Startup Business Grants: Best Free Funding Options

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Startup business grants provide free funding to assist tiny businesses grow without debt. Competition for tiny-business grants is fierce, however, and some awards require a minimum time in business — often at least one year.

In some cases, newer businesses or true startups may be able to access grant funding, but these options can be more difficult to find. Nevertheless, it can pay to know where to view for future financing.

Here are the best business startup grants, plus alternative funding sources to consider.

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Startups may be able to qualify for tiny-business loans with just three months in operation. If you required more than grant funding can offer, explore our roundup of the best startup business loans.

We’ll start with a brief questionnaire to better understand the unique requireds of your business.

Once we uncover your personalized matches, our team will consult you on the process relocating forward.

Startup business grants from private companies and nonprofits

Many corporations and large nonprofits, like the National Association for the Self-Employed, offer startup business grants or organize grant competitions. Some national opportunities include:

Freed Fellowship Grant

The Freed Fellowship grant program offers a $500 grant to tiny-business owners each month. All applicants obtain feedback from the Freed Studio and recommfinishations on how to grow their business. They also receive two months of free mentoring in the Freed Studio virtual community.

Grant winners are automatically entered into consideration for an additional $2,500 grant at the finish of the year. Any micro or tiny business in the U.S. is eligible to apply. You can start the application by providing your name and email address on the Freed Fellowship website.

The Amplifier Grant

The Outrage is an activism organization that offers a $5,000 new business grant to companies building a difference in their community. The Amplifier Grant is available on a seasonal basis; funding is awarded in January, April, July and October.

To qualify for this grant, you must be a business or organization actively working to create the U.S. a better place. The Outrage accepts applications from startups, grassroots organizations, and nonprofits, among other tiny businesses.

IFundWomen Universal Grant Application Database

IFundWomen partners with other corporations to administer business grants. The company generally focapplys on tiny-business grants for women, but also offers startup grants, crowdfunding and coaching, among other resources.

You can fill out a universal application to receive automatic notifications when you’re eligible to apply for a grant.

Amber Grant for Women

WomensNet gives three $10,000 Amber Grants each month and three $25,000 grants annually. Although startups are eligible for all grants, one of the monthly $10,000 grants is specifically geared toward new businesses.

Filling out one application creates you eligible for all Amber Grants. To qualify, businesses must be at least 50% women-owned and based in the U.S. or Canada.

National Association for the Self-Employed Growth Grant

Join NASE, and you can apply for quarterly Growth Grant opportunities. There are no time-in-business requirements for these grants of up to $4,000, but you’ll required to provide details about how you plan to apply the grant and how it will assist your business grow.

Hustler’s Microgrant

HerSuiteSpot is a digital platform that provides training and coaching to women-owned tiny businesses. The company offers the $1,000 Hustler’s microgrant each month that’s available to any tiny business in the U.S. To apply, you required to provide basic information about your business and explain how you would apply the grant funds.

Awesome Foundation Grants

The Awesome Foundation offers $1,000 business grants on a monthly basis. These grants are available to individuals, groups and organizations — so there is no minimum time in business requirement. Grants are awarded by individual foundation chapters, which are organized in different cities across the U.S. You can obtain an Awesome Foundation grant by submitting an application that details your “awesome” project.

Eligible projects can include initiatives in a wide variety of areas such as arts, technology and community development, among others. You can browse examples of funded projects on the Awesome Foundation website.

Faire Small-Business Grant

If you own an indepfinishent retail store that opened within the last year — or plan to open this year — you may qualify for the Faire Small-Business Grant. This new business grant offers $5,000 in Faire credit to indepfinishent retailers based in the U.S. The credit can be applyd to purchase inventory through Faire.com. Applications are open now through March 31.

Greatness Grant

Every quarter, the Greatness Grant awards $2,500 to an aspiring- or early-stage entrepreneur. Applications are judged based on the clarity of your business idea, your passion and the potential impact of your business on your community. Applications for this cycle are open through April 15.

Pathway to Opportunity Pitch Competition

Pathway to Opportunity (formerly known as the National Black Business Pitch) is a pitch competition that offers up to $5,000 for business-to-business companies. To qualify for the competition, you must be viewing to sell your product or service to corporations. You must also be at least 21 years of age, at least 51% owned and operated by U.S.-based entrepreneurs and have at least three months in business.

To apply, you’ll submit an information form, along with a three-minute video about your business. Thirty businesses will be selected to advance to phase two, where they’ll participate in a virtual live pitch. Three winners will be chosen. First place receives $5,000, second place receives $2,500 and third place receives $1,250. Applications are open now through June 9.

Jobber Grants

Jobber, an operations management software company, offers $10,000 grants to home-service businesses, such as landscaping-, painting-, cleaning- and plumbing companies. To be eligible for this grant, you must be an existing or aspiring home-service business owner who is at least 18 years old. Grant funds can be applyd for any business purpose. Applications are now open through June 11.

ZenBusiness Grant Program

ZenBusiness evaluates applications on a monthly basis and winners receive a $5,000 grant, access to the company’s Money Pro services, as well as “inquire me anything” office hours with the ZenBusiness team. If you apply for a certain month and don’t win, you can reapply for the following month. Winners are not eligible for subsequent grants, however.

Applications are accepted on a quarterly basis and are currently open.

Venmo Small Business Grant

The annual Venmo Small Business Grant offers $10,000 grants to 20 business owners. This program also provides mentorship from industest leaders and the opportunity to be featured on Venmo’s social media pages.

To qualify, you required to have a U.S. Venmo business account in good standing. You also required to have fewer than 10 employees, less than $50,000 in annual sales and have sold $500 or more in goods and services at least three months before the start of the grant program.

Winners for 2024 were announced in May. You can receive the latest updates about the 2025 cycle through your Venmo business profile.

FedEx Small Business Grant Contest

This annual competition awards grants to tiny-business owners in a variety of industries. To be eligible, you’ll required to have been in business for at least six months, and have had an active FedEx business account during that same timeframe. One winner will receive a $50,000 grant, and nine additional tiny businesses will obtain $20,000 grants. Winners for the 2024 cycle were announced in May. Stay tuned for updates on the 2025 application cycle.

Tory Burch Foundation Fellows Program

Each year, the program chooses 50 tiny-business owners to participate in a yearlong initiative that includes workshops, networking groups, a $5,000 business education grant and a culmination presentation. Tory Burch Fellows participants also receive access to 0% interest loans through Kiva.

To qualify for this startup grant program, you must be a women entrepreneur who owns 51% or more of your business. You also must be an early-stage company (ranging from one to five years in business) that generates revenue (the program prefers a minimum of $75,000).

Applications are closed for the current Fellow cycle, but you’ll be able to find updates for the following cycle on the Tory Burch Foundation website.

I’ve been researching and writing about tiny-business grants for half a decade — in that time, I’ve seen very few grant programs that accept businesses that haven’t been started yet. If you required money to obtain your business off the ground, I’d recommfinish viewing into pitch competitions.

In my city of Chicago, for example, a company called TechRise holds a weekly pitch competition via Zoom. Early-stage entrepreneurs can apply to pitch their businesses to a panel of judges. Every week, five entrepreneurs compete, and one is awarded a grant between $25,000 and $50,000.

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Randa Kriss

Lead Writer, Small Business

Government startup business grants and resources

Some government programs offer direct funding to startups viewing for new business grants, but those that don’t may point you in the right direction or assist with applications.

Grants.gov

Government agencies routinely post new grant opportunities on this centralized database. If you see an opportunity relevant to your business idea, you can check if startups are eligible. Many of these grants deal with scientific or pharmaceutical research, though, so they may not all be relevant to Main Street businesses.

State and local government grants

The federal government awards a variety of grant funding to other governments, like states or cities, or to nonprofit economic development organizations. Those entities then offer grants to local businesses. Plugging into your local startup ecosystem can assist you stay on top of these opportunities. For example, New York state’s website offers a consolidated list of business grants and incubators organized by region

Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs

These federal grant programs are designed for businesses with innovative technology or scientific research ideas. Federal agencies list the types of research they’re hoping to fund, and if you believe your idea qualifies, you can submit a proposal. Unsolicited proposals aren’t allowed.

Small Business Development Centers

These resource centers funded by the Small Business Administration offer business coaching, education, technical support and networking opportunities. They may also be able to assist you apply for tiny-business grants, develop a business plan and level up your business in other ways.

Minority Business Development Agency Centers

The MBDA, which is part of the U.S. Department of Commerce, operates tiny-business support centers similar to SBDCs. The MBDA doesn’t give grants to startup businesses directly, but these centers can connect you with grant organizations, assist you prepare applications and secure other types of business loans.

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Small-business incubator programs

Business incubators or accelerators are designed to assist companies in various phases of the startup stage — providing education, workspaces and mentorship. Some also provide funding in the form of grants, pitch competitions with cash prizes or access to investors upon completion of their program.

Although there are a range of programs for general startups, certain incubators tarobtain specific demographics, like underserved business owners. Head Boss in Charge Headquarters (HBICHQ), for example, is a Seattle-based nonprofit that serves women and minority-owned startup businesses. It offers merit-based grants for graduates of several of its educational programs.

Other programs are designed to offer support for certain industries. Union Kitchen, for instance, is an accelerator program designed to assist food businesses, whereas Endless Frontier Labs supports early-stage science and technology based startups. These accelerators don’t provide startup grants, but can assist businesses obtain funding as they work through the program.

To find these types of institutions near you, you can do an online search for “[Your City] business incubator.” Even if you don’t see a grant program, it can be assistful to sign up for their email newsletter or follow them on social media. Like SBDCs and MBDAs, startup incubators often provide business coaching, courses and lectures that can assist you develop and grow your business idea.

Alternatives to startup business grants

Finding and applying for new business grants can be difficult and time-consuming — plus, not all startups will qualify. If you’re viewing for other ways to fund your business, you might consider these alternatives:

  • SBA microloans. These loans offer up to $50,000 to assist your business launch or expand. So far in fiscal year 2025 (which started Oct. 1, 2024), the average SBA microloan is $15,391

  • Frifinishs and family funding. Asking frifinishs and family to provide an investment for your business is a common form of startup funding. This type of arrangement can place a strain on relationships, however, so you’ll want to be careful. You’ll want to define each person’s investment — is it a loan or are they obtainting equity in your business? If you’re receiving a tiny-business loan, you’ll want to lay out the rates and terms and detail how you’re going to pay it back. You should put all agreements in writing, if possible.

  • Business credit cards. You can qualify for a business credit card with your personal credit score and some general information about your business, like your business name and industest. Startup business credit cards often earn rewards for spfinishing, building them great for daily expenses, but they aren’t typically suited for larger purchases. If you create a large purchase on your credit card and can’t pay it back right away, you’ll start accruing interest on your balance, which can become expensive and difficult to manage. Keep in mind that you’ll likely required to sign a personal guarantee with your application — which means you’ll be held responsible for paying back the debt if your business can’t.

  • Crowdfunding. If you have a dedicated customer base, they can assist finance your business through crowdfunding. In exalter for capital, businesses usually offer something for their supporters, like debt notes, equity shares or access to an exclusive event. You can compare a variety of crowdfunding platforms that offer different terms, such as Kickstarter, Indiegogo and StartEngine, to find the model that works best for you.

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