North Dakota currently has over 75,420 small businesses, which make up 99.8% of all companies. These are also the primary source of employment and engage more than 56% of the state’s labor force.
The state offers business grants, training resources, and guidance to help entrepreneurs launch successful start-ups and small businesses. This is why North Dakota attracts thousands of entrepreneurs and businesses to set shop in the state.
According to surveys, North Dakota puts more than $4,000 million in grants and local government funding for business development. In this article, we will look at the best sources to receive small business grants in North Dakota.
Top 5 Small Business Grants in North Dakota
Here is our selection of the best small business grants in North Dakota:
1 – North Dakota Technology Transfer Grant
The North Dakota Technology Transfer Grant is a funding program for small businesses in their early stages. The eligibility criteria for this grant require the company to have less than $5 million in annual revenue and employ less than 500 workers.
Besides this, the business should prove to have high potential for job creation and commercial development in the community. If your company fulfills these criteria, you can apply for the North Dakota Technology Transfer Grant by filling an online form.
At the time of application, you will need to submit a clear and detailed business development plan, financial statements, and other relevant financial documents to prove your business plan is practical. Besides this, you will also need to submit a resume with a personal statement.
2 – North Dakota Innovate ND Program
The North Dakota Innovate ND Program is offered jointly by the North Dakota Center for Technology and Business and the North Dakota Department of Commerce. It is aimed at boosting entrepreneurship and innovation for commercial growth.
Under this, eligible small businesses and start-ups can receive up to $32,500 to work on innovative research and development. The grant money can be used for research, market, and prototype development.
To learn more about eligibility criteria and the application process, visit https://www.commerce.nd.gov/economic-development-finance/finance-and-incentives/.
3 – North Dakota SBIR (Small Business Innovation Research) Program
The Small Business Innovation Research (SBIR) program in North Dakota is run by the federal Small Business Administration (SBA). It offers federal funding to encourage small businesses to work in research and development that can be commercialized.
The application process for small business SBIR grants in North Dakota requires submitting proposals according to agency-specified guidelines. Each proposal should clearly show its connection to the requirements of the 11 different federal agencies that are part of it. The proposals should demonstrate the potential for commercialization of the technology being researched.
You can learn more details about eligibility criteria and the application process for the North Dakota Small Business Innovation Research (SBIR) grant program at https://www.sbir.gov/node/736477.
4 – Small Business Technology Transfer (STTR) Program
The Small Business Technology Transfer (STTR) program in North Dakota is also run by the federal Small Business Administration (SBA). It aims to encourage partnerships between research institutes and small businesses in the country. Its goal is to boost research and development efforts in innovation research with commercial potential and, in turn, enhance economic growth through entrepreneurship.
The STTR grant program involves five federal agencies – the National Institutes of Health, the Department of Defense, the National Science Foundation, the National Aeronautics and Space Administration, and the Department of Energy.
The application process for STTR grants in North Dakota requires small businesses to submit proposals focusing on the priorities of the involved federal agencies. The application with the higher potential for commercialization is awarded STTR grants, so carefully read the agency-specific guidelines regarding research and application before applying for this grant.
To learn more about the North Dakota STTR program for small businesses, visit https://www.nsf.gov/pubs/2021/nsf21563/.
5 – North Dakota Development Fund
The North Dakota Development Fund is a gap financing grant offered to start-ups and small businesses in the state. Businesses in the Primary Sector class (business corporation, LLC, association, or partnership entity operating from North Dakota) can apply for this grant.
Specific eligibility criteria require applicants to be owners with at least a 15% stake in the business. The highest grant amount can reach up to $3 million under this grant program, with an average loan of $300,000. The recipient can use this grant amount for purchasing fixed assets or equipment, real estate for expansion, and as working capital.
You can find more details about the North Dakota Development Fund, including eligibility criteria and the application process, at https://www.commerce.nd.gov/economic-development-finance/development-fund/.
Here are the top 5 best small business grants in North Dakota. Each of these grants is aimed at boosting entrepreneurs in the state. These financial funds have helped several start-ups and small businesses in North Dakota to grow and develop into internationally renowned corporations.