Business Assistance Programs
There are three main ways to access money in the capital marketplace for business use. The first place is to apply for financial
aid is through the federal government. There are a wide range of grants and loans to help expand your business. You also
have state grants and loans that can help you with your business. Some states use these funds to start up business centers that
give financial and business advice to new entrepreneurs. Other states use this money and pass it along directly to the entrepreneur.
The last place to check for capital is through the private sector. The private sector includes a wide variety of businesses,
non profits, institutions, organizations, and other private foundations that donate money. They give money for a variety
of reasons. Some of theses reasons include tax breaks, legal, and philanthropic reasons. Each charitable organization
can give away this money in any form they wish and to whoever they wish. This can include grants, and venture capital.
We have included a list of some of the sources we could find within the private sector. We hope you take full advantage of them.
State Grants and Loans - Directory of where to go to find business grants and loans offered through state economic development agencies.
Small Business Financing
- Tutorial on how the SBA works and what they offer.
State and Local Government Agencies
- Access information on state financial aid through a portal that will connect you to all your local state websites.
State Business Grants, Loans, and Business Assistance Programs
- State economic development resources for the small business.
State Economic Development Agencies
- State Economic Development Agencies.
Federal Business Grants, Loans, and Business Assistance Programs
- Be sure to check out the complete guide to federal programs by clicking here
before you get started with searching for federal business assistance.
Women's Business Assistance Programs
- If you are a female entrepreneur you are in luck!
Venture Capital Firms
- These firms are backed by the Small Business Investment Companies
program offered through the federal government.
Angel Capital Electronic Network
- For a small fee you can sit back and let angel investors and other venture capital firms find you!
State Business Grants and Loans
If you are in search of a grant to help start your business then there are a few places you can check to
see if you qualify. Every year the federal government gives state development agencies grants that the development
agency then redistributes to businesses in the form of direct grants. However, not all state development agencies
redistribute the funds in the form of grants. Some offer only loans and others offer free help that will be discussed later in this guide.
Some states see that offering direct grants to businesses offers a competitive advantage over other states since businesses
will want to move to the states offering the best business support.
Below is a quick link list of local state economic development agencies. This would be the first place to check for
a business grant. Feel free to contact your local agency to see how they can help you with your business or soon to be
new business. Also, keep in mind that these business grants are highly competitive. They are usually for large operations
that promote community business growth through the creation of jobs and tourism. The federal government offers through
the SBA a variety of loans to start or expand a small business. Despite the fact that over 90% of businesses fail
federal funds are allocated every year for these loans. This money is your money here for the taking. We will show you how to
access these small business loans later in our guide.
Alabama Development Office
- Financing
Alaska Commercial
Development
Arizona Dept. of
Commerce - Small
Business Services
Arkansas Economic
Development - Business
Financing & Incentive
California
Trade & Commerce - Financial
Assistance
Colorado Business
Resources Guide - Financial Aid
Connecticut Economic Development
- Financing Your
Business
Delaware Economic
Development - Financial
Assistance
Florida: Enterprise Florida - Small
Business Resources
Georgia Economic
Development - Financial Aid
Hawaii Economic Development
- Starting a Small
Business
Idaho Dept. of Commerce - Business
Resources
Illinois Dept. of Commerce
- Business
Grants and Loans
Indiana Dept. of Commerce - Business
Incentive Programs
Iowa Economic Development -
Business
Assistance Programs
Kansas
Dept. of Commerce - Grants and Loans
Kentucky Economic Development
- Business Startup -
Financing
Louisiana Economic Development
- Incentives
Maine Economic Development
- Small Business
Development
Maryland
- Business Assistance
- Financing
Massachusetts Economic
Development - Starting
- Financing
Michigan
Economic Development - Getting
Started - Financing
Minnesota Economic
Development - Financial
Assistance
Mississippi Development
Authority - Financial
Assistance
Missouri
Economic Development - Starting
a Business
Montana
Dept. of Commerce - Financing
Nebraska Business Toolkit - Loans
- Grants
Nevada
Economic Development - Business Assistance - Financial Assistance Programs
New Hampshire Economic Development
- Grants
and Assistance
New Jersey Commerce &
Growth
- Financial Assistance
New Mexico Economic Development
- Incentives
New York Economic Development
- Financial
Incentives
North Carolina Dept. of
Commerce - Assistance - Incentives
North Dakota Economic Development
- Business
Tools - Financing
Ohio Dept. of Development -
Small Business Assistance
Oklahoma Dept. of
Commerce
Oregon
Business Resources - Financial
Resources
Pennsylvania
Business in PA
Rhode Island Economic
Development - Business
Services - Business Assistance
South
Carolina Dept. of Commerce - Business
Financing
South Dakota Economic
Development - Financing &
Incentives
Tennessee Economic Development
- Business Support - Financing
Texas Economic Development
- Small Business Assistance
Utah Economic Development - Grants
and Funding
Vermont Business in VT - Financial
Assistance
Virginia Economic Development
- Financing
Washington Economic
Development - Financing
West Virginia Business
Development - Incentives
- Financing
Wisconsin Dept. of Commerce
- Business
Resources - Financing
Wyoming
Business Council - Small
Business
Small Business Financing
Overview
Currently the federal government does not provide business grants directly to businesses for start up
costs or operating costs. Instead the federal government distributes funds to local state agencies. It is
up to the state whether or not a portion of these funds will be used to directly fund businesses. Some states
do offer business grants for startup or expansion expenses, others do not. To find out if your state offers any
grants to businesses or new businesses please view our
state economic development agencies directory.
This tutorial will introduce you to the SBA and how they function.
There are SBA offices located in every state.
The SBA is the Small Business Administration.
The SBA can assist you with planning, financing, training and advocacy for starting or expanding a small business.
If your business is or will be independently owned and operated, not dominant in its field, and meets the
SBA business size requirements then the SBA is definitely going to be able to help you.
SBA small business loans are a great way to raise capital for starting or expanding a business. The SBA helps
back up the collateral on bank loans and loans offered through other financial institutions. They can help back up to
85% collateral on a business loan. Despite the fact that 90% of businesses fail these funds are here for the taking. It
is only in your best interest to take advantage of them considering the fact that your taxes are funding them.
Developing a Business Plan
The first thing you will need before you can request a loan from a lender is a business plan. Your business plan will
include the description of the business, the marketing plan, the financial management plan, and the management
plan. You will also need to include the executive summary, supporting documents, and financial projections.
Your business plan needs to be a well formatted outline describing how you will be operating your
business. To find out how to write a well formatted business plan check out the SBA's business plan outline.
Need help with writing a business plan, getting a loan, marketing, licenses and laws, selling to the government,
patents and copyrights, selling abroad, hiring employees, or buying the right equipment? If so then you should check out
your local SBA Small Business Development Center (SBDC).
These services are free of charge to anyone interested in starting, improving, and or expanding a business who cannot
afford the services of a private consultant. SBDC's develop services in cooperation with SBA offices to ensure statewide
coordination with other available resources. Not only can you get free help from the SBDC staff, but they can
also connect you to private sector consultants, engineers, and testing laboratories if needed. It has been estimated that
the value of the services entrepreneurs have received from SBDC's is over $10,000 per business owner!
SBA Loans
The SBA offers loans to small businesses that cannot find funding through traditional channels. The SBA guarantees
loans through private sector lenders. These private lenders include banks and credit unions.
The SBA does not provide loans directly to businesses. If you are interested in receiving a SBA loan
then you should contact your local lenders.
Below you will see what loan programs the SBA offers. For complete details including qualifications, allowable
uses of funds and interest rates check on the "complete details" link provided.
7(a) Loan Guaranty Program - Loans offered up to $2 million.
Complete Details
SBA LowDoc Loans - Loans offered up to $150,000. The SBA usually decides if you are approved within
36 hours of receiving your application.
Complete Details
SBAExpress Loans - Allows lenders to use their own application forms and methods to approve
loans guaranteed by the SBA. Loans are offered up to $250,000 that can be made within a guaranteed 36 hour
approval time period. Lenders have the ability to process these applications online making the process extremely
fast.
Complete Details
Microloan Program - Loans offered as high as $35,000 to qualified start-up, newly established, or growing small
businesses. Loans are offered through local nonprofit lenders. To apply you must go through your
local intermediary.
Complete Details
These are the biggest loan programs the SBA has to offer. For complete details on SBA financing visit their
website: Business Financing.
Local SBA Approved Lenders
For a complete list of local
lenders that can help you get a SBA loan please visit the
certified and preferred lenders section of the SBA website.
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