Small Business Grants
Published on December 18, 2019
eHealth wants all of our small business customers to thrive. Beyond offering small business health insurance plans, we also seek to provide valuable resources and information for small business owners. To help connect our small and medium-sized business customers to useful opportunities, we created this overview of the process of getting small business grants. Continue reading to learn more about what small business grants are and how you can apply for them.
What are small business grants?
Small business grants are funds that a company or employer can receive through a competitive application process. A grant is usually created to find solutions to a particular issue, or to support the development of certain types of organizations, businesses, or initiatives.
Public or private sources offer small business grants in order to incentivize and facilitate opportunities across regions and communities. The primary origins of the majority of grants are:
- The federal government
- State governments
- Local governments
- Corporate initiatives
Examples of small business grants would include grants for technological development or research in a particular industry, women-owned businesses, minority business owners, veterans, and startups.
Grants are often challenging to qualify for, and applying for them is typically time-intensive; however, the benefits are often worthwhile. To receive small business grants, companies must meet different eligibility criteria outlined in the grant specifications, and then submit their applications for review.
Grants are not loans, and thus grants are not meant to be repaid. Instead, you spend grant money in order to meet the goals and benchmarks specified by the grant. Most grants have a reporting process that grant recipients must comply with, and this may require the submission of financial updates and progress reports during the course of the grant.
How do you apply for a small business grant?
While all grants require different qualifications, the overall process of applying for small business grants tends to follow a fairly standard procedure across industries and sources.
Here is a brief overview of the process of getting a small business grant:
- Research small business grants – Begin by researching grants for which your small business might be eligible. Review your options to find the most suitable grant, and determine if it makes sense for your company to apply. If so, complete any application registrations if needed.
- Complete your grant application – Gather the necessary documents for writing and preparing your grant application. This can be a time-intensive process, so be sure to answer all required questions and provide a detailed outline of how your small business plans to fulfill all of the conditions of the grant.
- Submit your application – Give yourself plenty of time to review and double-check your responses before sending in the final copy of the application package. Remember to submit your grant applications before their respective deadlines.
- Wait for application review – The groups or organizations sponsoring the small business grants will eventually review the applications that you have sent to decide if your company meets all necessary criteria and guidelines.
- Receive result of grant application – If your small business receives the grant, then you would have to agree with its legal requirements before you’re awarded the grant funds. If your business is not chosen, you can always apply for another similar grant, or consider applying for same grant the next time it becomes available.
While small business grants may be competitive, applying for them is fairly straightforward. If you think that your business may be eligible for a particular grant after researching and reviewing available options, it never hurts to apply.
Overall, taking the time to look for grants may help you discover opportunities for your business that you were not previously aware of. Although receiving grants is not guaranteed, they continue to serve as valuable sources of funding for small businesses and nonprofit organizations across the country.
To shop for small business health insurance plans, visit eHealth.com today, where you can get free health quotes and compare your group health plan options. You can also speak with one of our licensed insurance agents about choosing the right group health insurance coverage for your business.
This article is for general information and may not be updated after publication. Consult your own tax, accounting, or legal advisor instead of relying on this article as tax, accounting, or legal advice.