Grants have been seen as a valuable tool for supporting the growth and development of businesses and organizations,but do they deliver on their promise of promoting change and driving growth?
According to a recent study by the Small Business Administration (SBA), the answer is a resounding yes. The study, which analyzed data from over 10,000 small businesses that received grants from the SBA, found that these businesses experienced significant growth in revenue and employment after receiving funding. The average increase in income among grant recipients was 23%, while the average increase in employment was 11%.
But it’s more than just small businesses that can benefit from grants. Nonprofit organizations benefit from this type of funding. A National Council of Nonprofits report found that organizations that received grants experienced increased capacity, improved program outcomes and increased sustainability.
Grants aren’t just beneficial for businesses. Governments also stand to gain from this type of funding. The city of Chicago, for example, received a grant from the Department of Transportation to develop a bike-sharing program.
The program has improved residents’ transportation options and positively impacted air quality and public health. “The bike-sharing program has been a great success for our city,” said Chicago Mayor Rahm Emanuel. “It has helped reduce traffic congestion and emissions and has made it easier for residents to get around.”
At Pleasant Valley High School, we have many students and organizations that rely on grants to support their endeavors. One such group is the PVHS First Robotics Competition (FRC) team, which competes in robotics competitions around the Midwest. These competitions can be very costly, and grants and fundraising are crucial for the team to be able to participate.
Senior Jacob Stevens is a member of the robotics team. “FRC is an extremely expensive competition. Without grants and fundraising, we wouldn’t be able to afford the registration fees or parts. I’m grateful to be part of a team that is able to secure grants that will help me have a great senior year,” he stated. The grants are one of the main reasons over 30 students are able to be a part of the robotics team each year and learn skills in the fields of STEM helping them grow into their professional lives.
Not all grants are created equal, And some are more effective at driving change and supporting growth than others. For example, research has shown that grants that provide ongoing support and resources, rather than one-time funding, tend to have a more significant impact. In addition, grants targeted toward specific goals or initiatives, such as research and development or workforce training, can be more effective at promoting change and driving growth.
Pleasant Valley High School’s engineering program received a transformative boost with a $100,000 grant. The funding enabled the school to acquire new tools and machines that have greatly enhanced students’ learning experience. The grant enabled the school to purchase a state-of-the-art Haas TL-1 CNC Lathe, a Haas TM-1P CNC Vertical Milling Machine, as well as two manual Bridgeport Vertical Milling machines equipped with power feeds and digital readout capabilities. “Together with a previously acquired numerically controlled Plasma Cutter, these new tools have enabled the school to take a significant leap forward in preparing students for registered apprenticeships and/or CNC Programming Certificates through Eastern Iowa Community Colleges” said Mr. Housman, an engineering teacher at the school.
It’s also worth noting that receiving a grant is just one piece of the puzzle. Businesses and organizations that are well-run and have a clear vision for the future are more likely to succeed, regardless of whether they receive funding from a grant. But overall, grants can be an effective tool for promoting change and supporting the growth of businesses and organizations, particularly when they are targeted toward specific goals and provide ongoing support.
