Small Business Grants in New York | Fund Your Business

Steve Bennett
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New York Small Business Grants

In New York, also known as, The Empire State, starting and growing a small business can be challenging, particularly when securing the necessary funding. One often overlooked source of funding for small businesses comes in the form of grants. In New York, various grants are available to small business owners, offering a valuable source of funding to help you achieve your business goals. 

This comprehensive guide will explore the Small Business Grants in New York, how to find them, and tips for successfully applying. And, if you are planning to form a Limited Liability Company in New York and want to have small business grants, this article is right for you. Read the guide to fully understand small business grants in New York.

Webinarcare Editorial Team had thorough research and market study regarding the state-funded small business grants in New York. It would be best to cross-check all the factors before choosing the right one for your New York business.

What is a Small Business Grant?

A business grant is a sum awarded to a small business that does not need to be repaid. Grants are typically given by governments, nonprofit organizations, and private companies to help support the growth and development of small businesses. Grants can be used for various purposes, such as starting a new business, expanding an existing one, purchasing equipment, or funding research and development.

If you are planning to start a business in New York, you should consider having small business grants for your business’s funding.

Small Business Grants in New York

Various types of small business grants are available in New York, depending on the source of funding and the specific needs of your business. Here are three main categories of grants that you can explore:

New York Funded Small Business Grants

New York funded small business grants offer several programs to support small businesses. These grants may be specific to certain industries, regions, or business stages. Examples of state-funded small business grants in New York include:

1. New York Empire State Development (ESD) Small Business Grant Fund

The ESD Small Business Grant Fund is a program designed to provide financial assistance to small businesses in New York that have been negatively impacted by the COVID-19 pandemic. The program offers grants to eligible small businesses for working capital expenses, including payroll, rent or mortgage payments, utilities, and other operating costs. This grant program aims to help small businesses recover from the economic downturn caused by the pandemic and support their ongoing operations.

2. New York State Energy Research and Development Authority (NYSERDA) Grants

NYSERDA offers various grants and incentives to support small businesses in New York that focus on clean energy, energy efficiency, and sustainable development. Some of the grant programs offered by NYSERDA include: a. Clean Energy Workforce Development Program – This program provides funding for workforce training programs related to clean energy technologies and industries. b. Small Commercial Energy Efficiency Program – This program offers incentives for small businesses to implement energy efficiency improvements and reduce their energy costs.

3. New York City Small Business Services (SBS) Grant Programs

The New York City SBS offers several grant programs to support small businesses in the city. Some of these programs include: a. NYC Love Your Local Small Business Grant – This program provides funding to help local small businesses in New York City strengthen their competitive advantage and implement business improvement strategies. b. Avenue NYC Commercial Revitalization Grant – This program offers grants to nonprofit organizations working to revitalize commercial corridors and support small businesses in the city.

Aside from New York funded small business grants, there are federal small business grants available. These grants can not only provide a much-needed funding boost, but they can also offer valuable networking and mentorship opportunities for entrepreneurs starting a business in New York.

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Federal Small Business Grants Available in New York

Federal small business grants in New York may also offer grants to businesses, particularly those that contribute to the community’s economic development or create jobs. Examples of federal small business grants in New York include:

Small Business Innovation Research (SBIR) Program

The Small Business Innovation Research (SBIR) program is a highly competitive federal initiative that encourages domestic small businesses to engage in research and development (R&D) with the potential for commercialization. The SBIR program is coordinated by the Small Business Administration (SBA). It operates across 11 participating federal agencies, including the Department of Defense, the National Institutes of Health, the Department of Energy, and the National Science Foundation.

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To apply for the SBIR program, small businesses must submit proposals in response to agency-specific solicitations, which outline each participating federal agency’s research topics and priorities. The application process is highly competitive, emphasizing the proposed technology’s technical innovation, feasibility, and commercial potential.

Small Business Technology Transfer (STTR) program

The Small Business Technology Transfer (STTR) program is a federal initiative designed to encourage collaboration between small businesses and research institutions in the United States. The program aims to promote the commercialization of innovative technologies from research and development (R&D) efforts and foster entrepreneurship and economic growth.

Administered by the Small Business Administration (SBA), the STTR program involves five participating federal agencies, including the Department of Defense, the National Institutes of Health, the Department of Energy, the National Aeronautics and Space Administration, and the National Science Foundation.

To apply for the STTR program, small businesses must submit proposals in response to agency-specific solicitations, which outline each participating federal agency’s research topics and priorities. The application process is highly competitive, with a strong emphasis on the proposed technology’s technical innovation, feasibility, commercial potential, and the quality of the collaboration between the small business and research institution.

Other Federal Grant Programs

In addition to the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs, there are several other federal grant programs available to support small businesses and entrepreneurs in various sectors and stages of development in New York. Some of these programs include:

Economic Development Administration (EDA) Grants: The EDA, under the U.S. Department of Commerce, offers grants to support economic development, job creation, and business growth in economically distressed communities. These grants are typically awarded to local governments, nonprofits, and economic development organizations, supporting small businesses through technical assistance, infrastructure development, and other services.

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Rural Business Development Grants (RBDG): Administered by the U.S. Department of Agriculture, the RBDG program offers grants to support small businesses in rural areas. These grants are intended to promote job creation, business expansion, and economic development in rural communities. Eligible applicants include towns, communities, state agencies, nonprofits, and higher education institutions.

Local and Regional Small Business Grants in New York

In New York, various local and regional small business grants are available to support and encourage the growth and development of small businesses. These grants often target specific industries or demographic groups and can provide financial assistance, training, and resources to help businesses succeed. 

To find specific grant opportunities in New York, it’s essential to check with local and regional economic development agencies, chambers of commerce, and other business support organizations. They can provide information on available grants, eligibility requirements, and application processes.

Benefits of Small Business Grants

There are several benefits to obtaining a small business grant for your New York business, including:

  • No Repayment Necessary: Unlike loans, grants do not require repayment, making them an attractive option for small businesses needing financial assistance.
  • Retain Equity: Grants allow owners to fully own their businesses without giving up a portion of their equity in exchange for funding.
  • Credibility: Receiving a grant can enhance a business’s credibility, making it more attractive to potential investors, partners, and customers.
  • Networking Opportunities: Many grant programs offer networking opportunities and support services, helping small businesses connect with mentors, industry experts, and other business owners.

Tips for Applying for Small Business Grants in New York

Applying for small business grants in New York can be competitive. Here are some tips to help you increase your chances of success:

  • Research Available Grants: Research the various small business grants available in New York. Look for grants designed for your industry, target market, or demographics. Check with local and regional economic development agencies, chambers of commerce, and other business support organizations for information on available grants.
  • Read the Eligibility Criteria Carefully: Ensure your business meets the eligibility criteria before applying for a grant. Some grants may have specific requirements based on location, industry, business size, or the demographics of the business owner.
  • Create a Solid Business Plan: A well-written business plan is essential when applying for grants. It demonstrates your understanding of your business, target market, and growth strategy. Be sure to include financial projections and a clear explanation of how the grant funds will be used to achieve your goals.
  • Prepare a Detailed Budget: Grant reviewers want to see how you plan to use the funds. Prepare a detailed budget that outlines the specific expenses the grant will cover and how these expenses will contribute to your business’s growth and success.
  • Follow the Application Guidelines: Each grant will have its application process and guidelines. Be sure to read these carefully and follow them closely. Submit all required documentation and complete all necessary forms.
  • Write a Compelling Grant Proposal: Your grant proposal should clearly explain the purpose of your business, how the grant funds will be used, and the expected outcomes. Be sure to highlight your business’s benefits to the local economy and community.
  • Review and Edit your Application: Review it carefully for errors or omissions before submitting it. Consider asking a colleague or mentor to review your application, as they may also catch mistakes or provide helpful feedback.
  • Submit your Application On Time: Be aware of the grant deadline and submit your application well in advance. Only complete applications may be considered.
  • Be Prepared for Follow-Up: If your application is successful, be prepared to provide additional information or documentation as requested by the grant agency. This may include progress reports or updates on the use of grant funds.
  • Don’t Get Discouraged: Applying for grants can be competitive, and you may only receive some grants you apply for. Use your feedback to improve your application for future opportunities, and keep searching for grants that fit your business needs.

Can I Get an SBA Grant for Small Businesses?

The SBA doesn’t typically offer grants directly to small businesses. Instead, the agency issues grant funding to state, local and tribal governments, as well as nonprofit organizations, to be used to support small-business initiatives. SBA loans are an available alternative to SBA grants.

FAQs

What kind of small business grants are available in New York?
There are a variety of small business grants available in New York, including grants for minority-owned businesses, women-owned businesses, and new businesses.
How do I find small business grants in New York?
You can search for small business grants in New York through government websites, grant databases, and organizations that specialize in supporting small businesses.
Who is eligible for small business grants in New York?
Eligibility requirements for small business grants in New York vary depending on the program, but typically involve factors such as type of industry, number of employees, and location.
How do I apply for a small business grant in New York?
The application process for small business grants in New York typically requires submitting a detailed proposal outlining your business objectives, strategy, and anticipated outcomes.
What is the maximum amount of funding available from small business grants in New York?
The amount of funding available from small business grants in New York varies depending on the program, but can range from several thousand dollars to millions of dollars.
Are small business grants in New York restricted to a specific industry?
Some small business grants in New York are restricted to certain industries, but others have a broader scope and are available to a range of businesses.
Can I use a small business grant to start a new business in New York?
Yes, there are grants available specifically for new businesses in New York, although the eligibility requirements and amount of funding may be different compared to existing businesses.
Can I use a small business grant to expand an existing business in New York?
Yes, there are grants available for expanding existing businesses in New York, although the eligibility requirements and amount of funding may differ depending on the specifics of the expansion.
Can I use a small business grant to hire employees in New York?
Some small business grants in New York can be used to hire new employees, although the requirements and amount of funding may vary depending on the program.
Can I use a small business grant to purchase equipment in New York?
Yes, some small business grants in New York are available for purchasing equipment, technology, and other tools necessary for running a business.
Can non-profit organizations apply for small business grants in New York?
Some small business grants in New York make funding available to non-profit organizations that support small businesses and entrepreneurs.
Are there grants available specifically for women-owned businesses in New York?
Yes, there are grants available specifically for women-owned businesses in New York, aimed at helping to level the playing field and promote greater diversity in business ownership.
What kind of training and education programs are available for small businesses in New York?
There are a variety of training and education programs available for small businesses in New York, including workshops, mentorship programs, and online learning resources.
Are there grants available specifically for minority-owned businesses in New York?
Yes, there are grants available specifically for minority-owned businesses in New York, aimed at promoting greater inclusion and access to funding for historically marginalized groups.
What kind of technical assistance is available for small businesses in New York?
Technical assistance programs in New York can include things like help with accounting, marketing, legal issues, and developing business plans.
Are there grants available for agricultural businesses in New York?
Yes, there are grants available for agricultural businesses in New York, aimed at helping farmers and other producers develop their businesses and access new markets.
Can I apply for multiple small business grants at once in New York?
Yes, you can apply for multiple small business grants in New York simultaneously, as long as you meet the eligibility requirements for each program.
What are the best ways to find small business grants in New York if I’m just starting out?
Sources for finding small business grants in New York include the websites of various economic development agencies, as well as business mentors and workshops offered through these organizations.
Are there grants available specifically for rural small businesses in New York?
Yes, there are grants available specifically for small businesses operating in rural areas of New York, aimed at promoting economic growth and development outside of urban centers.
What kind of reporting and monitoring is required if I receive a small business grant in New York?
Businesses that receive grants in New York must typically provide regular progress reports and be subject to audits or other monitoring processes to ensure that funding is being used for the intended purposes.
Are there grants available specifically for environmentally-friendly businesses in New York?
Some environmental grants are available in New York to support businesses in industries such as renewable energy, clean technology, or sustainable agriculture.
Are there grants available specifically for technology startups in New York?
Yes, there are some grants available specifically for technology startups and other high-growth businesses in New York.
How long does it typically take to receive a small business grant in New York after submitting an application?
The length of time it takes to receive a small business grant in New York can vary depending on the program, but typically take several weeks to several months.
Can I use a small business grant to open a franchise in New York?
Some small business grants in New York may be applicable to franchise businesses that meet the eligibility criteria for the program.
Do I need to repay money received through a small business grant in New York?
The requirements for repayment for a small business grant in New York vary depending on the program; some may need to be paid back, while others do not require repayment.
Are there grants available specifically for veterans looking to start or expand a small business in New York?
Yes, there are grants available specifically for veterans to build or operate small businesses in New York.
Are there small business grants in New York that cater specifically to food service operations or restaurants?
Yes, there are some grants available in New York aimed at fostering the growth of food service businesses, along with help with staff and equipment rentals..
What is the goal of small business grants in New York?
Small business grants in New York are designed to promote economic growth and help businesses succeed in a competitive market, with enhancing the state’s finances and reducing geographical inequality through uplifting one region economically.
What types of small business grants are available in New York?
There are various types of small business grants available in New York, including an agriculture grant, the New York State Health Foundation grant, and grants specific to minority and women-owned businesses.
How can I apply for small business grants in New York?
You can apply for small business grants in New York by searching for grants through the New York Business Express website, exploring opportunities on the Empire State Development website, or through an online search for grants specific to your industry or location.
Is there a limit to the number of grants I can apply for in New York?
There is no specific limit to the number of grants you can apply for in New York, but it’s important to focus on opportunities that align with your business goals, industry, and location.
Are grants in New York available for startup businesses?
Yes, grants are available in New York specifically for startup businesses, such as the SUNY Research Foundation Grant Program or the New York State MWBE/Diversity Grant Program.
What are some common eligibility requirements for small business grants in New York?
Common eligibility requirements for small business grants in New York include being a legal resident of New York, having a registered business in New York, having a tax ID number, and demonstrating financial need.
What types of expenses can small business grants in New York cover?
Small business grants in New York can cover a wide variety of expenses, including technology upgrades, inventory purchases, marketing expenses, and industry-specific equipment.
How long does it typically take to receive small business grants in New York?
The timing for receiving small business grants in New York varies based on the application process and approval timeline. It can take anywhere from a few weeks to several months to receive grant funds.
Are small business grants in New York considered taxable income?
Yes, small business grants in New York are generally considered taxable income. Be sure to consult with a tax professional to determine any potential tax implications.
Can I be required to give equity in my business in exchange for a small business grant in New York?
While some venture capital firms and angel investors may require equity in a business in exchange for funding, small business grants in New York typically do not require equity or ownership shares.
Can I request a refund or return for a small business grant in New York?
Small business grants in New York are typically non-refundable and cannot be returned. It’s important to carefully review grant agreements and contracts for any potential financial obligations or repayment requirements.
Do I have to repay a small business grant in New York?
It depends on the specific grant terms and requirements. Some grants may require repayment or impose other financial obligations, while others are non-repayable.
Are there any training or education programs associated with small business grants in New York?
Yes, many small business grants in New York provide training or educational resources as part of the grant package to reinforce business skills and growth.
Are grants in New York available for non-profit organizations?
Yes, grants in New York are also available for non-profit organizations, including community development grants and grants specific to non-profit operations.
Can I use a previously awarded grant to apply for another grant in New York?
It depends on the terms of the grant agreement and regulations. In general, previous grants do not invalidate or disqualify applicants from receiving future grants.
How does my credit score impact my eligibility for small business grants in New York?
While credit score may be a consideration for some grants, there are typically no specific credit score requirements for small business grants in New York.
How does my employer identification number (EIN) impact my eligibility for small business grants in New York?
Having a valid EIN is typically required to apply for small business grants in New York. Check with individual grant programs for specific EIN eligibility requirements.
Is there a limit to the number of employees my business can have to qualify for a small business grant in New York?
It depends on the specific grant program, but many grants are available to businesses with fewer than 500 employees.
Are there grants in New York specifically for minority-owned businesses?
Yes, there are grants specifically for minority-owned businesses in New York, such as the Minority and Women-Owned Business Enterprise (MWBE) Grant Program.
How do I demonstrate financial need for a small business grant in New York?
Demonstrating financial need may be a requirement for some grants in New York, and can typically be demonstrated with financial statements, tax returns, and other supporting documentation.
Are there any business plan requirements for small business grants in New York?
Some small business grants in New York may require a comprehensive business plan as part of the application and approval process.
Are there specific industries that are ineligible for small business grants in New York?
There are no specific industries that are ineligible for small business grants in New York. However, some grants may target specific industry verticals and require a deeper level of industry knowledge and expertise.
How involved is the government in the distribution of small business grants in New York?
The government is typically involved in the distribution of small business grants in New York, but the specific agencies and organizations involved may vary based on grant program and target audience.
What are some common reasons for a small business grant application to be denied in New York?
Common reasons for a small business grant application to be denied in New York include incomplete or inaccurate application information, inadequate financial statements, and missing support documentation.
In addition to money, what other resources do small business grants in New York provide?
Small business grants in New York may provide additional resources beyond financial support, including training and education opportunities, networking opportunities, and access to business resources and tools.
Are grants available for small businesses impacted by natural disasters in New York?
Yes, grants are often available for businesses impacted by natural disasters in New York, such as the Natural Disaster Relief Grant Fund and the Emergency Loan Fund.
Can I apply for small business grants as an individual in New York?
Small business grants are typically available for registered businesses/organizations in New York, but some grants may be available for individuals with a valid business concept/plan.
How can I find out about upcoming small business grant opportunities in New York?
Keep an eye out for small business grant announcements through the New York State government and the Small Business Administration, as well as business associations and industry-specific organizations.

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Conclusion

Small business grants can provide valuable funding and support for entrepreneurs looking to start or grow their businesses in New York. By understanding the types of grants available, conducting thorough research, and following best practices for grant applications, you can increase your chances of securing the funding you need to achieve your business goals. Stay encouraged by the competitive nature of grant programs; with persistence and dedication, you can find the right grant opportunity for your New York small business.

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