other assistance agreements, the EPA supports a wide range of businesses, including small non-profits as well as large state governments. Its primary focus is on the improvement of the environment and human health. You can find helpful information on the EPA homepage, including grant and training opportunities, application processes and rules and policies.

USDA Rural Business Development grants

A USDA Rural Business Development grant may be available to small businesses with fewer than 50 employees and less than $1million in gross revenue. Rural areas have a population of under 50,000 people.

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This grant is available to municipalities, towns, states agencies, nonprofits, and other public entities. This grant will be used to help rural businesses that are small or emerging in rural communities. It can be used for industries like land acquisition, development, pollution control, abatement, economic development, and rural transportation improvement.

Other loans, grants and guarantees are also offered by the USDA to rural areas. You can refine your search by selecting a specific sector or state. You will find information about each grant including the deadlines, funding amount and eligibility requirements.

U.S. Department of Education grants

The U.S. Department of Education offers grants to small businesses in the education sector. There are many grants available for specific purposes, including scientific research, rehabilitation, special education, and state education. Every grant includes program information such as who can apply, total program funding and award ceilings.

Service-Disabled Veteran Owned Small Business (SDVO SBC).

Through the Service-Disabled Veteran Owned Small Business Program, the U.S. Small Business Association provides federal grants to small business owners who are service-disabled veterans.

You must meet certain operational and ownership requirements to be eligible for the program. Your small business must have at least 51% ownership and control by service-disabled veterans, and one or more service members who make long-term and daily decisions. You will be eligible for set-aside contracts as a member the SDVO SBC Program.

Funding available for small businesses that have been impacted by COVID-19

A general government grant may not be the best option if your company is in financial trouble due to the coronavirus epidemic. The SBA provides additional funding to help those who have been affected by the pandemic.

These options include:

Ty Stewart, president and CEO of Simple Life Insure, stated that “many states offer relief programs and short-term funding for hard-hit companies.” The chances of finding suitable opportunities increase the closer you search, so prioritize those available in your state or county.

Ryan Pitylak (chief marketing officer and co-founder of ZenBusiness), has listed several examples of local grants to give you an idea about what kind of relief might be available in your locality.

These programs are less popular than other local funding programs, but they are still very competitive. You can apply for local COVID-19 relief programs that have already provided all their current funding. Check the details to find out if they are planning to provide another round.

How to determine if your company is eligible for a grant

It can be difficult to apply for business grants. You can narrow your search down to just a few grants by carefully reviewing the deadlines and details of each grant. You have met the business criteria. Now, you need to make sure your goals match those of the grantor.

Will Ward, CEO at Assistive Listening HQ, stated that businesses need to know the problem they will solve with the grant. If the grant is to solve a particular problem, it should be double-checked.

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Ward recommended that you research similar problems being solved by other businesses and the amount of the investment. This will allow you to prove your eligibility for the grant. After you have found a grant that matches your company’s goals, you need to confirm that you can meet the grantors requirements.

How to apply for and get a grant from the government

It can be difficult to get a grant from the government. Grants are technically not free money. However, it is important to spend a lot of energy and time on your application in order to give your company the best chance of receiving funding.

Pitylak stated that it will take a lot of time to complete all the paperwork and submit the grant application. To determine if it is worth the effort, you should do a cost-benefit analysis.

It is the same process as securing any grant from the government. First, you will need to gather your application materials ( business plan, records of business, funding goal, etc.). Next, you will need to define the type of grant you are eligible for. Then, carefully review the requirements and select those that apply directly to your business. Before applying, you may meet with the funding source.

The last thing you should do after you submit your grant proposal or hire a grant writer, is to wait. Wait at least three to six month before you follow up on a grant that does not have application tracking or next steps.

It is easy to apply for a grant from the government. But how do you receive it? Five tips to secure a grant were shared by business leaders.

  1. Make a professional resume. It’s worth spending the time to write a professional resume. A professional photo and a business plan are also helpful.
  1. Find a partner organization. “Start off by looking for large corporations and brands that are headquartered in your region that have a corporate social responsibilty strategy.” Stewart said. Businesses often support grants programs and partnerships that help to develop communities, particularly around their headquarters. They have an interest in keeping these communities thriving and supporting small businesses.
  1. Connect with the economic development council of your county or city. Stewart said that this branch of government often puts together a continuous list of grant opportunities. Working with members of the economic development council can help you keep in touch on grants and increase your visibility in your local community. This will be a benefit when it comes to applying for grants.
  1. Use your digital assets. Ward stated that businesses should also be focusing on digital assets such as social media handles and websites along with other assets. Ward stated that digital assets are the face of a company and should make a positive first impression to people searching for it.
  1. You can think outside of the box. Ward stated that small businesses must stand out from other grant applicants. Ward stated that business owners need to think outside the box and come up with innovative ideas to impress their managers. A simple video explaining why your business plan merits investment can suffice.

The key takeaway: Create a professional resume, connect with local corporations, local economic development councils, highlight digital assets, and be creative when applying for grants.

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