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Government Grants For Auto Repair Shops

Written by: Jody Adams
Last updated: January 31, 2024

Auto repair shops are a $70 billion industry and play a vital role in the economy, ensuring that vehicles are properly maintained and functioning efficiently. However, running an auto repair shop can be challenging, and owners often face financial obstacles, such as the cost of equipment, supplies, and staff training. 

That is where government grants for auto come in. These grants help repair shops overcome these challenges and provide the resources needed to grow and thrive. By providing support, government grants for auto repair shops play a crucial role in keeping communities' vehicles on the road and their local economies running smoothly.

Let’s take a look at the available government grants for auto repair shops. 

Understanding Government Grants for Auto Repair Shops

Understanding Government Grants for Auto Repair Shops

Several government grants are available for auto repair shops, and each has different eligibility criteria. Most would check the kind of community the auto repair shop serves and assess the business' financial stability. 

You'd also need a sound business plan and a proven ability to complete the project for which the grant is given within the allotted time. 

It's important for auto repair shop owners to thoroughly research the various available grants and carefully review the eligibility criteria to determine which grants may best fit their business needs.

Examples of Government Grants for Auto Repair Shops

Here are examples of auto repair shop government grants you can consider:

Rural Business Development Grants (RBDG) 

This program is run by the US Department of Agriculture (USDA), which provides technical assistance and training to rural small businesses and organizations to support rural economic development. The grants support business development and job creation in rural areas.

Eligibility Requirements

  • For-profit small business
  • 50 or fewer employees
  • At least 51% owned by a US citizen or permanent resident
  • Conducts the primary place of business in an eligible area (outside an urbanized city and has a population of 50,000 and above)
  • Making less than $1 million in gross revenue

How To Apply

  • Complete an online application via the SAM (System for Award Management)
  • You can also send applications to the USDA local or state offices
  • Beware of scams asking for a fee to complete the SAM application. This application is free of charge

Minority Business Development Agency (MBDA) Grants

Minority-owned businesses often face challenges, such as access to capital or funding, that impede their growth. The MBDA assists minority-owned businesses through eligible organizations that facilitate funding to help these businesses grow and develop. 

These resources can be used for research and development, technical assistance, and business training.

Eligibility Requirements

  • For-profit small business
  • Minority-owned
  • At least 51% owned by a US citizen or permanent resident

How To Apply

  • Register your business and complete an online application via the SAM or Grants.gov
  • Attend a pre-application teleconference
  • Understand the evaluation process

Small Business Administration Grants

The SBA gives limited grants for small businesses that need support through development and training to become better entrepreneurs. They don’t give grants for business expansion or initial funding, but they assist entrepreneurial counseling and training programs to enhance and develop your business. 

Eligibility Requirements

  • At least 51% owned by a US citizen or permanent resident
  • Existing business within the US

How To Apply

  • Check out the different programs on their website for specific application processes and requirements 

Small Business Innovation Research (SBIR) 

The Small Business Innovation Research (SBIR) program is a competitive grants program that provides funding to small businesses to support the development of innovative technologies. The program aims to support the commercialization of new products and services, encourage entrepreneurship, and help small businesses participate in federal research and development efforts.

Eligibility Requirements

  • For-profit small business
  • 500 or fewer employees
  • At least 51% owned by a US citizen or permanent resident
  • Conducts the primary place of business in the US
  • Have potential for commercialization

How To Apply

  • Look for a participating agency in your topic area
  • Respond to the funding solicitation from the particular agency
  • Follow the application process determined by the agency

Why Consider Government Grants

Government grants for auto repair shops can provide much-needed support for business owners looking to expand their operations or modernize their facilities. Take note that these grants are not directly awarded to businesses and are instead coursed through public organizations. They are also highly competitive, with most providing support only up to training and research. 

However, your business will flourish when awarded with any of these government grants designed to help you succeed. Your own state can have other small business grants ready for distribution. Check out the 2023 small business grants in Florida and other states in our blog.

While exploring government grants for auto repair shops, don't forget about personal health needs. Check out our guide on available dental grants for individuals. Balance your business growth with personal well-being!

Jody Adams
Jody Adams is an accomplished editor-in-chief with a deep understanding of social care and government benefits issues. With a background in journalism and a master's degree in Public Policy, Jody has spent her career shaping the narrative around social policies and their impact on society. She has worked with renowned publications, effectively bridging the gap between complex policy analysis and public understanding. Jody's editorial expertise ensures that vital information on social care and government benefits reaches a broad audience, empowering individuals to make informed decisions.
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