You probably already know that you can get funding money from angel investors, bank loans, VCs and even some of your friends. But what if all those ways are at the moment unavailable to you? Good news, there`s another one, you could get a government grant and that is if you want to start a non-profit organization. Sometimes for-profit companies get grants too, but there is a trick, you must really pick your niche to be able to get money from the government.
Anyone who got a small business grant will tell you that it is no child`s play. You got to do some research, prepare paperwork and do something that the government wants to encourage like regenerable energy. You need start something in the field of technology, medicine, scientific research, tourism, science, education and if you don`t fit the requirements you will simply not be accepted. So your niche is extremely important.
Moreover after you get a grant you will need to provide detailed reports on how you used the money. You must spend all the funds that were awarded to you otherwise they go back to the Treasury and you cannot touch them. You need to establish specific goals, present explain them and you need to carry out the plan exactly how you present it.
At this point you might even be wondering if it is worth the effort. Well, it is, getting free money should not be underestimated, but before you go ahead and apply for a grant do some research on grants.gov and other websites to see if you really are in the niche that is wanted by the government. If your business is not productive to the community or does not have the characteristic that are needed you will end up spending a lot of time without getting anything. In this case you might really want to consider the alternatives we talked about at the beginning of the article. So do your research, choose the right niche and create excellent documentation, but take into consideration getting money elsewhere also. Don`t put all your eggs in one basket.Tags: Business grants, business niche, funding a small business, getting small business money, small business financing.