Government grants are available for small businesses. There are certain conditions that must be met to qualify for these grants. One of the main qualifications is that the business be established. If you are trying to start a small business, the “Small Busines Administration (SBA) informs you right on their website that there is no such thing as a small business grant. This is true – for startups.
About Grants Offers
We have all seen the hyped up emails, late night infomercials and websites promising us thousands of dollars in “free” government money. They are exactly what they appear to be – hype! There are no government grants available for those seeking financial freedom! There are very few government grants that are available to individuals, but there are grants available for specific small business needs.
How Your Business May Qualify
Depending on the type of business you have, you may qualify for a government grant. Here are the most common government grants:
Non Profit Organizations – a not-for-profit organization qualifies under the IRS ruling for 501(c)(3). The business cannot however be a college or other institution of higher learning.
Small Businesses – depending on your business category you may qualify for a government grant. The Small Business Administration has specific criteria used to define a business as a small business. According to the “Government Grants Website, the criteria for a small business is:
* 500 employees for most manufacturing and mining industries
* 100 employees for all wholesale trade industries
* $6 million for most retail and service industries
* $28.5 million for most general & heavy construction industries
* $12 million for all special trade contractors
* $0.75 million for most agricultural industries
These are the base numbers used to determine classifications of business size.
Grant Opportunities
To find small business grants, you must be proactive. The government provides a list of all grant opportunities that are available. Most grants are offered to enhance development of small business. These grants may be for funding information centers for small businesses or for providing services to small business.
Government grants are very specialized. They fall into the following categories:
*Arts
*Business and Commerce
*Community Development
*Consumer Protection
*Disaster Prevention and Relief
*Education *Employment, Labor and Training
*Energy *Environment
*Food and Nutrition
*Health
*Housing
*Humanities
*Information and Statistics
*Income Security and Social Services
*Law, Justice and Legal Services
*Natural Resources
*Regional Development
*Science and Technology
*Research and Development
*Transportation
If your small business specializes in one of these fields you may be eligble for a government grant. As you can see the categories are quite broad.
Summary
Do not fall into the hype trap that promises thousands of dollars in free government money for your small business. While there are government grants available for small business, they are specialized and require you to be proactive. You must have an established track record to qualify for these small business government grants.
Source: SBA.GOV
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