Do Grants for Individuals Really Exist?

Generally speaking, I would propose that the general public doesn't fully understand how grants work, and as a consequence, they fall prey to the attractive ads, paying hundreds and sometimes thousands of dollars for cds, books, and workshops that leave them just as empty handed and confused as ever before. For those of you who don't know the correct definition of a grant, a grant is free money, this is true. However, individuals who are looking for home improvement grants or a grant to finance the start up of a business are not the traditional recipients of grants.

There are two groups that qualify for grants. The first group falls under a category I like to call institutional. These are your 501c3 nonprofit businesses. Now, for those of you who don't know what a 501c3 is, it's a profit generating business that is organized for charitable purposes and can receive tax deductible gifts. In other words, it's a tax shelter for people who have money to give away in exchange for a tax write off. The second group is non-institutions. Individuals and non-501c3 civic groups fall under this category. Again, most grants are awarded to institutional groups that have Internal Revenue Service approved 501c3 tax exempt status. If you do not have a registered tax exempt business, then you would fall under the category of non-institutional.

Now, let’s discuss how individuals and civic groups can go about finding grant opportunities. Although there is ‘free money’ available, remember it is not money that can be used for anything of your choosing. As a grant applicant, you'll have to meet certain qualifications, and the qualifications are very specific and targeted to unique groups of individuals.