Do You Need a Thriving Business to Get a Grant? (Or Can You Start from Scratch?)

So, you’ve got a killer business idea, a domain name, and maybe even a logo you made at 2 a.m.—but no income, no customers, and no idea if you qualify for a grant. The big question: Do you need an already-established, money-making business to get grant funding? Short answer? Not always. Long answer? Let’s break it down like a nonprofit accountant with color-coded spreadsheets. The Myth of the Million-Dollar Business There’s a common (and dangerous) myth floating around that you need to be a well-oiled revenue machine before any funder will look your way. That’s like saying you need to be famous before you can get discovered. In reality, many grants are designed for startups, pre-revenue ventures, or even just smart folks with a bold idea and a plan. Especially if you fall into certain categories—like being a woman, a minority founder, a veteran, or launching in a high-need community—you may be exactly who grantmakers are looking to support before you turn a profit. But You Do Need More Than Just a Dream Here’s the thing: funders want confidence. Not income necessarily—but evidence. They want to know: You’ve done your homework. You’ve got a viable plan (read: not just vibes). You’re solving a real problem. You have at least some structure—like a business registration, an EIN, or a solid business plan. You don’t need cash flow, but you do need credibility. Grants That Love a Good Startup Story Look for these types of grants: Startup or Seed Funding: Designed for early-stage ideas. Business Plan Competitions: Great for getting feedback and funding. Incubator/Accelerator Grants: Often come with mentorship and funding. Demographic-Specific Grants: For underrepresented founders at all stages. Pro tip: Government grants may require more formal documentation, while private foundations and corporate programs are often more flexible for startups. Final Verdict: Income ≠ Eligibility Your business doesn't need income to be grant-worthy. But it does need clarity, commitment, and a compelling case. Think of a grant application like a dating profile for your business: no one cares if you’re rich, but they do care if you’ve got your life together. Need help making your pre-revenue startup look irresistible to funders? Grab our free Grant Readiness Checklist for Startups—because no income doesn’t mean no impact. And remember: Even Jeff Bezos started in a garage. You just need WiFi and a wicked good grant strategy.