Grants for Small Business Guidebook
What Most SMBs Don’t Know about Grant Funding

Summary: 

• Most grants follow a claim-back process, so be prepared to incur expenses up front. 
• Verifying the eligibility criteria before submitting your claim will help your claim get processed faster. 
• Submitting well-prepared claims in a timely manner will improve your reputation with the program and make you more likely to be approved in the future.

In business, having a leg up on the competition is key. The same can be said for grant funding! Knowing what most business owners don’t can help you put forward a better application. In turn, this increases your chances of getting approved. We’ve put together the top 4 things that companies don’t know about government funding: 

1. The company pays for the expenses upfront. Most grant programs follow a claim-back process, meaning you pay for the expenses that are then reimbursed by the program. This means that you need to have the capital to incur expenses that are funded up to three months later. 
2. The company submits a claim. Once you have incurred some expenses, you’ll put together a claim with the appropriate receipts and a detailed report. This will be submitted to the program before any funds are dispersed. Some programs have set claim dates, while others are more flexible. 
3. The funders will verify expense eligibility. Before you receive your funds, the program will comb through your claim and expense report to ensure that the expenses are indeed eligible for reimbursement. This is where it’s important to read the reporting requirements to make sure you only include expenses that are part of the program. 
4. Eligible expenses will be reimbursed. Once your claim is processed and the expenses are verified, you’ll then receive your funding. This is either done by cheque or direct deposit, depending on your preferences. 

Now that you know what documents you need, and what most companies don’t know about applying for grants, you can start to get organized. A common theme here is the ‘eligibility requirements’. Each program has specific activities that they are allowed to fund, and making it easier for them will enhance your application, and your post-approval experience. After all, the grant programs want you to get the funding, you just have to be prepared and know what’s expected of you.