Does the SBA Give Grants to Start a Business?

No. The Small Business Administration (SBA) says it does not provide grants for starting and expanding a business. SBA's grants go to nonprofits, SBA Resource Partners, and educational organizations that support entrepreneurship through counseling and training, and its direct funding help for businesses comes mainly through SBA-backed loans.

$5 millionWhat SBA does offer business owners is mostly loan help: 7(a) loans with a maximum loan amount of $5 million and microloans of up to $50,000, both of which must be repaid.
$50,000What SBA does offer business owners is mostly loan help: 7(a) loans with a maximum loan amount of $5 million and microloans of up to $50,000, both of which must be repaid.
$13,000Microloans go up to $50,000, and SBA says the average microloan is about $13,000.

The U.S. Small Business Administration (SBA) says plainly on its grants page that it does not provide grants for starting and expanding a business. Its grants go to nonprofits, Resource Partners, and educational organizations, which use the money for counseling and training programs that support entrepreneurs. What SBA does offer business owners is mostly loan help: 7(a) loans with a maximum loan amount of $5 million and microloans of up to $50,000, both of which must be repaid. SBA also lists a few specialized grant programs, such as SBIR and STTR for scientific research and development and STEP, which gives export awards to state governments. If someone contacts you offering an "SBA grant," be careful: SBA says it only communicates from email addresses ending in @sba.gov.

Last checked: November 6, 2026. This page explains the rules only. It is general information, not legal, tax, or financial advice.

The short version

SBA does not give grants to individuals to start or expand a general small business.
SBA grants go to organizations, such as nonprofits, Resource Partners, and educational organizations, that provide entrepreneurship counseling and training. You can use their services.
SBA lists SBIR and STTR as grant programs for small businesses doing scientific research and development. Those awards come through federal research agencies, one solicitation at a time.
STEP awards go to state and territory governments, which help established small businesses with export costs.
SBA's Empower To Grow manufacturing grant funds organizations that train small manufacturers. SBA's page said applications were closed when we checked.
SBA loans must be repaid. Microloans go up to $50,000, and SBA says the average microloan is about $13,000.

Who qualifies

Nonprofits, SBA Resource Partners, and educational organizations that support entrepreneurship through counseling and training can be eligible for SBA grants. These are organization grants, not startup grants for individuals.
Small businesses doing scientific research and development may qualify for federal grants through SBIR and STTR. Read the agency solicitation for the eligibility rules.
Established U.S. small businesses that want to export can contact their state or territory's STEP representative to ask about help with eligible export activities, such as trade missions, trade show exhibits, or export training.
Business owners who want free guidance do not need a grant. SBA Resource Partners, including SCORE mentors, Small Business Development Centers, Women's Business Centers, and Veterans Business Outreach Centers, offer counseling, training, and mentoring.

What SBA does fund

SBA's main support for business owners is guaranteed loans made through lenders. 7(a) loans are SBA's primary program, with a maximum loan amount of $5 million, and they can be used for things like working capital, equipment, real estate, and changes of ownership. Microloans are loans of up to $50,000 provided through intermediary lenders to help small businesses and certain not-for-profit childcare centers start up and expand. SBA's Lender Match tool can connect you with SBA-approved lenders. These are loans, so you repay them with interest, and lenders set their own approval standards within SBA's rules.

How to get it

How to get started

Decide what you need the money for: startup costs, equipment, working capital, research, or exporting. The right source depends on the answer.
Talk to a free counselor. Use SBA's local assistance tool to find an SBDC, SCORE mentor, Women's Business Center, or Veterans Business Outreach Center near you.
If your business does scientific research and development, search SBIR.gov for open topics and solicitations.
If you are an established small business that wants to export, contact your state or territory's STEP representative.
If you need financing, compare SBA loan programs and use SBA's Lender Match to reach SBA-approved lenders.
Verify who you are talking to. SBA only emails from addresses ending in @sba.gov. If you get an offer that looks like a scam, report it to SBA.