Trying to get a Government grant
Government grants are growing in popularity; with funding designed for a variety of projects and in various geographic areas, smaller businesses no longer need to feel tied to traditional means of raising capital. Trying to get a Government grant is simple and will be very cost-effective.
What exactly are Government grants?
Government grants are small bursaries given by the federal government to companies that fit certain eligibility criteria. They’re offered on favourable repayment terms – ordinarily a gift without repayment required. Unlike other styles of financing, grants are usually provided for a particular project, and should be matched in value by an investment by the business enterprise owners. To find out more on which Government grants are and exactly how many can be found, please read our guide to small company grants.
Preparation before you apply
Trying to get a Government grant is comparable to seeking private investment which means you’ll need to create a convincing business case. Initially, you’ll have to be prepared to match the grant with your personal money because so many are awarded depending on you doing this. You’ll should also work out the key reason why you will need the grant because they won’t be awarded for under clear objectives.
Seek expert advice from the local business adviser to assist you ready your case. You’ll have to supply the following to the correct awarding bodies.
- Project description
- Social and financial great things about the project
- Full financial break down of the project
- An up-to-date business plan
- Proof business acumen between the company directors
- Applications as required
Don’t apply once you’re in need of capital – applications may take several weeks to per year to be accepted although those run by municipality will typically have a lower life expectancy lead time.
How exactly to apply
Contact the local Business Link to learn precisely what grants can be found and which one you intend to make an application for. You’ll then have to acquire the necessary applications from the federal government department in charge of awarding your grant. Make certain they are filled in legibly you need to include any requested documentation. Cause you to follow instructions to the letter; grants are really competitive.
Getting rejected
In the event that you get rejected don’t allow it dishearten; obtaining a grant is difficult because of the restrictive eligibility criteria and extreme competition. However you can find explanations why grant applications are rejected; make sure you require feedback in order to improve your application next time round. Below are a few common known reasons for having your grant application rejected:
- You don’t match the eligibility criteria necessary for the grant e.g. you don’t reside in the proper geographic area or operate in the incorrect industry
- You haven’t effectively demonstrated how assembling your project will yield social and financial advantages to the neighborhood community
- You awarding institution isn’t convinced you’ll match the grant with your personal funds and utilize the funds in the correct way
- Your organization plan or costing breakdown is unrealistic or unclear
When you have applied multiple times and discover it is possible to’t get yourself a grant, have a look at our guide to resources of start-up finance for alternative possibilities to you.
