Business Start-Up Grants

If you're starting a business and searching for "business start-up grants," it's important to know upfront: the federal government does not offer general-purpose grants to start a typical small business. This is the most common misconception in small business finance, and scammers exploit it by charging fees for "access" to grants that don't exist.

That doesn't mean there's no help. The help is just different from what the ads promise.

What the SBA actually offers (and what it doesn't)

The Small Business Administration provides loans, loan guarantees, and free counseling — not start-up grants for typical businesses. Key SBA programs:

• SBA microloans — up to $50,000 for startups; often the best starting point for new businesses
• SBA 7(a) loans — up to $5 million, the SBA's flagship guaranteed loan
• SBA 504 loans — long-term fixed-rate financing for real estate and major equipment
• Small Business Development Centers (SBDCs) — free counseling and business plan help; find your local center on the SBA site
• SCORE — free mentoring from experienced business professionals

Federal grants that do exist (narrow but real)

• SBIR and STTR — R&D grants from 11 federal agencies (DoD, NIH, NSF, USDA, DOE, NASA, others) for businesses developing technologies with commercial potential. Reauthorized April 13, 2026.
• USDA Rural Development grants — for agricultural businesses and businesses in qualifying rural areas

State, local, and corporate grants

Often the most realistic path for early-stage businesses:

• Your state's economic development agency — runs grants for targeted industries, underrepresented founders, and businesses creating jobs in distressed areas
• Amber Grant — $10,000 monthly + $50,000 annual prize for women entrepreneurs
• FedEx Small Business Grant Contest — multiple awards including a $50,000 grand prize
• Comcast RISE — grants and services for small businesses owned by people of color, women, and veterans
• Hello Alice — frequent grant programs sponsored by corporations
• Your local community foundation — often runs small business or entrepreneurship grants

Where to look (without paying anyone)

• Grants.gov — every federal grant opportunity
• SBA.gov — loans, counseling, find your district office
• SBIR.gov — R&D grants

For a fuller breakdown, see our small business grants page and business grants page. FTC scam guidance for funding scams: consumer.ftc.gov/articles/government-grant-scams.