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| I get several emails everyday
from women looking for business grants.
I am going to try to use this section to explain all about business
grants including some of the myths and misunderstandings about business
grants for women.
What is a grant?
A grant usually comes in the form of cash and is used for a specific purpose. Grants can come from a variety of sources. Grants usually do not have to be paid back. It is funding given to you for a specific area of study or research.
So the first myth to dispel is that a grant is not the same thing as a loan. Not ALL government grant programs are advertised. That's why some of the grant
packages and programs are very valuable. They have found those resources
that you will have a hard time finding on your own. The grant packages
listed below have done all the work for you.
Although billions of dollars are given away annually by Government Agencies and 30,000 + grant-making Foundations in the United States, Most Americans do not even know these Agencies and Foundations exist, or how to contact them! Grants don't have to be paid back and loans do. To get back to the Small Business Administration, (SBA)... they do offer loans to women in the form of a "guarantee". They don't actually loan you the money. They have participating financial instutions such as banks, that will loan you the money for a business startup and the SBA just "guarantees" the loan. The loan itself actually comes from the bank or lending institution. For this to take place you must have good credit. The government does not guarantee a loan for you if you have bad credit.
Back to Grants So if the government doesn't give business startup grants, then who does? Well, there are quite a few places believe it or not. A lot of corporations and foundations participate in grant giving. Even smaller companies are starting to offer small business grants. You just have to know where to find them. Some of the software programs you see and the books offered do provide a lot of information on grant giving. Not all of it will be focused on business, though. Before you digging real hard for a business grant, let me assure you that you are going to go through a lot of red tape, a lot of paperwork and a lot of headache. You can see Grant Site Reviews here. When someone gives you money for free in the form of a grant, they want to know where every single penny goes and they have a right to know as well. You must keep accurate, up-to-date records and file your reports on time. Believe it or not, using a grant to start a business is TWICE as hard as just getting a loan to start a business. Not only that, but you have to answer to several people of the organization or foundation for your every expendature. There are also a LOT of rules involved with using a grant. Some things won't be allowed as far a spending the grant money. Other Options Loans are your best bet. You don't have to have perfect credit to get a loan. For a business loan, you will be required to put up part of the money yourself. This assures the lending institution that you aren't just putting "their" money at risk. You are risking your own money as well. SEE Also:
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