Small business grants attract potential entrepreneurs, albeit lacking funding resources, to work on an idea that is usually chosen by the grant provider.
These business grants help both the grant winner and financier. The grant recipient gets funding that is not required to be repaid while at the same time the grant provider is able to leverage the ideas and approach of the grant winner.
How Business Grants Work
The process starts with the proposals on the grant scheme from candidates. These candidates pitch their ideas as per the terms of the particular innovation grant.
Usually, the candidates are allowed to present their ideas in a pre-defined domain only. The best idea is selected and funding is offered to do more research on the idea. The candidates start the business with the grant money and report to the funding organization regularly about the development.
Apart from grants from private companies, there are a lot of government grants that provide government funding to promote innovation and business acumen.
In connection to this, EVAMAX has been helping Canadian businesses from different verticals in identifying which government grants and benefits they are potentially eligible for.
Why should you care as a Business owner
A business owner may opt to finance a business grant for several reasons. Usually, a big organization funds an idea that it does not want to pursue directly in the form of a business grant project to check its viability and scope. If the idea demonstrates growth, the resulting start-up is absorbed in the organization.
Thus, these business grants bring innovative ideas and new approaches to the market. The candidates for the grants are usually those who otherwise have a keen interest in the domain but cannot pursue it because of the lack of funds. The involvement of such hidden talent helps fresh thinking reach to the developmental spaces.