If you need capital for your business, a grant may be a source of funding to consider.  Every year, more than $80 million in funding is given out in the form of grants. And unlike loans, grants do not have to be repaid. In this blog post, we’ll discuss how to start applying for grants.

Benefits of Small Business Grants

The great thing about grants is that they offer generous amounts of funds which, unlike loans, do not have to be repaid. In fact, every year more than $80 million is given out in the form of a grant. Some of the most common reasons businesses apply for grants include:
  • Asset purchases
  • Hiring new staff
  • Working capital
  • Expansions
  • Improvement of current products
In addition, after receiving your first grant, there is a greater possibility of becoming eligible to receive grants from other organizations in the future.

How to Qualify for a Grant?

Applying for grants is a competitive process. Therefore, candidates should prepare accordingly:
  • Review and update your business plan. A good business plan describes your company’s mission and roadmap for success. As a result, this is the tool you have to convince others to invest in your business.
  • Audit financial statements. These will reflect your company’s overall financial health over time.
  • Thoroughly review the grant requirements. It's common for grants to require further documentation such as reporting throughout a period of time. Will you have the time and resources to collect the information needed?
  • Become familiar with grant writing. Most grants require a well-written proposal for consideration. You’ll want to tailor your proposal to communicate your plans and ideas clearly.
Eligibility requirements for a small business grant vary on the basis of the grant for which you apply. Operating a registered, for-profit organization is typically required to qualify for a small business grant. Other factors such as the number of employees, location, owner’s background, etc., affect the types of grants that are available to you.

Available Grants for Small Businesses

There are several organizations that offer grants to small businesses. the Small Business Administration (SBA) is a federal agency that provides counseling and funding opportunities to small businesses. SBA grants are available for businesses promoting scientific research, management assistance, and community organizations that support entrepreneurship. Grants.gov is a database of thousands of grants offered by various government agencies. Opportunities are available for companies from a wide range of backgrounds. Small businesses located in low-income areas which were severely impacted by the COVID-19 pandemic can qualify for grants like the Shuttered Venue Operators Grant. Additionally, for a larger breakdown of other grants available, take a look at this list from the US Chamber. While the grant process can be extensive and tedious, securing a grant can go a long way to help reach your business goals.
When running a business, it is crucial to understand your business’ finances and monitor cash flow to operate successfully. As a small business you understand that every dollar spent, as well as every dollar readily available, counts. Whether you’re looking to establish your business credit, earn cash back, gain benefits, or just need short-term funding, these business credit cards can help you on your way. Even better, with FINSYNC, you can use a credit card to pay a traditionally cash-only vendor and start earning your rewards even faster.

Best Credit Card for Establishing Credit

Are you just starting up your business and have limited or poor credit? The Wells Fargo Business Secured Credit Card is the way to go. This card will help you begin to build your business credit while also earning 1.5% cashback on all purchases made. There is also a very low annual fee of $25, which you can have waived after you’ve built up your credit. However, keep in mind that because this is a secured credit card, the rewards won’t be as good as those of unsecured cards. Regardless, this is a great starting point as you begin to build up your credit.

Best Credit Card for Startups

If you’re an up-and-coming startup with funding, the Brex Credit Card for Startups could be right for you. Brex offers up to 7x point rewards, depending on the purchase. Regardless, you’ll be sure to earn points on every dollar spent. Some other benefits of the Brex card is their instant access to a credit line after you sign up. Keep in mind that you typically will need to have at least a $100k bank balance at any given time. So if you are an early-stage business with capital in the bank, this card could be for you.

Best Credit Card for Cash Back Points

Looking to earn cashback rewards on all your purchases while not paying any annual fees? The Blue Business Plus Credit Card from American Express is a great option. With this credit card, you’ll earn 2x points on all your purchases up to $50k each year. After the $50k, you’ll earn 1x points on all purchases. If you’re looking to double down on your point earnings, then this card could be for you.

Best Credit Card for Business Travel

If your business requires you to travel a lot, the Chase Ink Business Preferred Credit Card is a top pick. This card offers 3x points on the first $150k spent on travel, phone service, internet, cable, and advertising. To sweeten the offer, they’ll even throw in a 25% bonus if you redeem your points through Chase Ultimate Rewards. If you find yourself using multiple airlines and hotel brands, you can transfer points between partnering airlines and hotels. To top it all off, you can earn an additional 100k bonus points if you spend $15,000 or more within the first 3 months.

Best Credit Card for Large Expenses

The Discover It Business Credit Card is great if you expect your business to have large expenses within the first year of opening the card. This card offers unlimited 1.5% cash back on all purchases and no annual fee. In addition, Discover will match all of the cash back you earned within your first year. That’s right, there is no minimum or maximum amount needed to be spent to receive the cash back matching offer. For example, if you spent $400 Discover will match to $800.

Best Overall Credit Card for Small Businesses

If you’re not looking to spend a lot of time finding the best card for one specific reward, and prefer a simplistic yet rewarding credit card, then the Capital One Spark Cash for Business is a good bet. This card might be the best overall for small businesses. With an unlimited 2% cash back reward on all purchases, this card can seriously reduce your expenses. The first year has no annual fee and if you spend $4,500 within the first 3 months, you’ll even get a $500 cash bonus. Also, if you have employees, you can receive employee cards for free, and increase the rate of cashback earnings.  

Payments Made Simple with FINSYNC

FINSYNC Pay allows you to preserve cash by shifting cash expenses to your card credit and amplify your rewards. Even if your vendor does not accept credit, you can pay them electronically using the credit on your card. Getting started is simple and secure. Sign up for a free trial today.
Services FinSync Quickbooks Bill.com Gusto Expensify TSheets Harvest
Payments
Bill Pay
Invoicing
Accounting
Payroll
Expense Reimbursement
Time Clock
Time Sheets
Projects
Cash Flow Management