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What is a Grant?

Grants are sums of money awarded to finance a particular activity or facility. Most importantly, these grant awards do not need to be paid back. Federal agencies and other organizations sponsor grant programs for various reasons. In allocating funds, grantmakers base their decisions on the applicant’s ability to fit the proposed activities within the grantmaker’s interest areas.

 
Before you get started with the grant proposal writing process, there are a few things to consider. Very first is the type of assistance that you’re looking to apply for, and the agency which offers money for your cause. Remember, you MUST do the necessary research and planning before attempting to write your proposal, or in all likelihood your proposal will be rejected.
You should also keep in mind that there are different kinds of grant requests, so your technique will vary depending on what you’re trying to accomplish. For our purposes, we’ll break grant requests down into the following categories:
 
Housing Grants
Example: Buy your first home
There are a variety of programs out there for people who are looking in the housing category such as home repair money, down payments and home purchase money. In addition to the programs offered for buying a house, there are other programs that offer assistance with payments each month. For example, there are programs where you could pay only about 40% of the payment each month and the federal government would pick up the rest.
 
Business Loans and Grants
Example: You want to start a donut shop.
If you are thinking about going into business, then why not have the government help you out? Most of us are a little shaky when it comes to taking that leap into a new venture. I believe the main reason is the risk of losing money. On the other hand, the government would like to see the population grow and the economy thrive, which is why they give away money to people like you and me to start businesses. I am sure that a lot of you have great ideas for business. Now it’s easier to take that leap because the government offers many grant and loan programs to help you get started.
There are a variety of resources to draw from when you are looking for funding.
  • State and Federal Money
  • Bank Loans
  • Venture Capital
  • Government contracts
Scholarships
Example: You need money to get a degree.
This includes preschool for children and nursery school education, private, primary and secondary schools, scholarships for athletes, business management, engineering, computer science, medical school, undergraduate, graduate, foreign studies and many more.
You will find hundreds of educational grants and scholarships for college tuition, books and living expenses. You can get as much as $50,000 in free College Grants from the federal government.
 
Personal Assistance
Example: You need job retraining or want money to study French.
This may include help to buy a new home for low income families, repair your home, real estate ventures, academic tutoring, school supplies, housing assistance, legal services, summer camp, music lessons, art lessons, extracurricular activities and tax assistance. If you suffered a fire and lost everything, there are programs available to help you in replacing necessities.
 
Research and Development
Example: You have an invention that will improve the health of the general population.
Many of the federal agencies set aside a portion of their budgets for small business research and development. If your idea contributes to your community or has positive implications for the entire country, you will definitely receive consideration.
While the basics of grant writing remain the same for each of these areas, there are small differences that we’ll explain to you as we go through the grant process. For now, it’s only important that you know what kind of grant you want, and where you intend to get it.
So, assuming that you’ve done your due diligence, let’s look at the basic sections of a Grant Proposal. (Please keep in mind that these are general overviews–it may be that the specific organization you’re contacting will require different information.)

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