Venture Capitalists fund less than 1% of startups
Women owned businesses receive a disproportionately small amount of this small percentage. The majority of startups fund their ideas with savings, cash flow, crowdfunding and forms of debt - grants are unequivocally the best funding option.
Two of the best kept secrets in financing a startup are mission-based lenders and grantors, which often offer capital below the minimum threshold of many banks. However, entrepreneurs frequently have difficulty connecting with these sources. Attending networking events and joining social media groups for business owners will increase your chances of connecting with the right people.
Grants are a no-risk way to raise the funding you need. If your business fails to repay a loan, your assets are in jeopardy. Grants do not require repayment or equity and will only benefit you or your business. Once you are awarded the grant money, it is yours to keep; all of the money you receive to grow your business, pay your salaries, and more.
Most grant competitions are highly competitive; apply to one or more of the dozens of grants looking to fund startups. Finding grants specific to your industry will also increase your chances. While grants are available for all types of businesses, there are even greater opportunities for women, minorities, and veterans.