Government grants to buy already existing business?
I am curious about the processes and strategies anyone has to offer for me and my spouse to look into regarding government grants. We are interested in buying a business in our town, but are looking for some help raising the cash to buy it. Links and/or phone numbers to organizations would be wonderful, but also please feel free to give advice if you've done this yourself.
Could be Important:
The business is a restaurant/bar.
We live in Iowa
We're expecting a baby
We are buying a home under contract (so sort of owners of it - or will be)
Anything you can offer would be fantastic. Thanks a lot.
- imisidroLv 71 decade agoFavorite Answer
It is hard to find grants to start a business. Unlike the myths that some perpetuate, federal government and even private foundations hardly give grant money for starting a for-profit business.
One possible exception is for companies developing or exporting agricultural goods, including food and forest product. Another exception could be the Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR) programs http://www.sba.gov/aboutsba/sbaprograms/sbir/index... , which fund the research and development of technological innovation that meets specific government needs.
Your best bet actually will be from the states if they offer grant programs for women (or any other special interest groups -- minorities, women, disabled, veterans, etc). Or check with non profit organizations, particularly women organizations if they offer grants. Examples include
Iowa Women's Foundation http://www.iawf.org/
New Mexico Women's Foundation http://www.nmwf.org/guidelines.html
Even SBA does NOT give out grants. From the SBA website http://www.sba.gov/mostrequesteditems/CON_FAQ2.htm...
"The U.S. Small Business Administration does not offer grants to start or expand small businesses, although it does offer a wide variety of loan programs. (See http://www.sba.gov/financing for more information) While SBA does offer some grant programs, these are generally designed to expand and enhance organizations that provide small business management, technical, or financial assistance. These grants generally support non-profit organizations, intermediary lending institutions, and state and local governments."
Nonetheless, you can go to the Catalog of Federal Domestic Assistance (CFDA) http://www.cfda.gov and Grants.gov http://www.grants.gov - these are two sites created by the federal government to provide transparency and information on grants. Browse through the listings and see if you can find any grant that would support a for-profit venture.
Here is a listing of federal grants for small businesses. See if there is any available for individuals for starting a business -- THERE'S NONE.
Most of the federal grants are given to specific target groups with specific requirements (e.g. minority business owners involved in transportation related contracts emanating from DOT - Grant#20.905 Disadvantaged Business Enterprises Short Term Lending Program
Grants are also often given to non profit groups or organizations involved in training or other similar activities (grant 59.043 Women's Business Ownership Assistance that are given to those who will create women's business center that will train women entrepreneursSource(s): Free Government Grants to Start a Small Business http://www.powerhomebiz.com/guide/cases/imi-grants...
- Anonymous4 years ago
there are no grants for buying businesses, or remodeling houses - online or otherwise, regardless of gender are you sure the business is even worth $30,000? have you examined financial statements, tax returns and bank statements for the last 2-3 yrs to see if they made any profit and enough to justify that price? why are they selling the business? have you asked? what exactly are you getting for that price? have you prepared a business plan, with 3-5 yr financial projections to prove to yourself and others that buying this business makes sense and profit?