How To Find Federal, State, & Local Government Small Business Grants

Getting a government grant can feel like hitting the jackpot. You can get money for your business without any of the burdensome debt obligations that usually go with it. Who doesn’t like free money?

But where do you find them?

While federal small business grants are well-known, government grants exist at the state and local levels, too. As grants tend to be highly competitive, finding one that fits your business can be a huge advantage. Below, we’ll look at popular government grant programs and where you can find them.

What Grant Programs Does The Government Offer Small Businesses?

Across all levels of government, there are many grant programs available.

The Small Business Innovation Research (SBIR) & Small Business Technology Transfer (STTR) Programs

The SBIR and STTR are federal programs designed to help small businesses engage in research and development and may involve partnerships with research institutions. In short, the government funds small businesses engaged in research and development, often with the goal of commercializing innovative technologies.

Many federal agencies — from the Environmental Protection Agency to the Department of Defense — participate in the SBIR Program.

State Trade Expansion Program

The State Trade Expansion Program (STEP) helps small businesses export their products to other countries. Though technically an SBA program, funding is sent by the federal agency to state-level organizations, which then decide how the funds will ultimately be used.

This often takes the form of grants to businesses looking to expand their customer base beyond U.S. borders.

How To Find Government Grants For Your Small Business

Government small business grants can be found at every level, from federal to municipal. Most government entities list their available grants somewhere online, but not every state or town puts that information in the same place.

Still, with some research and a general idea of where to look, you should be able to find most relevant government grants.

Online Resources

The internet tends to be the first place most people look, and for good reason — there’s a lot of useful information on it. Many grants also have online applications, so finding the right site can save you a lot of time and effort.

Here are a few good places to start:

• Grants.gov: As the name suggests, Grants.gov is a government database listing federal grants. You can search for grants under the “Search Grants” tab, using a wide range of filters to narrow down your results. There’s also some general information about grants available on the site that can give you an idea of what the federal grant application process will be like and the terminology you might want to know.
• The USDA: The USDA might not be the first thing that comes to mind when you’re thinking of grants, but if your business is located in rural areas (generally outside cities with populations over 50,000), you could qualify for a USDA grant. Check with your state office to see what’s available in your area.
• The National Institutes Of Health: If you run a company in or adjacent to the medical industry, the National Institutes of Health can be a great source of grant funding.
• Economic Development Agencies: State and regional grants can be a little trickier to find since not every state or local government presents its grant resources in the same way. One useful strategy is to find your state or county’s (or city’s, if your municipality is large enough) economic development agency’s website, as those will often list business grants. The state-level agencies often have links to the regional and local agencies. The US Economic Development Administration’s economic development directory is a good place to start.
• Search For Targeted Grants: There are large subsets of grants that target specific populations. Though the sites listing these programs are often mixed with private grants, you’ll usually find government grants among them. For example, you may want to search for grants for veterans, minorities, or women. You can also search for grants specific to your industry.

Offline Strategies

Unfortunately, the more widely advertised a grant is, the more competition it’s likely to have. If it’s on a website, anyone can find it just as easily as you did.

However, sometimes you can get ahead of the game by staying connected to your local business community. You may be able to unearth some lesser-known grant opportunities this way.

Here are some possible ways to go about it:

• Use Your Local Library: Remember libraries? They’re still around and can be a great resource for uncovering local programs and events. Your librarian can probably point you in the right direction.
• Join A Local Industry Group: Grants are often industry-specific, so getting involved with a local industry group can be a good way to hear about grant opportunities.
• Attend Industry Events: These events can be a good way to hear about contests, investment opportunities, and grants.
• Connect With Small Business Development Centers: Your city, county, or region might have an SBA small business development center. These organizations are a great source of information and training.

Small Business Grant Application Tips

The major downside to grants is that they are competitive. Getting a grant can be a time-consuming process with multiple steps and plenty of ways to disqualify yourself — without even realizing it.

If you want to increase your chances of standing out amongst the crowd of applicants, make sure you provide all requested information. Blank spaces are one of the easiest ways for screeners to weed out applicants.

At the same time, you’ll also want to highlight what makes your business uniquely qualified for the grant money. You can accomplish that by clearly explaining how you’ll use the funds.

For a more in-depth look at grant applications, check out our top tips for writing a business grant application.

More Grant Resources For Small Businesses

Looking for more information about business grants? Check out our feature on business grants and taxes. Need information on targeted grants? We can help you get started with our grant guides for veterans, minorities, or women.