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1. I have heard there is money available to start small businesses. Is this really true?
Yes, and No...
We encourage you to take a look at the Small Business Administration's website for the truth about federal grants to small businesses (www.sba.gov). Although there may be federal money available to businesses in areas affected by NAFTA, natural disasters, or military base closures, there is simply not oodles of federal money available for most small businesses. Check with your local Private Industry Council, Department of Agriculture Extension Service, State Department of Commerce, and local legislators to see if any of these funds are available to your community. Many federal programs require local matching funds from state legislatures - if your state doesn't participate in the matching programs, you can't qualify for funding.
For other good starting points for small businesses looking for funding, check out my Resources & Related Links page.
2. Can foundations really give their money to anyone they choose?
NO!...
Foundations must follow rules laid down by the IRS. They must not give money for private individual gain, or they lose their tax-exempt status. Please take a look at the Foundation Center website (www.foundationcenter.org) . The FAQ section gives a good overview of how the Foundation world functions, and what it takes to qualify for foundation grants. You might also checkout their online tutorial for writing proposals. (http://foundationcenter.org/getstarted/)
Other good resources for foundation proposal writing can be found on my Resources & Related Links page.
Although some foundations do provide for emergency shelter, medical care, housing, etc. for individuals, these are very small amounts ( the cost of a bus ticket out of town, for example) for very indigent individuals. Most grants to individuals are scholarships and awards given to students with their school acting as a fiscal agent.
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