Programs are normally priced to serve the small-business community. A. Grants given directly to business start-ups are very rare. An exception may be for a high tech type business or for businesses producing products that can be used by certain agencies or departments involved in our nation s defense. This program is called the Small Business Innovation Research Grant program and is administered through the U.S. Small Business Administration. The kind of financing most entrepreneurs seek through commercial lenders is debt financing.
Most banks provide debt financing for existing and start-up businesses.
Banks vary substantially in their lending practices. While one bank may decline your loan application, another may be willing to fund your venture. It is advisable to understand a bank s lending guidelines before applying for a loan. The first criteria to be met for SBA funding is the business must operate for profit. You will be your own most important employee, so an objective appraisal of your strengths and weaknesses is essential.