Tuesday, December 15, 2009

Don't Be Frustrated In Case You Do Not Receive Government Grants For Small Business

By Michael A. Saunders

Many small business owners are interested in learning whether it is indeed possible to obtain government grants for small business and especially as they are being bombarded by a plethora of infomercials and internet advertising that promise you to help you get millions of dollars as free money from the government. These claims are quite unbelievable and so should be treated as such because the plain truth is that the government does not normally hand out grant money to small businesses - whether as start-up money or to help the business expand its operations.

The most that one can say about obtaining government grants for small business is that the grants given by the federal government only goes into the pockets of organizations that function not to make profit but to do some useful things. So, in case your business is focused on providing educational research in the field of medicine, education or to perform research on scientific matter then you can get a grant from the government.

What's more, it is possible to get a grant from the federal government but you need to be a state or even local government that wishes to obtain funds in order to develop their economies.

In addition, you can also get grants if you are thinking about developing a marketing campaign to promote tourism. Even so, these grant monies are not given for free and will require that you match the funds or combine your grant money with a loan.

Furthermore, it is also possible to obtain a grant if your business is to develop campaigns to promote and market tourism. Even then, the money that you get by way of a grant will not be free money because there are certain riders attached.

The federal government and also state governments can only help you (small business owners) financially by helping you to get finances in the forms of low-interest loans. For a small business that wants to find sources for financial grants it may be prudent for them to try using tools that can help them locate the right sources. A non-profit outfit and those businesses that conduct scientific research can expect to obtain grants, but they will need to do some exhaustive searches.

It is a good idea to visit Grants.gov where it is possible to obtain grants from the federal government and the Catalog of Federal Domestic Assistance too can point you in the right direction. There are certain fed agencies that offer special kinds of grants and a good example is the US Department of Education which provides grants to those engaged in humanities and arts as well as in education.

To get government grants for small business you will in all probability have to settle for obtaining loans that are given at low interest rates and there are also capital financing programs out there that you can take advantage of.

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