What types of small business grants are available in the UK?

Do you have big dreams but do not have the funding to match? Nothing to worry about! We have got you covered! Finding small business grants in the UK is now easier than ever. Here is everything you need to know about them.

DNS-Accountants

What are small business grants?

What are small business grants?

Start-up businesses get small business grants from various government and non-profitable agencies. These are different from any financial loans because there is no need to pay them back. Any small company requires small business grants as initial investments for business growth.

DNS-Accountants

The difference between small business grants and financial loans

Businesses taking finance loans need to pay back the money within an agreed timescale.
But, small business grants do not have any specific payback policy. So, how do small
business grants UK work? Let’s find out!

DNS-Accountants

Eligibility Criteria for Small Business
Grants in the UK 2025

Before applying for small business grants, ensure you meet the common eligibility criteria:

Business Type
Some grants are exclusive to sole traders, limited companies, or social enterprises.
Industry Focus
Certain grants are industry-specific, such as tech, retail, or green energy businesses.
Location-Based Criteria
Some grants are only for businesses operating in specific regions, such as small business grants Scotland or small business grants Wales.
Turnover Limits
Many grants have a revenue cap to ensure they support small businesses rather than larger corporations.
Job Creation Requirements
Some funding options require businesses to demonstrate how they will create jobs.

Checking these eligibility factors before applying will save time and increase your chances of success.

DNS-Accountants

Step-by-Step Application Guide for Small Business
Grants in the UK 2025

To maximise your chances of approval, follow these steps:

  1. Research Available Grants: Check government websites, business support organisations, and grant directories.

  2. Prepare Required Documents: Have a solid business plan, financial projections, and impact statements ready.

  3. Write a Strong Application: Highlight how the grant will help your business grow and create value.

  4. Apply Before Deadlines: Many grants have strict deadlines, so submitting early increases your chances.

  5. Follow Up: If you don’t receive a response, follow up to check on your application status.

Proper preparation increases your chances of securing small business grants in the UK 2025.

DNS-Accountants

How can you apply for small business grants?

Businesses taking finance loans need to pay back the money within an agreed timescale. But, small business grants do not have any specific payback policy. So, how do small business grants UK 2025 work? Let’s find out!

  • Consult with the person awarding you the grant: Understand what the person wants from you or your business.
  • Business plan: Create a thorough business plan to help you get grants from investors.
  • Explain your terms of usage: Be specific to explain how you will use the money you get.
  • Submit early application: Like you, other businesses and entrepreneurs are applying for small business grants. Thus, it’s better to apply in earnest.

Following these tips can easily help you get small business grants in the UK.

DNS-Accountants

More Grant Listings in the UK

While many small business grants UK 2025 are available, here are additional
grants that could benefit your business:

self-assessment-tax-accountants
Gigabit Broadband Voucher Scheme

Available for businesses in rural areas to improve their broadband connection. Grants up to £3,500.

self-assessment-tax-accountants
The Prince’s Trust Enterprise Programme

Designed for young entrepreneurs (18-30) looking to start their own business. Provides funding and mentorship.

self-assessment-tax-accountants
Smart Grants (Innovate UK)

Supports businesses working on disruptive innovations with grants up to £250,000.

self-assessment-tax-accountants
Local Authority Grants

Many local councils offer business grants for startups and expansions. Check your local authority website.

By exploring these grants, you increase your chances of securing the right funding for your business.

DNS-Accountants

The UK government grants for small business

If you plan to apply for the UK government grants, this guide gives a complete overview of a range of all available small business grants across the UK.

  • Innovate UK: This UK government grant is for businesses that aim to develop potentially strong business ideas into reality. Check out the details on the Innovate UK website.
  • R&D tax reliefs: Research and Development tax reliefs support small businesses that plan to develop research-based advancements in their fields. Find out more about R&D tax reliefs.

You can apply to any of these two main government-funded small business grants UK 2025.

CALL ME BACK
DNS-Accountants

Grants for young entrepreneurs with no source of income

Young entrepreneurs across the UK, dreaming of establishing a successful business, should look for
these types of grants. Here are the details-

  • New Enterprise Allowance: As the name suggests, the New Enterprise Allowance is for young entrepreneurs who plan to start their businesses. Get the funding through this scheme if you are older than 18 and have an amazing business idea.
  • Universal Credit: This is a great scheme for job seekers and entrepreneurs with no source of income. This support allowance covers living expenses. You can avail of the funding every month by applying at Universal Credit.

No matter what business idea you have, it’s time to make that happen. Avail small business grants
UK 2025
to start your own business.

DNS-Accountants

Grants for Specific Groups

Apart from general funding, several grants are designed for specific business owners:

  • Female Small Business Grants
    • Women in Innovation Awards Funding for female entrepreneurs launching innovative business ideas.

    • Female Founders Fund Provides capital to early-stage businesses run by women.

  • Small Business Grants Scotland
    • Scottish EDGE Funding for high-growth businesses in Scotland, with grants up to £100,000.

    • Highlands and Islands Enterprise Grants Support for businesses in rural Scotland.

  • Small Business Grants Wales
    • Welsh Government Start-Up Grants Support for new businesses in Wales.

    • Development Bank of Wales Funding Provides grants and loans for Welsh businesses.

  • Small Business Grants London
    • Greater London Investment Fund Loans and grants to help small businesses grow.

    • Newable Grants Offers support for London-based entrepreneurs.

By identifying the right funding based on your business type and location, you improve your
chances of securing financial assistance.

DNS-Accountants

Grants to support the growth of small businesses

Turing a start-up into a growing business isn’t easy. Small start-up owners often cannot expand their business due to the lack of funding. Here are the best small business grants UK 2025 for small business growth.

  • Grants for apprentices in small businesses: You can avail financial help from the UK government to train your apprentices. The scheme states that you don’t have to pay the apprenticeship levy with less than £3 million yearly income. The UK government pays 95% share directly as per the payment schedule of the employing an apprentice scheme.
  • Grants for installing business equipment: Businesses operating in rural areas can get vouchers for the cost of equipment installation. The vouchers are worth the value of £3,500 for small businesses. You can check your eligibility at Gigabit Voucher Scheme.
  • Grants for air quality improvement: The government of the UK gives this funding to the local authorities planning to create clean air zones in England. You can avail of the air quality grant scheme funding if your business is working on air quality improvement.
DNS-Accountants

Alternative Funding Options Beyond Grants

If your business doesn’t qualify for grants, consider these alternative funding sources:

  • Low-Interest Government Loans: The UK government offers funding schemes with lower interest rates than traditional banks.

  • Angel Investors & Venture Capital: Private investors can provide funding in exchange for equity.

  • Crowdfunding Platforms: Websites like Kickstarter and Crowdcube allow businesses to raise money from the public.

  • Start-Up Loans Scheme: Government-backed loans of up to £25,000 for new businesses.

By exploring multiple funding sources, you can secure the capital needed for business growth.

DNS-Accountants

Any restrictions for small business grants funding?

As mentioned above, different small business grants UK 2025 have different requirements. For example, some grants are for specific regions across the UK. Some are for small business owners to grow their business. So, you should apply for grant funding that suits your business requirements.

Conclusion

Many small business grants UK 2025 are open to apply, but only those that match your requirements. Ensure your business is edible for the scheme and follow The application process varies depending on what type of grant you’re applying for. However, here are the general tips for applying for small business grants in the UK:

  • Book a free consultation

    Share your details in the form below and one of our friendly experts will be in your touch to give you a free consultation

DNS-Accountants

Get in Touch

Get the best advice on tax savings, accounting services, payroll, self assessment, VAT and more, whether you want to call us directly, request a call back or chat online with our experts, rest assured that we will always give you the best advice.If you have any questions, or would like to speak to us in person, please do get in touch. We’re here to help.

Head Office:

dns accountants
DNS House, 382 Kenton Road,
Harrow, Middlesex, HA3 8DP

Contact Number:

03300 886 686

Award winning experts
trusted by many

We’re proud of our clients and their success. Find out more about them and
the help and support we provide.

Free Business Software!

Limited time only!

Free Business Software

Say Goodbye to Bookkeeping Hassles: Nomi offers Free Receipt Processing and big savings!

  • Built in payment solutions.
  • Track profitability, debtors and creditors
  • Snap pics of receipts with the mobile app
  • Free Receipt Processing
  • Hasslefree Bookkeeping
  • Cost Reduction
Get Started
Closenomi