Small Business Grants and Loans for Veterans

From time to time the federal government offers programs aimed at veterans to help them find employment or start their own business. One example is the recent program announced by the Administration which provides vouchers for IT certification to vets returning from the Middle East. In addition, there are dozens of private institutions and nonprofit groups offering small business loans designed to help get veterans started. If you're a former member of the military, knowing how to access these resources could be one of the keys to a successful business.

A good place to start is by visiting the website of the US Small Business Administration (SBA). While the SBA and the federal government don't provide small business grants to anyone, they do have a very large database of information to point veterans in the right direction. Their website also includes a search tool to help you find grants that might be available from nonprofit groups and other organizations. All the information and resources found at the SBA site are incredibly valuable to anyone starting a business, not just veterans.

The Reason Behind Small Business Grants

Small business grants provide a lifeline to individuals who want to start their own companies. For veterans, they are especially helpful in providing a means of entrepreneurial enterprise which allows them to harness the skills they learned in the military and turn them into a viable business enterprise. Many of this country's citizens believe that vets should have access to the grants and funding they need because of the sacrifice they've made for this country. But that begs the question, why does the veteran, or anyone for that matter, need so much money to start a business?

Starting a business is incredibly expensive if you want to do anything more than simply be a single-service private contractor. To do things right you need office space, equipment, advertising and marketing, insurance, materials, etc. And that's not even counting the cost of employees if your type of business demands it. Unfortunately, many new entrepreneurs are underfunded because they lack an understanding of how much money is needed to properly run a business.

Experts have long known that it generally takes two or three years for a new business to break even, let alone start turning a profit. That's why small business grants and venture capital are so important. They fund all aspects of your business through the first couple of years until you are ready to start putting money back in the bank. Without sufficient funding the average small business is statistically very likely to close its doors within the first 12 months.

Finding Small Business Grants for Veterans

As we mentioned at the start of this article, the SBA is a good place to begin your search for grants for veterans. You can also try the federal government's grand clearinghouse at Grants.gov. Again, the federal government doesn't issue small business grants itself, but they do have a list of resources made available to veterans through other organizations. Finally, you can contact the Veterans Administration (VA) or any number of veterans-related groups and inquire as to any information they might have.

If all else fails you can do a general online search using the phrase "small business grants for veterans." You'll have to wade through tons of results to find out what's legit and what's not, but the grants are out there if you're willing to be diligent in looking for them.

The one thing you should be careful of are videos and books claiming to provide you information on thousands of grant sources giving away "free money" to anyone who wants it. These books and videos are almost always scams. And even ones that contain legitimate information are providing you with information you can get for free on your own.

Applying for Grants

Applying for small business grants for veterans can be a complicated venture for people who don't have much business experience. It might be a good idea for new entrepreneurs to take a few continuing education classes on grant writing and running a small business. In addition, most major American cities have at least one or two small business associations of their own whose goal is to help veterans and minorities turn their entrepreneurial dreams into reality. They are a great source for instruction on how to write grant proposals.

Writing a grant proposal generally consists of defining the purpose and scope of your company, defining your mission statement, explaining how you plan to meet your goals - both in the short and long-term - and any protections you are putting in place to guard your company against closure. Depending on the type of business you're starting, your grant proposal could be just a few pages. Either way, it's key for you to make sure you include all the information the grant writer is looking for.

Using a Grant Writing Service

There are grant writing services available to help you secure your small business grant. If you're uncomfortable doing the work yourself, and you can afford to spend the money, using a Grant writing service will probably increase your chances of success. Just be aware that you may not be the only veteran being helped by the service you choose, so you will be competing against other vets for a limited amount of funding. Also be aware that most grant sources are not bottomless money pits. Any grant writing service that promises you the world is probably not going to deliver.

Small business grants for veterans are available all around the country. Some may be limited in the amount of money they have available, or the number of times in a given year they offer such grants, but there are enough of them available that you should be able to find something that works for you. Whatever you do, be diligent in your search and be prepared to accept funding from a variety of sources. You may need a few grants, some venture capital, and even a loan or two. But that's the nature of business.