The SBA recently published The Truth Behind Government Grants for Small Businesses an article that clarifies some misconceptions about federal loans. Frankly put, there isn’t a money tree orchard for entrepreneurs. In order to qualify for a federal or state grant, your business needs to fit a need that has been identified by the government. This usually means some sort of scientific research or conservation. Grant funds won’t cover start-up or operational costs, nor can they be used to pay off debt. For the vast majority of entrepreneurs, funds will need to come from personal savings, friends and family, or bank loans. For others, maybe crowdfunding is the way to go.
If you think your business may qualify for a grant check out grants.gov which houses a database of grants available from the federal government.
Do you have questions about grants, loans and other sources of funding? We can help you get your financials and business plans in order for applications as well as explore other options in the community. Contact us to get started.