A small business can be challenging for aspiring entrepreneurs. Apart from all the planning and preparation that goes into establishing a business, the main hurdle people face is financing the initial phases of the business until it becomes economically viable. Either you must put up your own money or get funding from outside.
What Are Small Business Grants?
Grants for small businesses are small amounts of money that help them grow in their initial stages. Both government institutions and private businesses can award such grants. As opposed to a loan, grants are not repaid.
A small business or startup can find it difficult to fund its operations, and loans can, while helpful, increase the burden on cash flow. Businesses can establish themselves and grow without taking on debt by receiving a business grant if one is available.
Facebook Small Business Grants
Facebook introduces ways for business owners to access funding, connect with resources, and attend networking events to address cash flow needs.
It is still difficult for many small businesses to make ends meet. A Facebook report found that 60% of small businesses report difficulty paying business-related expenses, and a quarter of small businesses struggle to pay down loans, debt, bills, and rent.
According to a recent Facebook announcement, Facebook is giving $40 million in grants to 10,000 U.S. small businesses that have been adversely affected by Covid-19. The grants will provide $4000 ($2500 in cash, $1500 in optional ad credits) to help small businesses during this difficult time.
Thirty-four cities are participating in the grant program, and the businesses need not be on Facebook, Instagram, or WhatsApp to apply.
These grants would help with:
- Keeping a company’s workforce motivated
- Assistance with rent costs
- Increasing your customer base
- Covering the cost of operations
To be eligible to apply, your business must:
- Be a profit-driven company
- Have between 2 and 50 employees
- Have been running for more than a year
- Have experienced negative effects from the pandemic
- Be located near Facebook
You must also be prepared to present some essential documents as part of your application in addition to answering questions about your business. Applicants must possess one or more of the following documents:
- Federal Employer Identification Number (FEIN)
- Partnership documents
- Business license
- Proof of incorporation
A Facebook grant application will require you to submit your contact information, a brief description of your business, and how you intend to use the grant.
In times of need, businesses are coming together and helping one another, and Facebook is leading the way with its small business grant and ad credit program. By taking advantage of this grant opportunity, you can support your business and the employees who keep it running.
Don’t hesitate to pass this information on to your favorite local small businesses if you don’t run a business. Let them know about the opportunities that Facebook, Google, and other companies provide for businesses in need. Let them know that you appreciate what they’re doing.
However, the social network doesn’t stop there when it comes to helping small businesses. They support businesses by simplifying and updating the gift card sale process through their platform. Click here to learn more.
Are you interested in learning more about different grants and programs that can help you with your living situation? Check out the rest of Gov Relations’ blog section today!