Small Business Grants
Small Business Grants
The idea of getting a business grant appeals to many Americans. That is because small business grants are the obvious way to get into positive cash flow right away, and start making money immediately. In theory, the process for obtaining government money like this is easy:
1) Find a grant on the internet
2) Send in a form
3) Sit back and wait for approval of funds
If you are thinking that getting money cannot be that simple, then you are partly right, and partly wrong. The secret lies not in what you do, but how you do it.
Tracking Down the Right Grant Program
There are a few small business grants at Federal level, but the real action is mainly in the State government arena. Many grants are highly specific, because they are tied to particular political agendas. These include increasing types of businesses in short supply, or following social agendas. Eligibility is another tricky issue – grantors frequently use narrow criteria that include sex, race, age, current financial performance, location of the business, and exactly how the applicant plans to spend the money. More often that not States define eligibility in terms of a combination of factors, and this is where the pipeline narrows radically. That is where the “how you do it” bit comes in.
At this stage you may be wondering whether it is worth continuing to apply for a business grant, given the complexities? The answer lies in your responses to the following questions:
Do you have the energy, time and reserves to spend on identifying an appropriate business grant opportunity, and applying for it?
What will happen to key business activities, like marketing and selling while you are distracted?
Should you do this work yourself, or pay an expert to process an application on your behalf?
Does your business need the money right now, perhaps to survive, or could you defer the expansion for up to a year while your grant application is being processed?
Do you have an alternative, if your small business grant application is not successful?
If your analysis confirms your thoughts about applying for small business grants, then you should search for these on the following government websites:
Links to State Websites: http://usgovinfo.about.com/od/smallbusiness/a/stategrants.htm
This site is useful because it takes you straight to relevant pages for a particular State. The next lists thousand of grants from government agencies without charging a single cent for this valuable information. Be aware that many grants in the catalog are lined up towards minority groups, especially in rural areas – do not waste your time on these if they do not fit the bill.
Catalog of Federal Domestic Assistance: https://www.cfda.gov/
5 Hot Tips to Get You Moving
Make sure that you provide complete and accurate information, as required. If you do not, there is a good possibility that a clerk may reject your application when it hits their desk, without even a cursory review. At best, the reviewer will return your file with questions that will delay the process even further.
Without exerting undue influence or asking for favors try to build a professional relationship with the grant officer allocated your case. Questions that you may ask relate to time and budget constraints, and outstanding concerns around your case.
Try to stand out among the other applicants. Think, look, speak and dress like a true businessperson. Display your business acumen, emphasizing how you would spend the grant in line with the grantor’s goals.
If your business proposal is complex, consider bringing an accountant or a technical expert to the meeting. Anything that adds credibility is good news for your application.
Stay in touch with your grant officer in a professional way without being irritating or intrusive. A good trick is to ask is “When may I contact you again? – then stick to what was agreed.
Applying for small business grants is not an easy thing in practice, and you will need determination and commitment to succeed. Always exhaust other opportunities first. That said, if you qualify for one, what is stopping you from applying today?
