There are many grants that are offered by the federal government that can help you turn your business idea into a money-making business. No matter what type of business you would like to open, there is probably a federal government grant that can help you turn the key to your new business opportunity.
Your Business Plan
The first step in obtaining your new federal government grant to start your business is to create an effective business plan that explains in detail the intricacies of your new business. You will need to create both a start-up and operational budget that will give you a rough estimate of the amount of funding that you will require to get your business up and going, and how much money your business will require to be operational during the first formative years of the business.
Drawing Up A Budget
Your budget should allow for expenditures such as purchasing or leasing property or a building that you will use as headquarters for the business; the purchase of fixtures, such as shelving, displays, office furniture, computer equipment and other hardware; remodeling or renovation of the premises, including any additions that you will have to construct or add on to the existing facility; purchase of any company vehicles that you will need for business use; purchase of inventory or equipment; an allotment for advertising and publicity to promote the business and draw in customers and clients; and money to train employees and pay salaries or wages. Make a reasonable and customary estimation of the amount of funding that will be required for each item on your budget, and also note where you plan to purchase each.
Once you have established your budget, you will have a clearer picture of how much money you will need for the start-up phase, opening, and operational phases of your business. Having a reliable figure to work for will assist you once you decide which grant or grants you want to apply for.
Where To Look For Grants
All federal government grants are cataloged in a free publication entitled the Catalog of Federal Domestic Assistance (CFDA), which is available by request from the federal government. You can also download this catalog online.
Browse the CFDA for potential grants that your business might qualify. You can search by keyword, federal agency, and by other search criteria. Once you have identified the grant(s) you find interesting, study the grant eligibility requirements. Take care to make sure you or your business idea qualifies for the grant before you spend time writing the application.
Some federal government grants require you to first begin with your local or state government agencies before moving on to federal branches of the agency that distributes certain grants. Study similar funded projects to see how your business idea compares to those that have won grant funding. Make special notation of any post assistance requirements that may be attached to the grant you are applying for. If there are special records you must keep, reports you are required to submit, or audits by the issuing agency, you need to be aware of these contingencies in advance, so that you can prepare well for them.
Applying For Your Grant
Once you have decided that the grant you have researched is the right one for you, you will need to contact the agency to request a grant application. Oftentimes, the application is available in a PDF format for you to download and print. Complete all aspects of the application and submit the application to the appropriate agency. If there is a deadline for submission, be sure to note the date so that your application can be considered timely.
