Small Business Grants 101: What They Are, Who Qualifies, and How to Apply

Let me be straight with you: if you own a small business and you’ve never applied for a grant, you are leaving money on the table. Real money. Money that does not have to be paid back. And I know what you’re thinking:

“That sounds too good to be true.”

I hear this all the time. But, I’m here to tell you that grants are very real, they are very available, and every single day that goes by without you knowing about them is a day you could have been building your business on someone else’s dime. So let’s fix that right now.

So, What Exactly Is a Grant?

A grant is a sum of money given to an individual or business for a specific purpose and here’s the beautiful part: you do not have to pay it back. No interest. No monthly payments. No debt. It is not a loan.

Grants come from a variety of sources: the federal government, state and local governments, corporations, nonprofits, and private foundations. They exist to support specific goals, like growing businesses in underserved communities, funding innovation, creating jobs, supporting women and minority entrepreneurs, and so much more.

The people giving these grants want to see them used. They have money set aside, budgeted and ready to go, for small business owners just like you. The question is simply: are you showing up to claim what could be yours?

Why Are So Many Small Business Owners Missing Out?

Here’s the honest truth: most small business owners don’t apply for grants because they don’t know they exist, or they think the process is too complicated, or they assume they won’t qualify. Sound familiar?

Let’s break down the biggest myths:

• Myth #1: “Grants are only for nonprofits.” Not true! There are thousands of grant opportunities specifically designed for for-profit small businesses.
• Myth #2: “The application process is too hard.” Some applications are involved, yes, but with the right resources and guidance, you can absolutely do this.
• Myth #3: “There’s too much competition, I’ll never win.” The business owners who win grants are the ones who actually apply. You can’t win a game you never play.

The reality? Billions of dollars in grant funding goes unclaimed every single year because people don’t apply. That is not going to be your story.

What Kind of Grants Are Out There for Small Businesses?

You might be surprised at how wide the world of grants truly is. Here are some common categories to get you thinking:

• Federal grants: Programs from the Small Business Administration (SBA) or USDA support business growth in specific industries and communities.
• State and local grants: Many cities and states have economic development funds to support small businesses in their area. Your location may be working in your favor!
• Corporate grants: Big companies like FedEx, Visa, and Amazon regularly offer grant competitions for small business owners.
• Grants for women and minority-owned businesses: If you identify as a woman, person of color, veteran, or LGBTQ+ business owner, there are grants designed specifically for you.
• Industry-specific grants: From agriculture to tech to health and wellness, many grants target specific sectors.

Want a deeper dive? Check out the Grants category on It’s My Money for more info, including my blog post on how to strategically use grants to grow your business.

Okay, I’m In. Where Do I Start?

First things first: get organized. Before you can apply for anything, you want to make sure your business house is in order. That means knowing your business structure, having a clear idea of what your business does and who it serves, and being able to tell your story compellingly.

Second, start searching. Grants have deadlines and they cycle throughout the year, so you want to be consistently looking. This is exactly why I built Grants for Small Business Owners, a community where I do a lot of that legwork for you with a monthly grant list, live expert sessions, and a community of other business owners on the same journey.

Third, don’t sleep on the free resources already at your fingertips. Head over to my Free Resources page on It’s My Money and grab tools to help you get started. And while you’re there, check out my post on Free Financial Literacy Resources You Can Use Right Now, because building your financial knowledge is part of building your business.

The Bottom Line

There is money out there with your name on it. Grants exist because funders want to invest in businesses like yours. But they cannot help you if they don’t know you exist, and you can’t claim what you never apply for.

I always say: it’s your money. And when it comes to grants, that has never been more true.

Start exploring, start applying, and if you want a community walking beside you through the process, join me at Grants for Small Business Owners and visit itsmymoney.info for even more resources to help you build the business and the life you deserve.