Business Grants
Grant Information
There are many myths about grants for small businesses. Small business grants are scarce. To our knowledge, there is no grant money available for starting a small business. In some cases, there may be limited grant programs available to small businesses in a specific industry serving a special purpose, such as a lunch program for a day care or research and development for technology businesses. However, these programs are typically narrow in scope. Most small business owners have to look to personal resources and loans to finance their small business.
The vast majority of grants are for nonprofit organizations and educational institutions - not for-profit businesses. By and large, these are fundable organizations with a clear mission and a comprehensive program already in place. They have a track record within the community and are not start-up organizations. Obtaining funding is highly competitive among nonprofit organizations.
Locating grant-funding sources is a time consuming process that entails utilizing resources such as grant indexes available at public libraries and on the Internet. There is not a "list" of grant providers. There are thousands of private and public funding sources, but only a small amount may be applicable to a grant seeker's particular geographic location, mission, or purpose. There must be a logical match between the grant provider's purpose and the grant seeker's intended use.
A grant is not "something-for-nothing" and should not be equated with "free money." A grant proposal outlines goals and outcomes that, if not carried out, may necessitate the return of funds to the funding source.
Grant announcements can be lengthy, and typically require interested applicants to prepare a grant proposal. Applications requirements and deadlines are strictly enforced. Proposals that do not adhere to the requirements will not be considered, and applicants do not have the opportunity to "fix" their errors. Proposals go through a review process, and awards often are not announced for several months following the application deadline. Grant recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application.
The SBA offers a variety of programs to America's small business community. Chief among them is the SBA's guaranteed loan program, through which the SBA provides a guarantee on bank loans made to small business borrowers. For details about SBA's loan programs you can go to:
SBA loan programs
http://www.sba.gov/
Catalog of Federal and Domestic Assistance
http://www.cfda.gov/
The Catalog of Federal and Domestic Assistance is a online catalog that gives you access to a database of all Federal programs available to state and local governments (including the District of Columbia); federally-recognized Indian tribal governments; territories (and possessions) of the United States; domestic public, quasi-public, and private profit and nonprofit organizations and institutions; specialized groups; and individuals.