How to be eligible for grant financing

A crucial step when applying for grant financing is to have a thorough business plan. Obtaining funding is usually possible for projects that haven’t started, but for this reason, they often come with restrictions. The first is that your business has to demonstrate that the project wouldn’t be viable without financial assistance and that you have a plan to make things work. So having a detailed plan can help your provider see that you can pay back without much issue.

Sometimes, there are also some restrictions that are applied by the grant provider itself. For example, a project might need to be perceived as helping the organisation’s objectives or fulfilling particular purposes. Most importantly, you will be required to show that you are committed to your business plan and that you have a proper management structure to facilitate the acquisition and administration of the grant money. If you do, securing this type of financing should be no issue.

Where to find grant assistance and financing

There are companies that specialise in providing business owners with advice so they can make the best out of their grant application process. For a fee, most of them will be able to aid you in grant proposal writing, editing, and submission.

The main reason for using such a service is, usually, time. Many entrepreneurs don’t have enough time to create these lengthy documents themselves. Using a growth funding company’s assistance can also help you ensure your proposal includes everything it needs to be considered a grant award.

Later on in this article, we will discuss how most grants come with conditions attached to them. Usually, one that states you must give cash upfront before you can use the grant’s funds. This is why many applicants use grant financing.

Billions of pounds available through grant funding are lost or underutilised by those who could use them best. So accessing grant money (through financing) is an excellent way to set your business for success.

A grant financing company will be able to introduce you to the most suitable lenders based on your business profile and specific needs. Then, you can choose how you think it best to finance your project.

Where to find business grants

As we mentioned, dozens of government grants are available for specific purposes in various industries and areas. Many are focused on helping specific communities have more representation; for example, grants that aim to help ethnic minorities, women, migrants, or people who identify as having disabilities. Some government departments offer them via their local councils, promoting innovation and providing guidance for those in charge of a company or non-profit organisation.

Finding and determining which grant fund is best for your business can be time-consuming because programs update regularly, and requirements can be particular. Some several places and levels promote them, too. These include:

• Small business administrations: Government agencies such as small business administrations are a great place to get started when looking for grants. Many offer financing to benefit innovation and research, marketing, purchase equipment, hire employees, business expansion and to develop product.
• The government: The government creates and maintains several grants for businesses. They do this at different levels; for example, by county councils and district, borough, or city councils. You can normally find these grants using the government website.
• Corporate business grants: Some large corporations also offer contests and initiatives that aim to raise funds. These funds tend to be focused on start ups, small businesses, and business owners.

Preparing to Apply for a Grant

Before you consider applying for a government grant, you should keep a few things in mind.

First, make sure you have all your business finance financial documents handy. These include, for example, your balance sheet, cash flow and any relevant financial statements that can help you explain your business projections.

Second, read the qualifications requirements carefully. Every grant you come across will have a list of things you need to fulfill, which will be rather lengthy. Gather all the necessary documents, including articles of incorporation, bank documents, and your business plan, and include them in your program project folder.

All grants also have a time frame within which you can apply. Most are publicly open for a set period, usually a few months. They also have strict requirements defining how you can spend the award. The good thing is: The exercise of writing these down can help you think through your goals and budget and write your grant proposal.

Writing Your Grant Proposal

Next, it’s time to create your grant proposal for your grant applications. Some programs will have instructions and guidelines for formatting this document in a specific way. It’s always a good idea to read the grant provider’s goals and use that information to your advantage when you begin writing your proposal. Then:

• Start with an executive summary. The executive summary will explain why your business needs the grant. Ensure you include your funding needs and how you plan to address them throughout the project. Your grant application summary should be short and engaging, with sentences that address the main points and convince readers to go through the rest of your document.
• Add your needs statement: The needs statement, or problem statement, is possibly the most critical part of your grant proposal. This section is where you explain the problem you are trying to address and why your company can solve it. It’s the reason why you should be awarded the funds. Include all relevant research and highlight your business plan to address what makes you the perfect candidate.
• Write your project description: This section should cover your goals and how you will hit them. It’s best to make your goals easy to track and measure. Include your estimated timeline, budget, cost, how you have approached similar problems before, how many people will be working on the project, your resources, and the key performance metrics you will raise to keep track of your progress.
• Define your budget. Write down, in detail, what your budget is. Include your financial documents and keep the numbers within the grant limits. Check all calculations thoroughly, as a single error can disqualify your proposal.
• Include a cover letter. Although you will typically include your cover letter at the beginning of your submitted proposal, it’s always a good idea to make it the last thing you write. This way, you will have already gone through all the relevant information in your proposal and can easily summarise things.

Other Things to Consider

When planning, remember that most grant calls are open for several months before a selection happens. And after that period is over, even if you have been awarded the funds, you won’t receive them immediately.

You should also ensure you have enough time to keep checking on new grants. Most government programs are updated regularly, but you need to have the availability to read their requirements carefully and see if your business can apply to them.

FAQ

How long does it take to apply for a grant?

Unfortunately, there is no easy answer to this question. It depends on the type of grant. Some are easy to complete, but others require extensive, detailed project plans. A grant financing advisor can help you determine how long the process could take.

How long does it take to get approved for a grant?

Approval processes are also specific to each grant. Some of them are fast; you can get a result in 48 hours. For others, you will have to wait 4 to 6 weeks. Larger grants can even have a 6 to 12-month processing period. A growth funding company can also help you understand and plan for these periods.

Contact us today to learn how we can help you secure a grant, access funding early, and maintain all your project timelines.