Government Grant

What is a 'Government Grant'

A government grant is a financial award given by the federal, state or local government to an eligible grantee. Government grants are not expected to be repaid by the recipient. Grants do not include technical assistance or other forms of financial assistance such as a loan or loan guarantee, an interest rate subsidy, direct appropriation or revenue sharing. There is typically a lengthy application process to qualify and be approved for a government grant. Most recipients are required to provide periodic reports on their grant project's progress.

BREAKING DOWN 'Government Grant'

The federal government provides grants for a wide range of projects and businesses that serve public groups. Over 26 federal agencies administer more than 1,000 grant programs annually to provide funding for the arts, educational institutions, agricultural projects and much more.

RELATED TERMS
  1. Grant-In-Aid

    A transfer of money from the federal government to a state government, ...
  2. Options Backdating

    The process of granting an option that is dated prior to the ...
  3. Block Grant

    Money that is awarded, or granted, by a national government to ...
  4. Grant

    The issuance of an award, such as a stock option, to key employees ...
  5. Federal Supplemental Educational ...

    A program that provides funds for undergraduate students who ...
  6. Pell Grant

    A program that awards money to eligible undergraduate and, in ...
Related Articles
  1. Entrepreneurship

    Government Grants for Women-Owned Businesses

    Explore options for financial grants as a female business owner, and discover helpful resources for alternate ways of funding a business, including loans.
  2. Entrepreneurship

    Take Advantage of Small Business Grants for Women

    Discover five grant options that specifically target women-owned businesses, and learn how each of these grants can be of benefit to small business owners.
  3. Professionals

    Types of Financial Aid and College Loans

    Types of Financial Aid and College Loans
  4. Entrepreneurship

    4 Government Grants for Small Business Owners

    Discover common resources available to and used by small business owners and entrepreneurs in funding initiatives through government grants.
  5. Credit & Loans

    A Quick Guide to How FAFSA Loans Work

    If you’re headed to college and want to know how to apply for financial aid, this is where you need to start.
  6. Professionals

    Non-Qualified Stock Options

    CFP Online Study Guide - Employee Benefits Planning - non-qualified stock options
  7. Investing

    Ulysses S. Grant

    Here are the poorest U.S. presidents based on how little money they had to start off and how badly they squandered their personal fortunes afterwards.
  8. Credit & Loans

    Student Loans: Federal Loans

    Before you think about borrowing for college via a private loan, you always want to exhaust your federal loan availability first. This is because federal loans normally have lower, fixed interest ...
  9. Economics

    3 Ways To Cheat Government Assistance Programs

    Government assistance programs are designed to give struggling Americans access to basic needs like health care, food and even education.
  10. Credit & Loans

    College Loans: Private vs. Federal

    Not all student loans are the same. Know what you're getting into before signing on the dotted line.
RELATED FAQS
  1. Should I apply for student loans if I haven't finished applying for scholarships ...

    Apply to a variety of financial help sources by submitting a Free Application for Federal Student Aid form, which will be ... Read Answer >>
  2. What are the most common sources of funds given in a financial aid award letter?

    Read this article to learn about the four most common sources of funding given in a financial aid award letter sent to a ... Read Answer >>
  3. What is options backdating?

    Options backdating occurs when companies grant options to their executives that correspond to a day where there was a significantly ... Read Answer >>
  4. Who is eligible to take out federal student loans?

    Fill out the Free Application for Federal Student Aid every year to determine eligibility for federal aid, including student ... Read Answer >>
  5. How do government subsidies affect the profitability of the airline industry?

    Read about the history of government subsidies to American airline companies since 1918, and why it benefits large companies ... Read Answer >>
  6. Student loans, federal and private: what's the difference?

    Learn about the differences between federal and private student loans, and discover the types of federal funding available ... Read Answer >>
Hot Definitions
  1. Goodwill

    An account that can be found in the assets portion of a company's balance sheet. Goodwill can often arise when one company ...
  2. Return On Invested Capital - ROIC

    A calculation used to assess a company's efficiency at allocating the capital under its control to profitable investments. ...
  3. Law Of Demand

    A microeconomic law that states that, all other factors being equal, as the price of a good or service increases, consumer ...
  4. Cost Of Debt

    The effective rate that a company pays on its current debt. This can be measured in either before- or after-tax returns; ...
  5. Yield Curve

    A line that plots the interest rates, at a set point in time, of bonds having equal credit quality, but differing maturity ...
  6. Stop-Limit Order

    An order placed with a broker that combines the features of stop order with those of a limit order. A stop-limit order will ...
Trading Center