Small Biz Grant 411 (Updated 2024)

It's been a while since I've done this but getting a small or micro business grant is hardly a unicorn. Long story short, it takes working with a small business development center (SBDC) as well as ample amounts of patience and time.  You also have to make sure that your paperwork is submitted as required and on time. It also helps to apply and submit everything ASAP because competition is probably three times as stiff as it was back then.

Based on what I learned from numerous small business consultants, having your ideas on paper isn't enough. You have to be able to convince everyone that your offerings matter - even if your offerings seem like a luxury or trivial. While having a snazzy slogan, unique elevator pitch, or mission statement is a good start, it should all tie into the story you will tell.

Share Your Story for Money

Yup, storytelling goes a long way when it comes to gaining capital and even making consistent sales. While every story should be different from the competition, here are some questions that can start as a good template - 

• Why did I start my business?
• What events led to my initial success?
• How this XYZ concept began in the first place?
• Who was my influence?
• When did I first experience success?

See what I did? The five Ws and an H can answer many questions when in doubt. In the meantime, you can use this storytelling guide to build on your initial questions. The consultant may assist you with the application process and may even help you create a story based on their personal observations. This can be a good thing because many consultants who work for SBDCs have extensive education and/or proven experience. Creating an impressive package benefits both parties since most development centers operate as nonprofits.

Get That Money Honey!

Before you click any link, you may want to create your own listings based on the demographics that apply to you. You can decrease your competition by searching for grants that are limited to - 

• Residents in your state
• Women
• Minorities (especially Indigenous groups)
• Veterans
• Disabled
• Those with a specialized interest
• Felons

This is to say that your dreams of opening a vegan educational toy business can become a reality if you happened to do time at one point in your life. 

Here's a list I compiled last year and will update monthly based on some legit sources I discovered as well - 

Small-Business Grants: Where to Find Free Money

Small-business grants provide free money for startups and existing businesses, including those impacted by the coronavirus pandemic.

Grants.gov: Grants.gov is a comprehensive database of grants administered by various government agencies, such as the Departments of Education and Veterans Affairs.

Small Business Innovation Research and Small Business Technology Transfer programs: The SBIR and the STTR grant programs focus on research and development for technology innovation and scientific research. The programs help connect small businesses with federal grants and contracts from 11 government agencies.

To qualify, you must operate a for-profit business, have no more than 500 employees, and meet other eligibility requirements.

USDA Rural Business Development Grants: The U.S. Department of Agriculture administers the Rural Business Development Grant program, which provides financing to strengthen and grow small businesses in rural communities.

Businesses must have fewer than 50 new employees, less than $1 million in gross revenue, and be located in an eligible rural area to qualify. Applications are accepted through the USDA Rural Development’s local or state offices.

» MORE: Government small-business loans: SBA loans and top options

State and Regional Small Business Grants

Economic Development Administration: This U.S. Department of Commerce agency provides grants, resources, and technical assistance for communities to support economic growth and encourage entrepreneurship and innovation.

Each state’s agency helps businesses find financing (including state or regional grants), secure locations and recruit employees. You can search the economic development directory for regional offices and local resources.

Small Business Development Centers: Your local SBDC provides support for small businesses and aspiring entrepreneurs. They’re often associated with local universities or a state’s economic development agency, and many can help connect you with small-business grants, as well as other business financing opportunities — plus, counseling, training, and technical assistance.

Minority Business Development Agency Centers: The MBDA runs a national network of business centers dedicated to growing and promoting minority-owned small businesses. These centers help business owners access capital, secure contracts and compete in emerging markets.

Your local MBDA center can help you apply for debt-based financing as well as federal, state, and local business grants. The agency usually holds an annual small-business grant competition and provides updates on this contest on its website.

Many corporations and large companies have a philanthropic component that includes small-business grants. While some provide grants to nonprofits servicing specific industries only, some also give to for-profit companies.

FedEx Small Business Grant Contest: The company’s annual grant competition awards over $250,000 to 10 small businesses, including a $50,000 grant and $4,000 in FedEx print and business services to its three grand prize winners. The 2022 contest is closed and voting began March 22. Winners will be announced May 4. The contest is for U.S.-based for-profit small businesses that have been operating at least six months, with no more than 99 employees.

National Association for the Self-Employed: NASE members can apply for monthly small-business grants worth up to $4,000, as well as an annual $3,000 college scholarship for members’ dependents. Grants are awarded year-round, with completed applications reviewed quarterly in January, April, July, and October.

Fast Break for Small Business: LegalZoom, the NBA, WNBA, and NBA G League have partnered with Accion Opportunity Fund to offer $10,000 grants and up to $500 in LegalZoom services for small-business owners. This program focuses on helping businesses in underserved and underrepresented communities. Applications are open twice a year.

Patagonia Corporate Grants Program: Nonprofits striving to preserve and protect the environment can apply for a small-business grant through the Patagonia Corporate Grants Program. The retailer looks for innovative businesses with proposed projects that are quantifiable and have specific goals, objectives, and action plans. These nonprofit grants typically fall between $5,000 and $20,000.

Visa Everywhere Initiative: The Visa Everywhere Initiative is a grant competition that offers funding to tech-forward startups across five different regions around the globe. Applicants must show how they’ve developed a product or service that creatively involves Visa’s products.

Visa will select the top five finalists in each region — and these businesses will move forward to a global finals event. The overall winner of the competition is awarded a $100,000 small-business grant. Additional grants are awarded to second- and third-place finalists, audience favorites, as well as regional and local winners.

» MORE: Best startup business loan options for entrepreneurs

COVID-19 Small Business Grants

Although many federal, state, and private grant programs have stopped accepting applications, there are still a handful of options available for small businesses that need relief as a result of the COVID-19 pandemic. Here’s what you need to know:

SBA small-business grants: COVID-19 relief grant programs administered by the U.S. Small Business Administration — including the Shuttered Venue Operators Grant and the Restaurant Revitalization Fund — are closed and no longer accepting new applications. Similarly, the period to apply for the $10,000 Economic Injury Disaster Loan advance, or grant, has also expired.

State and local coronavirus small-business grants: Some state and local governments are still running grant programs that are specific to COVID-19 relief. For example, small businesses in New York can access free financing up to $50,000 through the New York State COVID-19 Pandemic Small Business Recovery Grant Program.

In Sonoma County, California, microbusinesses can apply for grants of $2,500 through the California Microbusiness COVID-19 Relief Grant Program. You can visit your secretary of state, department of economic development or other official government websites in your area to see what options may be available for your business.

Corporate COVID-19 small-business grants: Although some private companies have closed coronavirus relief grant programs, you may be able to find a few options that are still accepting applications.

The nonprofit organization Main Street America, for instance, continues to offer its Inclusive Backing Grant Program in collaboration with American Express. This program is currently awarding COVID-19 relief grants to brick-and-mortar businesses owned by women, nonbinary people, and veterans of the U.S. Armed Forces.

Specialty Small Business Grants

To help spread entrepreneurial success across demographics, many organizations focus funding efforts on specific communities.

We’ve put together lists of:

• Small-business grants for women.
• Small-business grants for veterans.
• Small-business grants for minority groups.
• Small-business grants for Black women.

Alternatives to Small Business Grants

Finding and applying for the right grants for your small business can be difficult, as well as time-consuming. If you don't qualify for certain grants, there are other ways to fund your business. Here are some avenues to explore:

• Best small-business loans: Compare loan options — including bank loans, SBA loans, business lines of credit, term loans, and equipment financing — plus, learn how to choose the right financing for your needs.
• Small-business credit cards: Explore dozens of cards and find the best choice for funding your everyday business purchases — and earn rewards in the process.
• Crowdfunding for business: Raise money for your small business by tapping into the power of the internet and promoting your product or service through a crowdfunding campaign.