What is the likelihood of getting a grant?

The likelihood of getting a grant is a very common question and with great reason. Research & development grants are a fantastic tool for companies to accelerate their innovation, however, they are highly competitive and demand time and effort to craft a successful application.

Tom Kennard, Granted Director, answers this and more frequently asked questions below. Let’s dive in!

1. What is the likelihood of getting a grant and what can a business do to improve their chances of being approved?
2. What are the biggest pros and cons of Grant Funding?
3. How can a bootstrapped start-up (no cash), for example, making a SMART grant application, navigate the contribution?
4. How can companies (esp SMEs) go through the process of finding and applying for grants without being taken away from their mission?
5. How do smaller companies take their first steps in the ‘grant funding’ arena in ways that don’t waste time chasing opportunities that they just wouldn’t qualify for?

What is the likelihood of getting a grant and what can a business do to improve their chances of being approved?

Tom answers:

“In terms of the likelihood of getting a grant, it can vary a lot. Innovate UK Smart grants have a “public” success rate of just 5%, so if you’re looking at these funds, ensure you get the proper support from an agency with evidence of success in the fund you are targetting.

• Make sure you match to the grant really well. Assessors are adept at identifying “shoe-horned” applications.
• Take the time to prepare the application; don’t leave it to the last minute (I’d typically recommend six weeks before a deadline, for example).
• Get feedback and advice on your application. This doesn’t have to cost money; use people you know already to critique your application, and if you do choose to pay for a grant writer, ensure they have a lot of experience!”
• Be careful with “AI” grant writing solutions, often it is a one-size-fits-all approach that depends on submitting a lot of applications to get a few to support case studies. A bespoke approach is often likely to result in a higher chance of success.”

What are the biggest pros and cons of grant funding?

Tom answers:

“Pros:

• No debt
• No equity
• Accelerate new product development
• Access to project partners and end-users
• Validation

Cons:

• Competitive
• Time-consuming
• Typically paid in arrears
• Bureaucratic
• Match funding is often required

The best approach to non-dilutive funding is a long-term strategic approach. We really recommend bringing an expert on board who really understands the funding landscape.”

How can a bootstrapped start-up (no cash), for example, making a SMART grant application, navigate the contribution?

Tom answers:

“Great question.

The contribution can come from several areas, such as equity investors, but several third-party providers will now lend you the money based on a successful grant offer letter

I would, however, ensure that Smart Grants is the right option for you. If you are very early stage, there may be other funds more suited to your immediate requirements.

Every funding competition will have important scope details that need to be met for your project to be classed as eligible.”

Many companies might not feel like they have the time to run a grant project, especially if the process seems too bureaucratic. How can companies (esp SMEs) go through the process of finding and applying for grants without being taken away from their mission?

Tom answers:

“Securing grant funding can be incredibly valuable for SMEs, but the time and effort involved can seem daunting. The key thing to remember is grant funding needs to be “additional”; funders won’t just fund iterative development or business as usual.

This has a benefit, however, as you can bring in additional roles as part of the project that are then used to deliver the project.

Remember, they want to fund a “project”, not just a company. Project thinking is a must!

This is also where an expert like Granted comes in. We can help find appropriate grant funds for you, write the grant application and support you with grant project management following a successful application, meaning you can focus your efforts on your business without sacrificing your core mission.”

How do smaller companies take their first steps in the ‘grant funding’ arena in ways that don’t waste time chasing opportunities that they just wouldn’t qualify for?

Tom answers:

“The best advice is to make sure you do your homework. And be sure to check the eligibility requirements of the fund to uncover any hurdles which could mean it’s not the right fit for you or your business.

Our blog post on the 10 elements of a successful innovation grant application outlines what you need to consider to present a well-rounded application so it’s well worth taking a look at to check each section off – this will also give you a good indication of how grant-ready you are.

Get advice and support from relevant networks, and always give yourself enough time to put in a great application.

It is competitive; think about who you might be going up against and ensure it’s the right fund for you.”

Research & Development grants substantively reduce the financial risk associated with transformative, boundary-pushing projects whilst driving return on investment and subsequent business growth, all without giving up any equity.

Our expert consultants can ensure you benefit from our industry-leading expertise, mature funder network, links to partners across academia and commercial spheres, and the wealth of compliance knowledge held within Granted.