Grant Myths

You’ve heard the claims about money for the asking and that there’s unclaimed taxpayer money just waiting for you, but sadly this claim is false. For some reason, this myth has propagated to the point that some individuals truly believe there are thousand of grants out there for individuals.

 
 

When it comes to grants for individuals, the options are very limited. Actually, in order for a grantmaker to give money to an individual they must have advance approval by the IRS for the program. For this reason, an overwhelming majority of grants are awarded to non-profit organizations. It’s very tough for grantmakers to make exceptions to their program guidelines, so even if you’ve got a great proposal, if you apply as an individual your application will not be considered.

Yet, thousands still believe grants are available to start new businesses, buy property, or even pay off personal debt. The truth is grant money, especially in today’s economic climate, is scarce. There is a significant amount of time invested in researching and applying for grants. In the business world, that time is usually better spent on efforts to improve business practices.

That being said, there are a few rare opportunities for individuals:
• There are certain urban and rural areas given a special designation by HUD. If you are planning to start a new business, expand a business, or relocate a business in a federally designed “Renewal Community” or “Empowerment Zone” you may be eligible for federal economic development or job creation funds.
• If you are a first time homebuyer there may be money available to help with your down payment or closing costs. The conditions vary state to state, but are typically given by local and regional development authorities.

So, in a few instances there may be money to assist in your new business or buy property, but there is no truth to grant money available to pay off debt. This is perhaps one of the most perpetuated grant myths and the most sought after by individuals, but a complete waste of time because that claim is 100% false.

Download the complete Guide to Government Grants to learn exactly how to find and obtain free government grant money.