Does Your Small Business Qualify for Capital Funding Grants?

Have you have wondered about what capital funding grants are and if your business can qualify for one? This article is for you! GrantWatch lists capital funding grants that funders make available that can transform the financial foundation of any small business. Also, capital funding can allow a business to better serve its respective communities. Many philanthropic organizations invest in capital projects to enrich their communities.

What Is Capital Grant Funding?

Overall, capital funding grants provide general operating funds for a business. Moreover, these grants are often mostly unrestricted dollars. Capital funding grants are commonly used to pay for costs the programming budget cannot pay for.  These expenses include salaries, rent, utilities and fundraising, as well as other administrative costs and overhead.

What Else Does a Capital Grant Fund?

Funders want to fund projects where their dollars can best be used directly for the end beneficiary. Capital grants cover a wide range of expenses for an organization. Capital grants also support major material purchases, renovations, rehabilitation for outdated facilities, construction of new facilities, land purchases, and more. Additionally, the larger the capital need, the more support you must secure for your organization. Your organization should be prepared to secure multiple funding sources for its project.

Do You Qualify For Capital Funding?

Funders are more likely to fund projects that are making a wide impact within the community. For this reason, GrantWatch encourages you to use the capital funding checklist below. The best opportunities your organization have to qualify for capital funding grants include:

1. Proposed projects that address root problems with substantive solutions.
2. Community-supported projects with solid evidence of support from the community and the organization’s board.
3. Proposed projects in rural communities face significant challenges in accessing funds for capital projects.
4. Green ecosystem building and sustainable development practices through specific projects and programs.
5. Projects that reinforce priorities in public education, natural resources and medical enhancements, as well as general community development.

My Business does not qualify. What are other options to consider?

Remember, not every organization is ready for capital funding grants. Do not get discouraged. Overall, there are many great opportunities for your organization. Below are some ways to connect with your community and find the funding your organization needs.

Talk To Your Current Funders: In particular, do you currently have a funder providing programming support?  Maybe your organization has a good relationship with them or has recently submitted a report demonstrating your positive impact on the community.  If that is the case, you should inquire about opportunities for additional support, including upcoming RFPs (Request for Proposal).  Describe the need and see if there is some way they can help. 

Inquire About Corporate Sponsorships: Are you meeting with corporate foundations to discuss grants? Meeting with foundations to inquire about their process for sponsorships is crucial.  The contact person for sponsorships may also be the person you already have a relationship with. It might also be someone new that could open the door to other funding opportunities.  It may be helpful to ask for a ‘warm’ introduction (from your current contact) to provide a strong starting point from which you can develop your (new contact) relationship.  Often, corporate sponsorship dollars are also unrestricted. This provides your organization with more flexibility.

Connect With The Community: Engaging with your community as an organization creates more exposure and allows your organization to make new connections. Examples of this include Joining your local chamber of commerce, attending local events and/or participating in tradeshows. This will help your small business build relationships and new partnerships to help drive your organization forward. Also, building stronger community connections can help your organization reach new levels of success.

Capital Funding Opportunities

1. Grants and loans are offered to nonprofits, public agencies, and Tribes located in rural areas to support the development of community facilities. 
2. Up to $20,000 to organizations for project and operating support. Funding is for activities that focus on environment, arts and culture, and historic preservation.
3. Industrial and commercial business owners may apply for capital improvement projects. Funding is for improvements to building exteriors, interiors, mechanical systems, and most other permanent building improvements.
4. Grants to nonprofit arts organizations for general operating expenses. Funding is for local arts organizations who create performing art productions.
5. In addition, grants and in-kind assistance are available to nonprofits and governmental agencies to create skateboard parks in disadvantaged communities.
6. $8,000 to businesses for community improvement projects. Funding is for the design and installation of outdoor wall art in highly visible locations.
7. Grants to businesses and tourist-based attractions to promote tourism and increase the use of electric vehicles. Funding is to purchase electric vehicle chargers at a variety of tourism sites.
8. Grants of $10,000 to individual farmers and collaborations to promote the development of new sources of agricultural income. Funding supports operations that are verifiable farm businesses.
9. Up to $5,000 to nonprofits to support general operations. Funding supports organizations that provide education for employment readiness and financial literacy.
10. Grants to nonprofits social justice programs. Funding supports the operations of nonprofits that address racial inequities and provide critical resources to BIPOC and other groups who have been historically disempowered and discriminated against.

The Take-Away

To conclude, stop sitting on the sidelines and wondering if your business qualifies for capital funding, and visit GrantWatch today. We have a listing of Capital Funding grants ready for you! Happy hunting!

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