US small businesses can access federal grants (via grants.gov), SBA programs, and hundreds of state and private grants. Unlike loans, grants do not need to be repaid. Competition is high but strategic applications succeed.
- Business plan and financial projections
- EIN and business registration documents
- Grants.gov registered account (for federal grants)
- Industry-specific certifications (minority-owned, women-owned, veteran-owned) if applicable
Search federal grants at grants.gov
Grants.gov lists all federal grant opportunities. Create a free account and search by keyword (your industry + “grant”), eligibility (small business), and status (open). Read Notice of Funding Opportunity (NOFO) carefully — most federal grants are for nonprofits, research institutions, or specific industries (agriculture, technology, healthcare).
SBA (Small Business Administration) funding programs
SBA does not typically give direct grants but provides: SBA loans (low interest rates), SBA SBDC (Small Business Development Centers — free business consulting), SCORE mentorship (free), and administers federal small business contracts set-asides (8(a) for socially disadvantaged, WOSB for women-owned, SDVOSB for veterans).
State and local grant programs
Most states have grant programs for specific industries or underserved communities. Check: your state’s economic development office website, local Chamber of Commerce, USDA Rural Development grants (for rural businesses), and HUD Community Development Block Grants (for businesses in designated areas).
Minority-owned, women-owned, and veteran-owned business grants
Certify your business status: NMSDC (National Minority Supplier Development Council) for minority-owned, WBENC for women-owned, VA Verification for veteran-owned, SBA 8(a) for socially disadvantaged small businesses. These certifications open access to set-aside federal contracts and private sector supplier diversity programs that often provide grants or favorable contracts.
Private foundation and corporate grants
Private grants: Amber Grant ($10,000/month for women entrepreneurs), FedEx Small Business Grant, Visa Everywhere Initiative, Comcast RISE, Hello Alice grants, Progressive Agents of Change. Apply at IdeaFund.org and GrantWatch.com for comprehensive listings.
Frequently Asked Questions
A grant is money you do not repay. A loan must be repaid with interest. Grants are harder to win (competitive applications, specific eligibility criteria) but do not create debt. SBA loans offer better terms than commercial loans but still must be repaid.
Yes — business grants are generally taxable income in the USA. Report them as business income on Schedule C or your corporate return. Some COVID-era grants had specific tax exclusions, but most standard grants are fully taxable.