Startup Business Grants for Disabled Veterans

Business grants for veterans help military members, and often their spouses, access capital to launch or grow a business. Unlike traditional business loans, you typically don’t need to repay a small business grant.

Although applying for veteran grants can take significant time and resources, with stiff competition, receiving free money for your business can be worth the effort. Here are some popular grants specifically designed for veterans, plus general business grants worth considering.

Private grants

Here are seven popular grants offered by private organizations to help grow and expand your veteran-owned business.

1. Hiring Our Heroes’ Small Business Grant Program

• Grant amount: $10,000
• Eligibility requirements: Must be a U.S. resident with demonstrated financial need, a veteran or military spouse with at least 51% ownership in a for-profit business located in an economically vulnerable community, with three to 20 employees and $5 million or less in annual revenue.
• Application process: Online application (required documents not disclosed in advance)

Sponsored by the FedEx Founder’s Fund, the Community Foundation of Greater Memphis and USAA Small Business Insurance, the Hiring Our Heroes’ Small Business Grant Program awards five one-time grants each year to outstanding veterans and military spouses.

Funds can be used to help grow, strengthen and expand their businesses. Applications are generally open until the end of February, with winners announced at an in-person event held each spring.

2. Warrior Rising

• Grant amount: $20,000
• Eligibility requirements: Veterans and their immediate family members at any stage of the entrepreneurial process — must be able to provide proof of military service (DD214 or government ID)
• Application process: An online application that typically takes around 15 minutes to complete

With support from the U.S. Small Business Administration (SBA), the nonprofit organization Warrior Rising helps veterans achieve their dream of becoming a successful “vetrepreneur.”

It offers a free four-step business development program to eligible veterans, complete with training, mentorship, coaching and networking opportunities to help budding entrepreneurs brainstorm and fine-tune their business ideas. At the end of the program, participants can apply for a startup business grant to take their innovative ideas to the next level.

3. CO—100

• Grant amounts:
  • 100 semi-finalists: One-year paid U.S. Chamber of Commerce membership ($250 value)
  • 10 finalists: $2,000 cash prize
  • Grand winner: $25,000 cash prize
• Eligibility requirements: Must be a U.S. resident with a for-profit business that has been operational for at least one year with less than 250 employees or less than $20 million gross revenue. Note: There is no military affiliation required for this grant.
• Application process: Complete an online application, then print and mail the PDF to the U.S. Chamber of Commerce

Every year, the CO—100 (previously the U.S. Chamber of Commerce America’s Top Small Business Awards) honors 100 outstanding small businesses that are making a significant difference to the American economy.

There are 10 award categories, such as Growth Accelerators for the most creative and effective growth strategies, Culture Champions for companies with a rewarding work culture and Global Stars for businesses with an increased global footprint.

Applications are estimated to open around May each year.

4. Bizee Fresh Start Business Grant

• Grant amount: $2,500
• Eligibility requirements: Must be a U.S. resident, at least 21 years old and planning to start a new business or grow an existing one
• Application process: Submit an online application, create a two-minute video talking about your business idea and provide a business plan

If you need help starting a business from scratch, the Bizee Fresh Start Business Grant awards one outstanding adult entrepreneur a one-time cash award. The funds can help cover basic startup costs like marketing, supplies, hiring staff and more.

In addition, the winner will receive a free subscription to the Bizee’s Standard plan ($385 value), which includes incorporation services within your state, registered agent services and tax consultation.

5. Farmer Veteran Fellowship Fund

• Grant amount: $1,000 to $5,000
• Eligibility requirements: Must be a member of the Farmer Veteran Coalition, received an ‘Honorable’ characterization when discharged from the military and have an active agricultural business
• Application process: Submit an application with short answer and essay questions, a business plan and proof of service

The Farmer Veteran Fellowship Fund provides one-time grants to veterans who are in the early stages of building a farming or ranching business.

Fellowship recipients will have six months to use the funds, with money sent directly to third-party vendors to purchase the equipment or supplies directly. Previous awardees can reapply if their past grants were $1,000 or less.

Applications generally open in January of each year.

6. The Second Service Foundation

• Grant amount: Varies
• Eligibility requirements: Veterans or active military members, or their spouses or surviving children, who are at least 21 years old with demonstrated financial need and at least 51% in an early-stage startup or nonprofit.
• Application process: Register and attend the speed coaching program, create a one-page business plan, apply for pitch competition, prepare your pitch and enter the Military Entrepreneur Challenge.

Led by The Second Service Foundation, the Military Entrepreneur Challenge holds regional events throughout the year to provide education, networking and mentorship opportunities for entrepreneurial veterans and military member spouses. Upon completion of the three-part event, participants can compete for a one-time financial grant.

Since event locations change every year, it’s worth subscribing to their newsletter to stay in the loop.

7. Stephen L. Tadlock Veteran Grant

• Grant amount: $1,000
• Eligibility requirements: Veterans with a CEO, president or business owner title of an active U.S.-based business that has been operational for at least one year, with two to 100 employees and an annual revenue below $5 million.
• Application process: Submit application with information about your business and a short video pitching your idea

Every year, the Stephen L. Tadlock Veteran Grant program selects 25 exceptional veteran business-owners to receive $1,000 microgrants. Funds can be used for any business expense that helps your company succeed, such as new equipment, expansions or professional assistance to apply for more funding.

Participants can also join the Founders First Family to connect with other aspiring veteran entrepreneurs and access exclusive webinars and educational resources.

Federal grants

Federal grants are provided by government organizations to help small businesses access the resources and capital they need to succeed in entrepreneurship. Here are the three popular options to consider.

8. Grants.gov

Veteran-business owners can explore over 1,000 federal grant programs for small businesses at Grants.gov, including grants from the Department of Veteran Affairs and various other government agencies.

To get started, head to the Grants Learning Center for an overview of how everything works, make sure you’re eligible for federal funding and narrow your search for potential options — keeping in mind that many grants are open to any type of business owners, not just veterans.

After finding grants that fit your criteria, you can register for a free Grants.gov account, allowing you to apply and track your progress all within the site.

9. Small Business Innovation Research and Small Business Technology Transfer programs

Together, the Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs support U.S.-based small businesses with funding from federal agencies and sponsorship from the SBA. Called “America’s Seed Fund,” these awards help businesses develop and commercialize early-stage technology needed to grow and expand their companies.

Phase 1 awards (creating proof-of-concept to showcase their innovation) can provide between $50,000 to $275,000, while Phase 2 awards (continue research) can provide between $400,000 to $1.8 billion. No funding is provided for Phase 3, which involves pursuing commercialization for the product.

10. USDA Rural Business Development Grants

If your business serves a rural area, you may be eligible for a USDA Rural Business Development Grant. This program aims to promote economic development for rural-based businesses owned by a public body, government entity, Federally Recognized Indian Tribe or nonprofit organization. While there is no specified limit for grant amounts, priority is given to smaller grant requests. You can apply for one of two grants:

• Opportunity grant: Can be used for community economic development, rural business incubators, leadership training, technology-based economic development and business planning.
• Enterprise grant: Can be used for the above, plus training and technical assistance, pollution control and abatement, rural transportation improvement, acquisition or development of land, rural distance learning for job training and more.

Check the website for the next available application window.

Other resources for veteran-owned small businesses

In addition to applying for traditional grants, you can explore these other opportunities to receive support, resources and extra funds for your veteran business.

National Association for the Self-Employed (NASE)

With a paid NASE membership, entrepreneurs and small business owners can access a range of business services and resources to help run their companies more efficiently. In addition to receiving the NASE’s monthly e-newsletter, SelfInformed, members can browse the NASE Learning Center’s online library full of articles and resources.

Members also get unlimited access to NASE experts for guidance on business law, marketing, taxes, retirement and more. In addition, you can apply for the NASE Growth Grant, which awards up to $4,000 to cover business expenses like advertising, hiring staff, expansions and more.

Annual membership fees are $120, with veterans eligible for a 15% discount.

Veteran Shark Tank

Similar to the popular Shark Tank show, the Veteran Shark Tank program selects five finalists to pitch their business ideas to a panel of “sharks” and a live audience. The final winner will receive a $50,000 cash award to help launch their innovative business idea. This can be a great option for those looking for a disabled-veteran business startup grant.

Even if you don’t win, each finalist will walk away with potential investors, mentors, referral partners, customers and a wealth of knowledge to help get their business ideas up and running.

Service-disabled veteran-owned small business program

Overseen by the SBA, the service-disabled veteran-owned small business program helps eligible veteran entrepreneurs find and secure federal contract and subcontract opportunities.

The goal is to reserve at least 5% of federal contracting funds to small businesses with at least 51% ownership by a service-disabled veteran.

You can explore more SBA programs for veterans, such as additional resources, training opportunities and funding opportunities.

Small Business Development Centers

You can search for a Small Business Development Center (SBDC) in your area to access counseling, training and extra support for your small business or startup. Some of the services SBDCs provide include individualized business advising, financial management, marketing, increased productivity and more.

If you decide to apply for an SBA loan for your veteran-owned business, your local SBDC can help review your loan application, business plan and other supporting materials.

How to strengthen your grant application

As with most small business grants, free funding for veteran-owned businesses can be fiercely competitive. Here are a few tips to help your application stand out from the competition:

• Review the grant eligibility and requirements to ensure your business is a good fit.
• Create a detailed business plan on how you plan to use the grant funds — the more details, the better.
• Make general templates for your cover letter and supporting materials that you can tweak for each new grant opportunity.
• Invest in a grant writer to help your application shine.
• Include details on how your business’s long-term goals align with each organization’s mission.
• Take advantage of any free resources for veterans to help gain more insight, ideas and support for your business idea.

Alternatives to grants

While small business grants for veterans are an excellent way to start or grow your business, they’re not the only option. Veteran entrepreneurs can consider the following sources when looking for startup financing:

• Angel investors. Wealthy individuals may decide to invest in new and exciting business ideas, offering capital, guidance and support along the way. While you don’t have to repay an angel investor, you do give away a percentage of ownership in your company.
• Crowdfunding. Launching a crowdfunding campaign could help raise donations to fund your startup or grow your business. Ideally, you have a robust social media following or can offer a perk in return for donations, such as a free product or service.
• Bootstrapping and scaling up. Using your own money, you can try starting small and grow from there. For example, have a stall at the local farmer’s market, then a food truck, then open a restaurant. The main challenge with bootstrapping your business is getting enough capital to get started, but it means you retain 100% ownership in your company.
• Small business loans. Small business financing is available for all types and stages of businesses, such as startup financing, business lines of credit, franchise loans and more. There are even veteran small business loans specifically designed for military members.