How to get this grant money?

Question

okay im 16 and im going to start a bussiness, well i need a grant to start it of course, well i found the grant and talked to the people and everything it just that i need to pay a $90 processing fee for the 182 page booklet and once i return the booklet and all the paper work, in 4-12 weeks they will send me the grant money. well, heres the problem, my mom wont pay the money to get the booklet...but the company said its a full gurantee that i will get the grant when i send back the booklet especially since i have a really good bussiness plan. and even if i dont get the grant they will send me back the processing fee money....so im trying to see where i get this money....i live in a neighborhood where all there is, is old retired white people(no offence) so i know they have money, so i was thinking about going door to door asking them for donations but i dont know....do you guys think thats a good idea?

Answer 1

That's a SCAM.  You may also want to read the warnings FTC has issued against these "grant" companies:

http://www.ftc.gov/opa/2004/03/grantreso...

http://www.ftc.gov/bcp/edu/pubs/consumer...

Here is also one of the warnings issued by the Better Business Bureau http://www.concord.bbb.org/tips_timeshar...

It is hard to find grants to start a business. Unlike the myths that some perpetuate, federal government and even private foundations hardly give grant money for starting a for-profit business.

One possible exception is for companies developing or exporting agricultural goods, including food and forest product. Another exception could be the Small Business Innovation Research (SBIR) or Small Business Technology Transfer (STTR)  programs http://www.sba.gov/aboutsba/sbaprograms/... , which fund the research and development of technological innovation that meets specific government needs.

Even SBA does NOT give out grants. From the SBA website http://www.sba.gov/mostrequesteditems/CO...

"The U.S. Small Business Administration does not offer grants to start or expand small businesses, although it does offer a wide variety of loan programs. (See http://www.sba.gov/financing for more information) While SBA does offer some grant programs, these are generally designed to expand and enhance organizations that provide small business management, technical, or financial assistance. These grants generally support non-profit organizations, intermediary lending institutions, and state and local governments."

Nonetheless, you can go to the Catalog of Federal Domestic Assistance (CFDA) http://www.cfda.gov and Grants.gov http://www.grants.gov - these are two sites created by the federal government to provide transparency and information on grants. Browse through the listings and see if you can find any grant that would support a for-profit venture.

Answer 2

It sounds like the grant company you've been talking to is a scam organization -- anything requiring upfront payment, of any amount, is immediately suspect, and that's why your mom won't pay. The booklet in question is most likely a guide on how to get grants. (It's a common hustle.) A grant is a grant is a grant -- it isn't a grant minus some processing fee that you pay first.

Instead, find an organization that deals with young entrepreneurs. State, Federal, and Provincial governments usually offer small grants to qualified applicants, or check http://www.sba.gov or http://www.score.org/index.html for more guidance.

Good luck!