4 Grants and initiatives

Grants and regional and national initiatives are an increasingly important source of early-stage financing.

Using small business grants can be extremely appealing. After all, it’s money you don’t have to pay back, which means no interest payments, no late payments and no chance of losing any collateral. So, why doesn’t every small business owner forego a small business loan and take advantage of this free money?

(Woods, 2016)

This is easier said than done.

First, to get access to a grant, you must search for and find a grant you would be eligible for. This search and selection process requires some personal investments in time and effort.

Second, when you apply for a grant, you will compete with other businesses for the same money. Thus, you must prepare a strong and persuasive application and know any criteria, guidelines and deadlines very well.

Third, if your application is successful, you will have to adhere to clear instructions on how and when you may use the money and for which purposes. In regular reports you will have to demonstrate that you use the grant effectively, and your business may be used to showcase the activities of the initiative providing your grant.