From family-run restaurants to minority-owned businesses, tech startups to manufacturing companies —businesses in Pennsylvania are present across diverse categories.
However, do you know what’s the major challenge for these businesses?
Well, it’s obtaining funding resources for business growth. While loans and investments can always be the option, securing grants is a more cost-effective option as it requires zero payback.
So what are the small business grants in Pennsylvania and where can you find them?
Let’s uncover all of that in this blog post.
Let’s dive right in.
→ Download Now: Business Startup Checklist
Pennsylvania Small Business Grants
1. Alternative and Clean Energy Program (ACE)
ACE is a program for the utilization, development, and establishment of alternative and clean energy projects in the state of Pennsylvania.
Uses: For activities to promote the utilization, development, and establishment of clean energy infrastructure including – compressed natural gas (CNG) and liquified natural gas (LNG). The grants also help companies involved in energy conservation programs.
Funding: $2 million or 30% of the total project cost, whichever is less to be granted for clean energy programs. Also, grant recipients would be granted $10,000 for every job projected to be created by the manufacturers of alternative fuels equipment manufacturers.
2. Global Access Program (GAP)
GAP is used to enhance the export capabilities of eligible Pennsylvania small businesses.
Uses: GAP provides flexibility and encourages grant use to help meet the international marketing needs of an eligible business. Usage includes – participating in international trade shows, international market sales trips, and shipping the products.
Funding: Grant opportunities of up to 75% for all eligible companies. Business costs and expenses are capped at $10,000 per year for qualified expenses.
3. High-Performance Building Program (HPB)
The grant assists businesses that are involved in the construction and major renovation of high-performance buildings in Pennsylvania.
Uses: The grant helps assist eligible companies in activities such as the construction and renovation of high-performance buildings.
Funding: Capped at $500,000 or 10% of total eligible building construction and renovation costs, whichever is less.
4. Industrial Sites Reuse Program (ISRP)
The ISRP grant is awarded for environmental site assessment and remediation work at old industrial sites.
Uses: The grant can be utilized for Phase – I, II, and III environmental assessments. It can also be used for the remediation of hazardous substances in distressed areas.
Funding: Grants and loans up to $200,000 for environmental assessments and $1 million for remediation projects.
5. Empowerment Zone Grants
Empowerment zones are earmarked areas to help promote economic growth for businesses through various programs and initiatives.
There are three empowerment zones in Pennsylvania:
- American Street Empowerment Zone
- North Central Empowerment Zone
- West Philadelphia Empowerment Zone
Uses: These are government grants chalked out for business expansion and growth, storefront improvement and beautification, financial literacy, tax preparation, and marketing.
Funding: The grant amount varies depending on multiple factors.
Please refer to individual grants offered to individual empowerment zones such as North Central or West Philadelphia Empowerment Zone grants, to learn more about the available funding.
6. WEDnetPA
The Workforce and Economic Development Network of Pennsylvania (WEDnetPA) provides grants for training existing and new employees.
Uses: This grant helps existing businesses in Pennsylvania fund employee training and skill enhancement efforts. The grant helps employees with career advancement and quicker promotion.
Funding: An individual employee can qualify for up to $2,000 in job skills training.
7. Pennsylvania Infrastructure Investment Authority (PennVEST)
PennVEST provides business grants (and loans) to businesses for new or improvement of existing public/private-owned drinking water, and sewage facilities.
Uses: The grants can also be used by businesses for the remediation of businesses involved in brownfield projects as well as pollution prevention practices.
Funding: The maximum grant amount is capped at $11,000,000 for a single project or $20,000,000 if a project serves more than one municipality.
8. Pennsylvania First Program (PA First)
It is a fund created to facilitate increased economic investment and job creation with the businesses present in the commonwealth state.
Uses: The grants can be utilized for a wide scope of activities such as – job training support, machinery/equipment, land acquisition, land and building improvement, etc.
Funding: The scope of funding varies depending on the activity.
9. Renewable Energy Program (REP) – Geothermal and Wind Projects
The renewable energy program (REP) grant promotes alternative fuels and energy amongst businesses in the state of Pennsylvania.
Uses: The grant assists businesses involved in geothermal technologies and wind energy programs.
Funding: Financial assistance of up to $5,000 is awarded to businesses for every new job created by manufacturers of renewable energy equipment.
For businesses in wind energy projects – $1 million or 30% of the project cost, whichever is lower.
For planning and feasibility projects – $175,000 or 50% of the total project cost, whichever is lower.
10. Amber Grant for Women
Founded in 1988 by WomensNet, Amber Grant, awards grants to women business owners. The grant was established in memory of Amber Wigdahl. She died at 19 before fulfilling her dream of becoming a business owner.
Uses: The grant money can be used for capacity enhancement of small businesses in the following categories – restaurant owners, health and wellness, fashion and beauty, etc.
Funding: $10,000 is allotted as financial assistance to 3 new businesses each month. And, three businesses are granted $25,000 every year for obtaining more business resources.
11. Storefront Improvement Program
The Storefront Improvement Program supports small business owners in upgrading their storefronts.
Uses
The grant can be utilized by a business for funding various costs of
- Masonry
- Exterior painting and renovation
- Glazing windows
- Lighting–exterior facade
- Exterior painting–door
- Signage
- Cornices
- See-through security grills
Funding: The grant can be utilized for 50% of the project cost by a business. The amount is capped at $10,000 for commercial property or $15,000 for multiple business properties.
The above-mentioned PA grant for small businesses has been chosen selectively.
Let’s now learn how a Pennsylvania small business can access a full list of all available small business grants.
Need help creating a business plan?
Maximize your chances of getting grants by creating a solid business plan
Plans starting from $7/month
Where to find Pennsylvania small business grants?
The search ends here. Here are some places you can find Pennsylvania small business grants.
Department of Community & Economic Development (DCED)
The DCED (a Pennsylvania department) is responsible for sustainable development across Pennsylvania.
They advise and act as advocates, and help provide working capital, technical expertise, training, and financial assistance to help the business community flourish in Pennsylvania.
Pennsylvania Grantwatch
Pennsylvania Grantwatch helps small business owners in Pennsylvania find new grants. On their website, you can filter grants based on your business category and location.
Tips for successful grant proposals
There are a few things that business owners can do to increase their chances of writing a successful grant proposal.
Begin by thoroughly understanding the guidelines and requirements of the grant program before you start writing your application.
Then, write a well-detailed and organized proposal. Ensure that you include all the required information and follow all formatting instructions.
Ask someone to review your proposal before submission to ensure it’s error-free and surpasses other applicants.
Lastly, don’t be afraid to ask for help from a professional grant writer if you need it. Other applicants might have hired one too!
That said, grants aren’t the only way to procure funds for your business.
Alternatives to grants
If you are unable to qualify for a federal government grant or have missed the deadline for a specific grant, you can consider these alternatives to grants.
Small business commercial loans
Financing options such as – commercial bank loans, credit lines, term loans, and SBA loans (government-backed loans) are available. Loans are quick and easy to secure provided you have collateral.
Small business micro-loans
If commercial loans do not pique your interest, consider opting for micro-loans. Microloans are loans ranging from less than $50,000, have short terms, and have comparatively lower interest rates.
Small business credit cards
Credit cards are another great option that helps you earn rewards while you undertake expenses. Consider exploring a host of credit cards before zeroing down on one that meets your needs.
Crowdfunding for small business
Online platforms such as Indiegogo help support small businesses and secure funding. The funding obtained can be used to shape small business ideas into reality.
How do grants impact your business?
Grant undoubtedly is the best way to add an extra infuse of cash to your business.
However, like a coin, acquiring a grant has its own advantages and limitations.
Advantages
Here are some advantages that won’t disappoint:
Easy access to capital
Grants help expand your business capabilities and achieve objectives swiftly. It also helps nonprofit organizations focus on their objective without worrying about funding.
Waterfall effect
Securing a grant helps in securing successive grants easily. This happens primarily because securing a grant by applicants is a great indicator of a proven business model.
Helps gain credibility
A grant helps organizations gain visibility and in turn, adds credibility to your business.
Limitations
Here are some limitations to keep an eye out for:
Competitive
The competition of applicants within each grant program is intense. You can’t rely on one grant program to fulfill all your needs.
Time-consuming
Applying, securing, and receiving grants can be an extremely time-consuming and tedious process.
Uncertain renewal
There’s uncertainty around the renewal of a grant application for a small business. This can be difficult for business owners and entrepreneurs since they would need to change their plan of action accordingly.
Conclusion
Now quickly check your eligibility for different grant programs in Pennsylvania and start working on your applications.
While submitting the documents, you may require a thoroughly detailed business plan outlining and validating your financial demands.
With the Upmetrics business planning app, you can get this done in about 10 minutes.
So what’s the wait for? Get started now.
