More than 500,000 women start their own business annually. Some of those businesses are small businesses. Of every three businesses opened in the U.S., one is owned by a woman. Despite having a gender disadvantage, women have a 75 percent chance of operating a successful small business. Government grants being awarded to women is part of the reason for the success rate. Government grants do not have to be repaid to the federal government.
Purpose of Grants for Women
In 2009, the government has already awarded more than $90 billion in government grants to women business owners. Government grants for women were started to help women who wanted to pursue their entrepreneurial careers as business owners, but had a disadvantage in qualifying for grants because of their gender. The grants are awarded to women who are legal U.S. citizens, and each has requirements and an application process that must be followed to qualify for the government grant.
Types of Government Grants for Women
There are different types of government grants women can qualify for and apply for. The federal government awards grants to women with all types of small business plans and ideas. Some types of grants the government awards are for small businesses opening in a small town; low income women wanting to start a small business; or for single women. There are also grants for women who are out of work, and want to start their own small business, instead of returning to the work force as an employee.
Determining Amount of Government Grants
The amounts of grant money the government awards varies, depending on the type of government agency and program. For instance, the Grant-A-Day government grant is $500, but a woman who starts her own daycare business can be awarded $15,000 in government grant money. The amount of the grant is typically determined by how many recipients the government is awarding for a specific grant, as well as the financial needs of the woman opening the business. A business plan is very helpful when applying for government grant money because the business plan outlines the financial needs of the small business, and shows the government where the grant money awarded will be used for.
Resources for Women Small Business Owners
The Small Business Administration is one of the many organizations, businesses and resources a woman wanting to open her own small business can use to gain access to private government grants. The Small Business Administration does not offer grants itself, but the organization does have access to federal, state and local government grants awarded solely to women who are small business owners. These organizations also help small businesses with applying for the government grants, as far as business organization, preparation and presentation.
Government grants with specific requirements must be met in order to qualify for the grant. For instance, if the government grant is for single mothers who want to start a real estate business, the applicant must be just that. A woman should never falsify documents or misrepresent herself on the grant application process, because this is fraud. Anyone who is charged or accused with defrauding the federal government can face legal fines and jail time, depending on the federal courts or agencies.