Governments & others offer Grants for Small Business; know what to expect before you apply. Here is a wealth of information in many pages to help you
After having developed a brilliant business proposition, entrepreneurs usually come across financial issues and thus an answer to the question: How can I get a small business grant? goes a long way to easing their minds. In contemporary times, small business owner managers find themselves in situations that make it extremely hard to arrange for finance. Keeping in mind the high default rates that resulted in the global recession together with government grants noteasy to secure, it is vital to understand how you can get a small business grant. Before you jump on to the guidelines, it is important that you know what small business grants are all about.
In setting up a small business, financing it is a major consideration. Since borrowing from a financial institution brings with it interest costs, this may further worsen the situation for a small business owner manager. Consequently, he tends to wonder if he can get a small business grant for the very reason that it is not subject to any repayment or interest. It is imperative that a good business idea is provided with adequate assistance in whatever manner it is needed. Thus, experts from the field of business are of the opinion that related authorities must take steps in order to ensure that aspiring entrepreneurs are provided with these grants.
To begin with, businesses need to fulfil the criteria set by the Small Business Administration (SBA). The grants are subject to the industry to which your business is catering. For each particular industry in the US, a certain number of employees or turnover has been defined. While this is how businesses acquire grants, in case of individuals, they are required to submit the grant application together with associate certifications and guarantees. These are initial steps in how to get a small business grant.
Until now we have talked about the underlying criteria associated with acquiring small business grants, the next big question that would pop up in your mind is where to get these grants from. SBA does not encourage grants for setting up or expansion of existing businesses. Therefore, it is a daunting task to secure a small business grant from them. However, a breakthrough which has been experienced in the field of venture financing, is the Small Business Investment Company (SBIC). SBIC for years has been doing an incredible job in the small business sector. It has provided financing in excess of $30 billion to more than 90,000 people since its inception in 1958. Thus if you have a unique business plan which is practical and could well prove to be beneficial for the economy, you do not have to ponder much over how you can get a small business grant, SBIC would surely help you in this regard.
In addition to SBIC, there are private, federal and state programs that are required to set out a certain percentage of their budget for providing financial assistance. Moreover, there are scholarship programs for aspiring entrepreneurs and if you are wondering how you can get a small business grant, maybe you should try your luck with this. The application would take ideally speaking a few weeks to process and the amount that you can apply for depends on your business plan and the scale of your operations.
It is vital that you understand the grant process thoroughly before applying for it, in order to increase your chances of securing it. Even though securing a grant for your small business is no easy job,if the case is put together there is a good chance of you securing it. This guide was predominantly put up to help both the existing and potential entrepreneurs with the question, “How can I get small business grant?”