The Grant Process for Cleaning Companies
So you want to start a cleaning service or expand your current one. You have the knowledge, skills, and ambition to do so, but are missing one thing -- money. Personally financing your business is often not an option. How about a loan? While a common choice for many people starting out, sometimes loans are not possible due to your circumstances or credit rating or for whatever reason. Plus, they have this built-in disadvantage: they have to be paid back!
So you think to yourself, "What about these grants for small businesses I've heard about? Why can't I get one?" Unfortunately, there are not people lined up at your doorstep with bags of money with your name on it. Grant money does indeed exist, but it is not easy to get or even possible based on your individual circumstances. The Small Business Administration is an excellent source for help and information, but they do not have grant money for individuals wishing to start a small business. They do have a grant program, but it is intended to help non-profit organizations, state, and local governments. They are to aid business, which provide small business management or technical and financial assistance. They are usually project-specific intended to aid an already-operating organization, and are consistent with their own goals.
One place to begin your search for available grants is the Catalog of Federal Domestic Assistance (CFDA) at www.cfda.gov. This is a full listing of federal programs available to all institutions, including government, public and private corporations, and individuals. This is a huge list, most of which will not apply to you, but it is a source you can use. Be prepared, however, to spend a lot of time searching for these grants, and then if you do find one that you are eligible for, you have also be prepared to spend much time and effort in filling out applications, preparing an excellent business plan, and getting to know your grant officer. Also, can you wait up to a year to get a grant? Do you need capital sooner? These are important things to consider when deciding to apply. A good resource is www.grants.gov. Again, be prepared for a lot of work and a long wait, but the money is there!
Another source is your state government to obtain grant money. Here is a link to an article about state grants, in which you can find a link to your state's own programs and agencies: http://usgovinfo.about.com/od/smallbusiness/a/stategrants.htm.
Private institutions are also an option. One way to obtain partial grant financing is through a SBA program known as Small Business Investment Companies (SBIC's). A SBIC is a privately owned and managed investment fund, regulated by the SBA, which offers financing to small businesses. The SBA website www.sba.gov has information on this program. The National Association of Small Business Investment Companies (NASBIC) is a professional association for the SBIC. While neither of these entities offer true "grants," they can assist in getting matching funding for your project.
Warning! Be wary of websites or companies offering grant advice. Oftentimes they are scams intended at getting you to purchase their service. Look for the fine print, often hidden deep within their text or literature. You may be signing up for more than you bargained for. One such scam signs you up for their program, but also signs you up for other programs, each one charging you a separate fee! The SBA website and the grants.gov website can be trusted.
Again, getting grant money for your cleaning service is not easy. A more realistic approach may be getting small business loans through the above agencies. However, under the right circumstances, such grant money is available. Be thorough in your research, don't fall for scams, be prepared for a lot of hard work, and have realistic expectations. Good luck!!
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Jean Hanson helps owners of residential cleaning companies build a more profitable and successful cleaning business through her online community at MyHouseCleaningBiz.com. Read inspirational cleaning success stories at http://www.cleaning-success.com, and sign up for House Cleaning Profit Tips at //www.myhousecleaningbiz.com.
