Getting the right financial support as a business owner is one of the best ways to solve many challenges as a small business owner. This financial support in the form of grants matters the most if you’re facing an economic downturn.
The world economy is trending toward recession in the next coming months. Experts are worried about these market trends, but acting correctly right now can save your business from the upcoming economic downturn.
According to the statement by CNBC, there’s a 61% chance of a global recession in current times. We could see this happening by the end of 2023—if not, it will occur by 2024. Either way, business owners are in serious trouble if they don’t address these issues timely.
Finding grants addressing your business issues is a smart way of countering these issues, applying, and winning. However, not all ventures qualify for small business grants, so persistent application is necessary.
You can apply for various business grants, depending on your business scale and requirements. Knowing the right options can ease your business-related issues and provide better results. Let’s brush some basics before we get into details about these grants.
What are Small Business Grants?
Grants for small businesses are an added financial benefit for these ventures. These grants are typically non-refundable and can be provided by different sources. These include government organizations, private companies, and non-profit organizations. The best part about these grants is that they don’t have a compulsory interest payment.
With the help of these grants, a small business can surpass financial challenges, allowing them to better meet its business-related goals. It can be an expansion, a new product launch, or other business-related goals necessary for long-term success. The extra business funding also provides financial coverage for other costs. These include:
- Equipment
- Inventory
- Marketing
- Research
- Development
How do Companies get Small Business Grants?
Qualifying for small business grants varies slightly for business owners, depending on systems. However, the businesses looking forward to these grants must first apply through a formal application.
The application includes several aspects of the business venture; the company showcases its eligibility for the grant while applying fast. As a small business, you should also explain why you qualify for the grant you are applying for. The criteria for selection vary slightly for each grant provider, depending on their system.
For instance, some grant providers may prioritize innovation over everything else. Or others might value the financial aspect of the business. Another approach could be the societal value of the business venture.
Small Business Grants Update Roundup
There’s a variety of small business grants offered by government and non-profit organizations that SMBs can utilize. However, these grants, their requirements, and the benefits vary for each grant.
Therefore, if you are a business owner looking for valuable financial support, knowing the best grants in the market is necessary. To help you with the process, we recommend learning about the top grants available for small businesses in 2023. We’ll list these grants with their requirements and benefits to assist you.
1. Small Business Technology Transfer (STTR) Programs
The demand for small business grants is at an all-time high, so the STTR programs are the first choice on our list. It is the perfect option if your small business relates to the research and development sector.
The grant mainly focuses on motivating SMBs to conduct their research according to the objectives of federal research and development standards. The grant has gained much popularity in a short period and is currently offering a grant ranging between $100,000 – $150,000, depending on your proposal.
This grant is perfect for any SMB that wants to streamline its current business models and improve the research methodologies used. The grants are for 6 months and a year, depending on your project type. The program provides grants in phases, so you should apply accordingly.
2. Management and Technical Assistance Program (MTAP)
The management and technical assistance program is another viable option for grant-based funding for SMBs the organization (SBA) is currently aiming at ventures requiring technical and management assistance.
Small business owners that don’t qualify for the local, federal, and state contracts can apply for this grant and get financial aid. The extra aid can help SMBs expand and streamline their current business models and ensure the best results for their goals. The program offers travel assistance of $2,500 and $5,000 alone.
You can apply for the MTAP program depending on your SMB operations. However, if you are a student, the project you apply for must be completed in a few months.
Small business grants provide various approaches for SMBs that require funding. With the right funding, you can enhance your business operations, streamline processes, improve productivity, and achieve your business goals.
It all depends on your approach and idea. We recommend learning about these grants in further detail before you advance. It will help you meet the application requirements better and have an improved experience.
3. The State Trade Expansion Program (STEP)
The State Trade Expansion Program (STEP) is a grant offered to existing SMBs that wish to grow globally. The grant offers funds targeted at foreign-market trade shows and opportunity expansion.
The qualification and the grant amount vary based on your state. For instance, small business owners in Alamaba can get finance of $200,000. The eligibility and application criteria vary based on every applicant’s location. Therefore, we recommend dropping STEP an email regarding it.
They will respond quickly and share all the details necessary for your location. This way, applicants can reduce the chances of application errors. The funding is available for their respective states until September 29, 2023.
We recommend dropping them an email as soon as possible and getting an update. STEP offers its SMB grants all over the U.S., so almost anyone can benefit.
4. Veteran Contracting Assistance Programs
Veterans make up a significant number of the population in the country, and SBA recognizes them as an important asset. It offers several Veteran Contracting Assitance Programs aimed at helping these veterans become independent.
A classic example is the Veteran Small Business Certification (VetCert) program, which primarily focuses on service-disabled veteran-owned small businesses (SDVOSBs). It allows these veterans to compete for various local and federal grants, allowing them to create new business opportunities.
Remember, these grants differ from the U.S. Department of Veterans Affairs (VA) and provide added benefits to the applicants. The qualifying SMBs get a 3% of the federal contracting dollars in the project. From the start of 2023, the Department of Veterans Affairs (VA) is no longer responsible for handling these programs. Instead, the SBA is offering the programs to veterans.
Those interested in the application must apply via the official Veteran Small Business Certification portal. With the information listed on the portal, the applicants can perform the following tasks:
- Search for a certified VOSB or SDVOSB
- Request information
- Create an account
- Login/proceed with an application
- Check your SMB’s eligibility
- Access checklists
- Look for pre-application guides
All applicants for this program must submit their applications before December 31, 2023.
5. Women-Owned Small Business Federal Contract program
The SBA also sees a lot of potential in the female population for SMB ownership and introduces various programs for women entrepreneurs. These programs provide grants to women-owned businesses that require assistance.
The contract is most suitable for goods and services that fall under specific industries (you can learn more about these goods/services via the NAICS code). The program aims to increase WOSB representation in the industry and employ women to achieve more.
However, the program has several requirements for applicants before qualifying. Here’s a quick look at these requirements set by the organization:
- All WOSB firms must consider the WOSB.Certify.sba.gov source before taking action. It is the home to source the online certification process provided by the SBA. It is a must to compete for WOSB for set-aside projects.
- SBA grants recurrent participation by various SBA-approved Third-Party Certifiers (TPCs). With this participation, the SMBs can obtain WOSB or EDWOSB certification. However, these organizations must first submit their TPC certification and citizen proof. You can provide these documents at the official WOSB.Certify.sba.gov site.
- Firms that received their contracts with the WOSB Federal Contract program during the implementation of this change can keep their certification as long as their existing contracts continue.
Here are the requirements set by the SBA for the WOSB. All applicants must:
- Qualify as a small business according to the set  SBA size standards.
- Have at least 51% ownership and control by U.S. citizen women.
- Ensure the day-to-day operations and long-term decisions are taken by women.
Small business grants provide various approaches for SMBs that require funding. With the right funding, you can enhance your business operations, streamline processes, improve productivity, and achieve your business goals.
It all depends on your approach and idea. We recommend learning about these grants in further detail before you advance. It will help you meet the application requirements better and have an improved experience.
ASBN, from startup to success, we are your go-to resource for small business news, expert advice, information, and event coverage.
