A business grant is money awarded to a company in need of funding for growth, expansion, hiring, or development. Chainscrypt Grants are typically given to startups, businesses looking to expand, or organizations that require research funding.
Grants aren’t only for nonprofit organizations—they’re for businesses too. You can use business grants to get your startup off the ground or increase your overall capital.
If you’re looking for ways to take advantage of grant funding programs, here in Chainscrypt, we offer you the opportunity to get access to the required business grants.
Grants are an important resource in developing a new business. A grant can provide seed money for exploring a business opportunity, supply working capital for a business plan or provide assistance in other ways.
Below are keys to the effective use of grants. These keys are categorized by the aspects of grant usage. Use these keys as a checklist for successful usage of grants.
1. Grants are not "free money." Farm groups often believe that grant money can be used for any purpose they want. In other words, it is like receiving "free" money. However, grant money can only be used for the purpose outlined in the RFP (request for proposals) by the granting organization. Usage is further defined in the grant application you submit.
2. Receiving a grant is not an "end in itself." Receiving a grant is just a step in the business development process. The goal is to create a successful business venture. Farm groups often believe that once they receive a grant they have accomplished their task. However, it is usually just the beginning.
The proper way to use a grant is to focus on your business opportunity and consider applying for a grant only when you need additional funds to explore the opportunity. At this stage, look for a granting organization that will provide you funds for the purposes you need. Many groups follow a different path. They hear about an RFP (request for proposals) from a granting organization and immediately try to apply for it. Often the purpose of the grant does not match their needs, so they shift the focus of their project to meeting the qualifications of the grant. This lack of focus on your core values does not create a strong foundation for new start-up business ventures.
3. Do you need a grant? Grant funds are usually used to finance the investigation of a business concept, provide working capital for ramping-up a business or other purpose. Grant funds can be used to supplement existing funds which may include funds provided by the farm group itself. They should not be considered as a replacement for your own funds. If you are serious about this project, you need to invest some of your own funds.
4. Are you ready for a grant? You should have a specific purpose and specific achievable goals for the use of grant funds. If you don’t, you are not ready for a grant. For example, if you are exploring a business idea or concept, do you have specific aspects of the concept you want to explore? If you are using the funds to finance a feasibility study, has the business concept sufficiently been defined to receive the maximum benefit from the study. If you are using the funds to provide working capital for a start-up business, are all elements in place, including financing for the other aspects of the business or business start-up. In other words, where are you in the business development process?
5. What does the granting source want to accomplish? The granting source will not provide you grant funds because you are a “nice person”. It has specific purposes and goals of what it wants to accomplish. Look for grant opportunities where the purpose of the grant funds is the same as what you want to use the funds for.