What Is a Business Grant and Why Apply for One?
Most small business owners focus on private sector funding, like short-term loans and lines of credit, for example. What many don’t realise, is that there are other sources of business funding available to them, like small business grants, finance and loans, usually made available by government funds, which represent an excellent way of securing the funding that small businesses require to establish a solid business presence.
Don’t make the mistake of thinking that grants for small businesses are easy to come by, but having said that, there are many service providers that help small businesses secure business grants and using their services is widely seen as a means of standing a much better chance of applying successfully.
What Is a Grant?
A grant is a non-refundable product or fund provided by an organisation, for example, a governmental organisation or a charitable organisation, to a recipient (usually) for a specific purpose. In the case of a government business grant, a grant is a non-refundable fund dispersed to a small business to help them financially. There are usually stipulations and reporting involved with grants for small businesses and the recipients must adhere to these if they’re to hold onto the funding that they have received.
Moreover, although the majority of business grants are non-refundable, some are actually more akin to unsecured loans, albeit with much more favourable repayment terms, so this is something to bear in mind when applying for a grant for your small business.
Nevertheless, as interest rates are usually not applied, or are much lower than a traditional short-term loan, there’s so much to be gained by applying for a grant of this type. Moreover, as the grant will be repaid, grants of this kind are generally easier to apply for.
Why Apply for a Grant?
Business owners apply for grants to secure funding with which to finance their businesses. Accessing capital, is for many businesses, a hurdle that they continuously face, so applying for a grant with the assistance of a business grant service provider could prove to be a better means of gaining access to capital than going through the regular channels, i.e. applying for a loan from a bank or lender.
Here are a few of the many advantages to applying for a business grant with the assistance of a service provider that works with a variety of funding partners nationwide:
- Gaining access to capital, either non-refundable capital or capital with great repayment terms
- Fast application processes made easier with experienced and professional assistance
- Many funds allow business owners to spend the grant on the business purpose of their choosing
These are great reasons to apply for a business grant, so if you’re a small business owner and you could benefit from gaining access to capital on excellent terms, perhaps a non-refundable sum or one that you can repay on better terms than you would enjoy if you applied through a traditional lender, why not look at applying for a small business grant today?