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How can you get a grant to fund a business?

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Quick Answer

Small businesses involved in commercializing technology can apply for federal research and development grants through the Small Business Innovative Research program, reports the U.S. Small Business Administration. State and local grants may be available for specific types of businesses such as energy efficient technology, childcare centers and tourism marketing campaigns. The most efficient way to find business grant opportunities is to search by location or industry via the U.S. Small Business Administration's loans and grants search tool, advises About.com.

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How can you get a grant to fund a business?
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Full Answer

The U.S. Small Business Administration coordinates the Small Business Innovative Research program, which awards funds from 11 different federal agencies and departments, explains the U.S. Small Business Administration. To qualify, businesses must be for-profit, independent, American-owned and have less than 500 employees. The application process is highly competitive and involves a three-phase progressive approach to research and development. Many businesses expend considerable amounts of time and money competing for the available grants, adds About.com.

State agencies award discretionary incentive grants to companies that boost local economies or benefit needed industries such as energy development, according to About.com. However, states or nonprofit organizations typically require businesses receiving grants to supplement the grant money with matching funds through loans or other forms of financing, notes the U.S. Small Business Administration.

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