Why grants shouldn’t be overlooked…
Apart from loans and investors, another source of funding that could kickstart your new business into reality is the grant option. Grants for normally come in the form of publicly funded schemes and can be provided by the government, charitable organisation, or a trust.
Unlike loans, this type of financial allocation usually cuts out the whole debt/repayment factor, but they do often come with certain conditions that need adhering to and can be quite difficult to find.
The following article will show you what you need to do before applying for a grant, plus give you some details on several organisations that can help startups/SMEs in the South West.
A step-by-step process
Like with all types of business finance, you need to first do some research and methodically cover certain points during the application process. They are as follows:
• Check criteria; to begin with, look at the qualification criteria. If you don’t, you run the risk of wasting your time. Only apply if your venture meets all the criteria.
• Allow for time; check for application deadlines, and if there’s one leave enough time so that you can make a good job of it.
• Read thoroughly; this may be like stating the obvious but it’s important to read each part carefully before filling in the application form. Check all the information and research where necessary.
• Set clear objectives; focus on what business objectives the grant will help you to achieve – this should help guide you during the application process.
• Find a contact; perhaps before you start writing out the application, look for the contact details of someone within the grant provider organisation. Once done, you can relax a little knowing that if you get stuck along the way, they’ll be able to point you in the right direction.
• Use evidence; you stand a better chance of being awarded the grant if you back up any claims with thorough evidence and figures. Also, provide a project or business plan (see article on how to draw up one).
• Be prompt; get your application in on time, late ones rarely get approved. That’s it, now all you have to do is wait for the decision.
South West Enterprise Fund
As already stated, grants for businesses can be tricky to track down, but there’s one private organisation based in Exeter that can potentially get your new business off to a good start – and that’s the South West Enterprise Fund (SWEF). They offer grants of up to £2,000 for people aged 18-30, and what’s particularly good to know is that they especially back individuals who’ve struggled to find capital elsewhere.
Aside from the funding, they also provide you with continual support and access to a business mentor, which can definitely prove useful when you’re starting out. To find out more about the SWEF, go to: https://www.swef.uk/business-grants
Another two good organisations to check out is the Heart of the South West Growth Hub -https://www.heartofswgrowthhub.co.uk/. It’s a HotSW LEP-funded (voluntary partnerships between local authorities and businesses) outfit that offers free business advice and support services for startups and established businesses – covering Devon and Somerset. They can help direct you to available funding options in the region. The second is UK Research and Innovation -https://www.ukri.org/ - they provide access to government funds and invest £8 billion of taxpayers’ money each year into research and innovation across such fields as quantum computing, agriculture technology and innovative health care. UKRI provides funding for projects that require further development before they can be brought to market.