Can I Get Free Money From Government Grants For My Small Business?

On a regular basis I have clients walk into my office and ask the same question, how do I get free money from the government in the form of a grant? We have all seen the commercials or got the phone calls from the companies that are going to get us this free money by writing the perfect proposal. Well unfortunately there is no such thing as a free lunch.

Government grants for small businesses do exist but they are very rare and all most impossible to come by. Private grant money is a little more readily available from large non profits and foundations but mainly focuses on non profits.

There is some confusion from business owners in what a government grant actually is, a lot of small business owners thing a grant is free money from the government to start or develop a small business. This is a complete myth, the government does have many helpful programs to help the entrepreneur succeed, but free money is not one of them.

Government Grants – Here is where the confusion sets in the government does provide free money but it is restricted to educational institutions and associations but these are rarely ever available to small businesses.

Government Guaranteed Small Business Loans – This is a great benefit to small businesses while the government itself does not lend money to small businesses it has a program through the SBA that will guarantee the loan for the banks which in turn makes them more inclined to loan money to start ups or existing businesses.

In conclusion do not pay top dollar for software programs or slick sales people that promise you loads of free money through grants more than likely it will cost you more money than you will ever receive. If you are in need of business capital think about a SBA loan. There is a wealth of information on the Small Business Associations website and consult a business consultant to help you figure out what programs you might qualify for and would be the best for your particular program.