Delaware Division of Small Business Grants
A Delaware startup grant also known as a small business grant usually refers to a small amount of seed money that is provided to an individual or entrepreneur, or business entity by the federal, state, county or local governments, and even private companies. The grants are quite popular amongst new businesses as they present an attractive financial consideration, which can help promote growth or expansion. Unlike a loan, a grant is not required to be repaid. The Delaware small business relief grants can be obtained by different types of businesses including women owned businesses, online entities, veteran owned startups etc. The key lies in searching for, and identifying the grants that your business will qualify for and then applying for the same. Let us take a look at some of the top grant programs in the state.
As a business, you may qualify for a variety of small business grants and one of them is the EDGE grant in Delaware. The EDGE grants are awarded by the Division of Small Business using a competitive selection process. The eligibility for this grant depends on the following:
- The said business has been operational for less than 5 years
- The business has employed less than 10 people
- It is located in Delaware
- It has never received a Strat Fund grant
The EDGE Delaware startup grant application takes into consideration several criteria including location of the business (Opportunity Zones), MWVBE (Minority, Women, Veteran-Owned Business Enterprises) status, Business viability, Business need, and Competitive advantage among others. A STEM-based company can receive a maximum of $100,000 for eligible expenses through the EDGE grant in Delaware while an Entrepreneur Class (non-STEM) business can be awarded a maximum of $50,000.
It is important to note that a non-Delaware company may also be able to apply for the EDGE small business grants in Delaware if it relocates a minimum of 51 percent of its business. A sole proprietorship business can also apply for this grant.
DE Relief Grants
The Delaware small business relief grants (DE Relief Grants) is a joint effort between the State of Delaware and New Castle County to assist small businesses as well as nonprofits that have borne the impact of the COVID-19 pandemic. The funds of this small business grants in Delaware program are made available from the federal CARES Act. The eligibility rules imply that a business must meet the U.S. Small Business Administration’s definition while a nonprofit is eligible if it is a registered 501(c)(6) or 501(c)(3) organization.
It is important to note that you can apply for the small business grants in Delaware, if 51 percent of your business is based in Delaware. You can also apply even if you have received grants like EDGE grant in Delaware, HELP, or DTIP grants previously. You will be required to apply for this grant online when the funding period opens.
Incentive and Credits Programs
Although a Delaware startup grant is one of the top beneficial programs for any small business in the state, there are several other types of incentive and credits programs that businesses can benefit from. There is a long list of programs but the most popular and beneficial programs for new and existing small businesses are:
Tax Credit Programs
Depending on the type of business you form, the location, the product or service offered and the business requirement; there are several different tax credit programs, you may qualify for. The tax credits are primarily administered by the Delaware Division of Revenue against the personal or corporate income tax, public utility tax, and gross receipts tax, among others. Some of the top tax credit programs include:
- New Economy Jobs Tax Credit
- New Business Facility Tax Credits
- Public Utility Tax Credit
- Gross Receipts Tax Credit
- Brownfields Credit
- Clean Energy Technology Device Manufacturers’ Credit
- Angel Investor Job Creation and Innovation Tax Credit
- Business Finder’s Fee Tax Credit
- Research and Development Tax Credits
- Neighborhood Assistance Tax Credit
- Individuals with Disabilities Tax Credit
Funds and Grant Programs
The funds and grants programs are an essential component of the business incentive program in Delaware and the objective is to ensure the startups or small businesses costs of business formation and operation is minimized. There are several different types of Delaware startup grant and funding programs that you can choose from including the Delaware division of small business relief grants. The programs are:
Do you want to start your new company in Delaware?