There are many myths about grants for small businesses. Small business grants are scarce. To our knowledge, there is no grant money available for starting a small business. In some cases, there may be limited grant programs available to small businesses in a specific industry serving a special purpose, such as a lunch program for a day care or research and development for technology businesses. However, these programs are typically narrow in scope. Most small business owners have to look to personal resources and loans to finance their small business.
The vast majority of grants are for nonprofit organizations and educational institutions - not for-profit businesses. By and large, these are fundable organizations with a clear mission and a comprehensive program already in place. They have a track record within the community and are not start-up organizations. Obtaining funding is highly competitive among nonprofit organizations.
Locating grant-funding sources is a time consuming process that entails utilizing resources such as grant indexes available at public libraries and on the Internet. There is not a "list" of grant providers. There are thousands of private and public funding sources, but only a small amount may be applicable to a grant seeker's particular geographic location, mission, or purpose. There must be a logical match between the grant provider's purpose and the grant seeker's intended use.
A grant is not "something-for-nothing" and should not be equated with "free money." A grant proposal outlines goals and outcomes that, if not carried out, may necessitate the return of funds to the funding source.
Grant announcements can be lengthy, and typically require interested applicants to prepare a grant proposal. Applications requirements and deadlines are strictly enforced. Proposals that do not adhere to the requirements will not be considered, and applicants do not have the opportunity to "fix" their errors. Proposals go through a review process, and awards often are not announced for several months following the application deadline. Grant recipients are required to submit periodic progress reports to demonstrate that the grant funds are being utilized properly and goals are being achieved as projected in the application.
Neither the Arkansas Small Business and Technology Development Center (ASBTDC) nor the U.S. Small Business Administration (SBA) provides grant funding to small businesses.
The ASBTDC is a university-based program that assists entrepreneurs at various stages of business development and growth. Primary areas of focus include planning, growth, financing, marketing, management issues, technology and improving business profitability. Additional details about the ASBTDC are available on this site.
The SBA offers a variety of programs to America's small business community. Chief among them is the SBA's guaranteed loan program, through which the SBA provides a guarantee on bank loans made to small business borrowers. For details about SBA's loan programs:
Additional information on the subject of financing can be found at the following link:
The ASBTDC does not recommend you base your financing objectives on obtaining grant funding. However, if you are interested in searching for specific grants, consider the following resources:
Central Arkansas Library Main Library
www.cals.lib.ar.us
Located at 100 Rock St.,
Little Rock, AR 72201
501.918.3000
Offers grant indexes and other resources related to grants and grant writing. Also available is an online database, called the Foundation Center. Similar resources are available in Pine Bluff at the Jefferson County Library System, and in Fort Smith at the University of Arkansas - Fort Smith.
Arkansas Department of Health & Human Services; Division of Volunteerism;
Faith-based Community Initiative,
www.state.ar.us/dhs/adov/index.htm
Located at Donaghey Plaza South,
700 South Main Street,
Little Rock, AR 72201
Mailing address:
Arkansas Department of Human Services
Division of Volunteerism
P.O. Box 1437, Slot S230
Little Rock, AR 72203-1437
501.682.7540
Offers diverse training resources and technical assistance to strengthen program development of faith-based and grassroots social service organizations. Assists organizations in becoming more fundable and grant ready.
Arkansas Early Childhood Commission
www.state.ar.us/childcare/
Located at 700 Main Street Slot S-140,
Little Rock AR 72201
501.682.9699
Oversees grant programs to further childcare services in Arkansas.
Arkansas Science and Technology Authority (ASTA)
www.AccessArkansasScience.org
900 West Capitol, Suite 320
Little Rock, AR 72201
501.683.4400
Provides state grants, through a competitive application process, to Arkansas enterprises in applied research, technology transfer, and development of innovative technology-based businesses and projects that stimulate economic growth and industrial competitiveness in Arkansas.
Catalog of Federal and Domestic Assistance
http://www.cfda.gov/
Online catalog that gives you access to a database of all Federal programs available to state and local governments (including the District of Columbia); federally-recognized Indian tribal governments; territories (and possessions) of the United States; domestic public, quasi-public, and private profit and nonprofit organizations and institutions; specialized groups; and individuals.
