If you are investigating business start up grants as a possible funding source for your new business, you may be in for a shock. Since so much misinformation is circulated about this form of business start up funding, let’s explore the top five FAQs (frequently asked questions) on this subject.
FAQ #1: Do grants pay out free money to start a business?
I am sorry to have to tell you that the government does not offer any financial assistance programs which pay out free money for business start up expenses.
FAQ #2: What exactly is a federally funded grant?
A federal grant is a financial assistance award from a US government agency to a business or individual, for the purpose of engaging in a project or initiative which supports a specific law or laws of the United States.
An example of such assistance would be that of a public or private sector relief agency, (such as a non-profit community food bank) applying for financial assistance to help the victims of a hurricane or other natural disaster.
FAQ #3: Where do I apply for business start up grants?
You can find an extensive listing of government backed financial assistance programs at grants.gov. Please keep in mind, that you must understand the grant writing process to successfully apply.
FAQ #4: Who is eligible to apply?
Although just about anyone can apply for government grants, very few will qualify. Typically, most successful grantees fall into one of the following categories:
- State and Local Government Agencies
- Schools, Colleges and Universities
- Community Education and/or Health Initiatives
- Scientific/Technological Research and Development Companies
- Public Housing Authorities
- Non-profit Groups
FAQ #5: Does the federal government offer any other forms of free business start up funding?
The US government does not offer any programs which provide free money to start a business. Government backed small business loans are the only available sources of financial assistance offered by the federal government to start up businesses.
Business Start Up Grants Do Not Exist!
Although it may be quite disappointing to discover that start up grants simply do not exist, you don’t have to give up hope. You can find free sources of business start up funding – if you know where to look.
There is Still Hope
Don’t allow your dream of starting your own business to be dashed, by the false hopes of getting free government funding. You can find the money to start a business — and without BIG bank loans. Consider absolutely free sources of business start up funding that are legitimate and honest. Start by investing in a start up business eBook, with the secrets for finding the money you need to get on the road to start up business success.