Startup Grants: Where SaaS, AI and App Founders Find Funding
TL;DR: Startup grants are non-repayable funds for new companies, offered by governments, the EU, corporations, and foundations. They exist in every major market, but each one has strict rules on location, legal form, stage, and topic. Founders who filter by those rules first, and apply with one reusable master application, waste far less time than founders who browse.
✅ Verified: November 8, 2026 · Source: official program pages (sbir.gov, sba.gov, eic.ec.europa.eu, aws.amazon.com, cloud.google.com, learn.microsoft.com) · Next review: February 8, 2027Program details change often. Confirm eligibility, amounts, and deadlines on each official program page before applying.
Startup grants sound like the perfect deal: money for your company that you never repay and that costs no equity. Then you start searching. You find listicles that mix housing grants with student scholarships, government portals that read like legal contracts, and “free grant money” sites that want a fee first.
The good news is that real startup grants exist for software builders in the US, Europe, and beyond. The hard part is finding the ones you actually qualify for. That is the problem ShipGrants solves: a database of 1,500+ grants, prizes, fellowships, and cloud/AI credits, filterable by country, funding type, eligibility, and deadline.
This guide is the map. You will learn what startup grants are, where they come from, which ones fit SaaS, AI, and app founders, how much they pay, and how to apply without burning weeks on programs that were never a fit.
Table of contents
- What are startup grants?
- Where do startup grants come from?
- Which startup grants fit SaaS, AI and app founders?
- How much money do startup grants give?
- Who qualifies for startup grants?
- How do you find startup grants you can actually win?
- How to apply for startup grants: a 6-step system
- What do reviewers look for in startup grants applications?
- What mistakes make startup grants applications fail?
- Startup grants vs accelerators vs cloud credits
- Bottom line
⚡ Key takeaways
- Startup grants are non-repayable funds that cost no equity, but they come with rules, reporting, and competition.
- They come from five sources: federal or national governments, regional governments, the EU, corporations, and foundations or private funds.
- Location and legal form decide eligibility first; most government startup grants stay inside their own country.
- Cloud and AI credits are the easiest “grant-like” wins for software founders; R&D grants are the largest.
- Filter, score, and reuse one master application to turn scattered searching into a steady pipeline.
What are startup grants?
| Direct answer: Startup grants are funds given to early-stage companies or founders for a specific purpose, such as building a product, doing R&D, hiring, or entering a market. You do not repay them and you give up no ownership. In exchange, you follow the program’s rules, spend the money as approved, and report on results. |
A startup grant is one form of non-dilutive funding, the umbrella term for money that does not take shares. Other forms include prizes, fellowships, credits, and tax credits. People often use “startup grants” loosely to mean all of these, and we follow that habit in this guide where it helps, while being clear about which is which.
| Definition: Startup grant: a non-repayable award to a new business or founder, tied to a defined project and conditions. Unlike a loan, it is not repaid; unlike equity investment, it takes no ownership. |
What startup grants are not
They are not personal grants for rent, cars, or home repairs. They are not usually student scholarships. And they are almost never “free money” with no conditions. If a website promises guaranteed startup grants in exchange for an upfront fee, treat it as a red flag.
Who gives startup grants, and why
Every funder wants something. Governments want jobs, innovation, and competitive industries. The EU wants strategic technologies such as AI, climate tech, and deep tech. Corporations want developers building on their platforms. Foundations want impact on a cause they care about. When your project clearly delivers what a funder wants, your odds improve.
Where do startup grants come from?
| Direct answer: Startup grants come from five main sources: national governments (such as US federal agencies), regional and city governments, the European Union, technology corporations, and foundations or private funds. Each source has its own portal, calendar, and rules, which is why startup grants feel scattered. |
US federal programs
The best-known US federal source for startup grants is the SBIR/STTR program, which funds small businesses doing research and development across multiple federal agencies. It was reauthorized in 2026 through 2031. Award sizes vary by agency; for example, NSF’s current solicitation lists Phase I awards of up to $305,000.
One fact surprises many founders: the Small Business Administration says it does not provide grants for starting and expanding a business. Its grant money mainly funds nonprofits, advisory centers, and state programs. So when you search for US startup grants, think SBIR, states, cities, and private programs rather than “an SBA grant.”
State and city programs
US states and cities run their own small business and innovation programs, from export support to local innovation funds. Most require a business located in that state. These programs are less famous, which often means less competition.
The European Union
EU startup grants include the EIC Accelerator, which offers deep-tech SMEs a grant of up to €2.5 million, optionally combined with equity from the EIC Fund. Below that level, many startups apply through cascade grants, where EU-funded projects redistribute smaller amounts to startups via open calls. See EU startup grants for more.
National programs in Europe and beyond
Most European countries have an innovation agency that funds startups, and the UK, Canada, and many other countries do the same. These programs usually require a company registered locally. Our startup grants Europe guide compares the main routes.
Corporations and foundations
Corporate programs are the most accessible for software founders. They include cloud credits, AI credits, open-source funds, and challenge prizes. Foundations focus on impact areas such as education, health, inclusion, and climate.
Corporate programs also change faster than government ones. A credit package or challenge can appear, grow, or close within months, which is why dated verification matters. When you find a corporate program, note the date you checked it and what exactly it covers. For example, some cloud credit programs exclude third-party AI models or require a company website and domain email, small details that decide whether the credits are useful to you.
| Source | Typical form | Who can apply | Speed |
| US federal (SBIR/STTR) | R&D grants and contracts | US small businesses | Months |
| US states and cities | Small grants, innovation funds | Local businesses | Weeks–months |
| European Union | Grants, cascade grants, blended finance | EU and associated-country entities | Months |
| National agencies | Innovation and R&D grants | Locally registered companies | 1–6 months |
| Corporations | Credits, prizes, open-source funds | Often global | Days–weeks |
| Foundations | Impact grants, fellowships | Varies by mission | 1–4 months |
Which startup grants fit SaaS, AI and app founders?
| Direct answer: Software founders usually fit best with cloud and AI credits, R&D grants for products with real technical risk, digital innovation programs in Europe, open-source funds, and prizes for strong demos. Pure marketing or “copycat” products rarely win R&D money, so frame your work around the technical problem you are solving. |
SaaS and software startups
For SaaS teams, startup grants usually reward innovation rather than ordinary feature work. A new algorithm, a novel data approach, or software that solves a public problem has better odds than another CRM. Our software startup grants and SaaS grants guides go deeper.
AI startups
AI founders have more options than most, because governments and corporations treat AI as strategic. That includes AI tracks in public programs, AI-specific challenges, and large compute credits. For example, Google for Startups Cloud Program lists up to $350,000 in credits over two years for qualifying AI startups. See AI startup grants.
App developers and indie hackers
Mobile and web app developers often start with credits, hackathons, and individual-friendly programs. Indie hackers without a company can still find fellowships, micro-grants, and prizes that accept individuals.
Tech startups in general
Hardware, climate tech, health tech, and deep tech each have dedicated pools of startup grants. If your product touches one of these areas, search those categories as well. Our tech startup grants guide covers them.
| Founder type | Fastest win | Biggest opportunity | Watch out for |
| SaaS founder | Cloud credits | National innovation or R&D grants | “Not innovative enough” rejections |
| AI builder | AI and GPU credits | AI tracks in public programs | Credits that exclude third-party models |
| App developer | Hackathons, credits | Digital innovation programs | Company registration requirements |
| Indie hacker / solo | Micro-grants, prizes | Fellowships | Programs that need a team |
| Deep-tech team | Innovation vouchers | EIC Accelerator, SBIR | Long timelines and heavy proposals |
How much money do startup grants give?
| Direct answer: Startup grants range from micro-grants of a few hundred dollars to multi-million R&D awards. Credits typically run from about $1,000 to $350,000. The number on a program page is a maximum, not a promise, and most founders win smaller awards first before larger ones. |
Here are a few verified reference points. AWS Activate offers $1,000 in credits to self-funded startups and up to $100,000 through an Activate Provider. Microsoft for Startups lists up to $5,000 in Azure credits through self-service and up to $150,000 through its Investor Network offer. The EIC Accelerator grant goes up to €2.5 million for deep-tech SMEs.
Between those extremes sit thousands of local grants, prizes, and fellowships worth anywhere from a few thousand to a few hundred thousand. For a small software team, stacking several of these is often more realistic than betting everything on one large program.
Note: Amounts and rules change often. All figures above were checked on November 8, 2026. Confirm current amounts, eligibility, and deadlines on each official program page before applying.
Who qualifies for startup grants?
| Direct answer: Eligibility depends on four things: who can apply (an individual or a registered company), where you are based, what stage you are at, and what topic you work on. Most government startup grants require a company registered in their own country; many corporate programs and prizes are open worldwide. |
Use what we call the 3-Fit Rule before you read the rest of any program page.
| Rule: The 3-Fit Rule. Apply only when all three fit: (1) Entity fit: your legal form and country are accepted. (2) Stage fit: the program funds your current stage, from idea to revenue. (3) Mission fit: you can finish the sentence “This funder wants ___, and my project delivers ___ toward it” in the funder’s own words. |
Do you need a company?
For most government startup grants, yes. For fellowships, many prizes, open-source funds, and some credits, no. If you have not incorporated yet, start with individual-friendly programs and register a company when you target larger grants. Our guide to grants for individuals lists the options.
Does your location matter?
Very much. A US company usually cannot apply for a French national grant, and a Polish company cannot apply for a Texas state program. Founders who live in one country and run a company in another should check which entity a program wants.
Stage and topic
Some startup grants fund ideas and prototypes, others need an MVP, and some want revenue or a team of a certain size. Topic matters too: AI, climate, health, open source, and digital transformation often have dedicated calls. Some programs also target specific founder groups, such as women-led, veteran-owned, or young entrepreneurs, which can narrow the competition considerably.
How do you find startup grants you can actually win?
| Direct answer: Start with filters, not browsing. Narrow programs by country, applicant type, funding type, stage, and topic, then score the shortlist on fit, effort, and deadline. A curated database speeds this up because the filters and eligibility notes are already in one place. |
You can find startup grants manually: search government portals, read EU work programmes, check corporate startup pages, and follow founder communities. It works, but it takes many hours and you will still miss programs.
| Task | DIY search | ShipGrants database |
| Find programs | Dozens of portals and PDFs | 1,500+ programs in one spreadsheet |
| Filter by country and type | Manual reading | Built-in filters |
| Check eligibility | Every rule page | Eligibility notes per listing |
| Track deadlines | Your own tracker | Deadline column + Telegram alerts |
| Apply | Start from scratch | 21-page playbook + templates |
Whichever route you choose, keep one shortlist with the program, amount, deadline, and fit score. Review it weekly and only write for the top matches. If you prefer to start with a quick self-check, the 4-question “Find my funding” quiz on shipgrants.com points you to the right categories.
How to apply for startup grants: a 6-step system
| Direct answer: Write one master application, filter programs with the 3-Fit Rule, score the shortlist, tailor the master text to each funder’s criteria, prepare documents early, and submit on a schedule. This turns startup grants from a lottery into a repeatable process. |
- Build a master application. Problem, solution, innovation, traction, team, budget, milestones, impact. Write it once, then adapt.
- Filter with the 3-Fit Rule. Drop any program that fails entity, stage, or mission fit.
- Score the shortlist. Rate fit, effort, amount, and deadline on a simple scale.
- Tailor to the criteria. Mirror the funder’s language and answer their scoring criteria directly.
- Prepare documents early. Company registration, financial statements, and platform registrations (such as SAM.gov in the US or a PIC number in the EU) can take weeks.
- Submit on a calendar. Track every deadline and aim for a steady number of applications each month.
The ShipGrants playbook follows the same structure, with templates for a fit scorecard, master application, budget table, and 30-day plan. You can also start with our free funding kit, which covers the basics in 15 minutes.
What do reviewers look for in startup grants applications?
| Direct answer: Reviewers look for a clear problem, a credible and innovative solution, a team that can deliver, a realistic budget tied to milestones, and measurable impact that matches the funder’s goals. They score against published criteria, so the best applications answer those criteria directly and in the funder’s own language. |
Most programs publish their evaluation criteria. Government and EU startup grants usually score excellence or innovation, impact, and quality of implementation. Corporate programs care more about product potential and platform fit. Foundations focus on who benefits and how you will measure it.
A simple way to check your draft is to read it as a tired reviewer with twenty other applications on the desk. Can they find your problem statement in the first paragraph? Do they understand why your approach is new, not just better? Is every budget line linked to a milestone they can verify? Is there a number that shows progress, such as users, pilots, or a working prototype?
Specific beats impressive. “We cut rota planning for small clinics from six hours to twenty minutes a week in a pilot with three clinics” is stronger than “we revolutionize scheduling with AI.” Reviewers trust evidence they can check, and they quickly notice claims that are not backed up.
What mistakes make startup grants applications fail?
| Direct answer: Common reasons for rejection are applying to programs you are not eligible for, vague innovation claims, budgets that do not match the plan, no measurable milestones, and missed deadlines or documents. Most of these are avoidable with a short checklist. |
- Ignoring eligibility. Read “who can apply” before anything else.
- Describing features, not innovation. Reviewers fund the problem you solve and why it is hard.
- Generic text. Copy-paste without tailoring to the funder’s goals shows immediately.
- Unrealistic budgets. Every line should connect to a milestone.
- Late registrations. Some portals need accounts or IDs weeks before the deadline.
- Giving up after one rejection. Many programs let you reapply, often with reviewer feedback.
| Mistake: Paying for “guaranteed” grants. Legitimate startup grants do not guarantee approval and never require you to pay a fee to receive the money. Verify programs on official sites. |
Startup grants vs accelerators vs cloud credits
| Direct answer: Startup grants give non-repayable money for a defined project. Accelerators give mentoring, a network, and often money in exchange for equity, although some are equity-free. Cloud credits cover infrastructure costs without equity. Many founders use all three at different stages. |
| Option | Equity? | What you get | Best moment |
| Startup grant | No | Cash for a defined project | Product or R&D milestones |
| Accelerator | Often yes; some no | Mentoring, network, sometimes cash | Early traction, before a raise |
| Cloud / AI credits | No | Free infrastructure or model usage | From day one of building |
| Prize / competition | No | Cash, visibility | When you have a demo |
If you want to compare programs that take no stake at all, see our guide to equity-free funding.
Bottom line
Startup grants are real, and there are far more of them than most founders realize, but they reward preparation more than luck. Filter by entity, stage, and mission first. Claim the credits you qualify for today. Shortlist grants and prizes that match your country and topic, then apply with one reusable master application on a steady schedule.
If you would rather skip weeks of searching portals, ShipGrants puts 1,500+ grants, prizes, fellowships, and credits in one filterable spreadsheet, and the free funding kit helps you prepare your first application.
| 💡 Tip: Picking the right startup grants is one important piece of getting funded, but finding the right program is half the battle. ShipGrants puts 1,500+ grants, prizes, fellowships, and cloud/AI credits in one filterable place — with eligibility, funding type, and deadlines. Explore the database |
FAQ: startup grants
What are startup grants?
Startup grants are non-repayable funds given to new companies or founders for a specific purpose, such as product development, research, hiring, or market entry. You keep full ownership because no equity changes hands, and you do not repay the money if you follow the rules.
In return, you spend the funds as approved and report on progress and results. Payment can come upfront, in tranches tied to milestones, or as reimbursement after you spend. Startup grants come from governments, the EU, corporations, and foundations, and each has its own eligibility rules. They are one part of non-dilutive funding, alongside prizes, fellowships, credits, and tax credits. The key to winning them is fit: the clearer your project serves the funder’s goal, the better your odds, regardless of how polished your pitch deck looks.
Are startup grants real or a scam?
Startup grants are real, but scams exist around them. Legitimate programs are run by government agencies, the EU, established companies, and registered foundations, and they publish rules, deadlines, and evaluation criteria.
Warning signs of a scam include guaranteed approval, upfront “processing fees,” pressure to act immediately, and contact from unofficial email addresses. In the US, the SBA notes that it only communicates from addresses ending in sba.gov. When in doubt, go directly to the official program website rather than following a link from an unsolicited message. A real program never needs your bank login or a payment to release funds. Free government portals such as Grants.gov and SAM.gov do not charge for registration either.
How do I get a startup grant?
Start by filtering programs by country, applicant type, stage, and topic, then check each shortlisted program with the 3-Fit Rule: entity fit, stage fit, and mission fit.
Next, write one master application covering your problem, solution, innovation, team, budget, milestones, and impact. Tailor it to each funder’s criteria rather than rewriting from scratch. Register on the required portals early, because some registrations take weeks. Then submit on a calendar and track results. Most founders who win startup grants apply consistently over months, using each rejection and any reviewer feedback to improve the next application. A practical target for a small team is a few well-fitted applications per month, plus credits and prizes in between, rather than one large proposal every year. Keep a simple tracker with the program, deadline, status, and lessons learned.
Can I get a startup grant with no money or revenue?
Yes. Many startup grants are designed for pre-revenue companies, especially R&D programs, innovation grants, and fellowships. Some prizes and hackathons also welcome teams with only a prototype.
However, some programs require matching funds, which means you contribute part of the project cost yourself, or they reimburse expenses after you pay them. Read the financial rules carefully before applying, including what counts as an eligible cost. If cash is tight, start with credits, prizes, and grants that pay upfront or in advance tranches, so you are not stuck covering costs you cannot afford while you wait for reimbursement. A clear budget also helps reviewers trust you.
Do startup grants have to be paid back?
Grants do not have to be paid back as long as you follow the agreement. That is the main difference between a grant and a loan.
You may have to return funds if you break the rules, for example by spending money outside the approved budget, failing to report, or abandoning the project. A few programs are conditionally repayable, meaning repayment depends on commercial success, and soft loans are always repaid. Some grants also restrict selling the company or moving it abroad for a period. Always read the grant agreement before signing, and ask the program officer about anything unclear. This is general information, not legal advice.
Can a solo founder get startup grants?
Yes, although options differ from those for teams. Fellowships, micro-grants, many prizes, hackathons, and open-source funds often accept individuals, and some do not require a registered company at all.
Larger government startup grants usually need a registered business and sometimes a team or minimum capacity. A common path for solo founders is to begin with individual-friendly programs and credits, then incorporate and apply for bigger grants once the product has traction. Fellowships in particular fund the person, so a strong personal track record matters more than company size. Our solopreneur grants guide lists program types that suit one-person companies, and many listings in the ShipGrants database are marked as open to individuals.
Are there startup grants for software and SaaS companies?
Yes. Software and SaaS companies can win startup grants, especially when the product involves genuine innovation, such as new algorithms, novel data use, AI, security, or software that addresses a public need.
Programs that fund ordinary feature development or marketing are rare, so frame your application around the technical problem and its impact. Software founders should also claim cloud credits from AWS, Google Cloud, and Microsoft, which cover real infrastructure costs. In Europe, digital innovation programs and cascade grants are good starting points; in the US, SBIR topics sometimes fit software products. Many software teams also qualify for R&D tax credits, which reward the same development work from a different angle. Combine credits for infrastructure with one or two grant applications per quarter, and frame each application around the problem only your software solves.
Are there startup grants for AI startups?
Yes, and AI is one of the best-funded areas right now. Options include AI tracks in public R&D programs, AI-focused challenges and prizes, and large compute credits from cloud providers.
For example, Google for Startups Cloud Program lists up to $350,000 in credits over two years for qualifying AI startups, although credits for third-party models may be billed separately. In the EU, AI-related challenges appear in innovation programs. Check each program’s rules on what counts as an AI company, since many require AI to be central to the product rather than a feature added on top. Also check whether credits cover the models you use.
Can non-US founders get US startup grants?
Usually not for federal programs. SBIR and most US government startup grants require a US small business that meets ownership and location rules.
Non-US founders still have options. Many corporate programs, prizes, hackathons, and credits are open globally. Your own country or region likely has innovation grants you qualify for. Founders who run a US-registered company from abroad should read each program’s ownership and operations requirements carefully, because a US entity alone does not always qualify. The ShipGrants database marks region and eligibility for every listing, so you can filter to programs open worldwide. Check tax residency questions with an advisor too.
How long does it take to get a startup grant?
It varies by program. Credits can be approved within days or weeks. Prizes are decided at or soon after the event. Smaller grants often take one to three months.
Large government and EU programs commonly take several months from submission to funding, including evaluation, interviews, contracts, and the first payment. Some calls open only once or twice a year, so missing a deadline can add months. Build your runway plan around multiple applications rather than one expected payout, and keep shipping your product while you wait. Progress you make during evaluation can strengthen an interview or a resubmission. Also plan for reporting time after you win.
Are startup grants taxable?
In many countries, yes. Business grants are often treated as taxable income, although specific programs and credits can have different treatment depending on local law.
The timing of when you receive and spend the money can also affect your tax position. Talk to an accountant before you count the full award as spendable cash, and keep records showing how every part of the grant was used. This is general information, not tax advice, and rules differ between countries and programs. Some R&D programs also interact with tax credits, so mention any grants to your accountant when you claim. Set aside part of the award for taxes until you know your position.
Where can I find a list of startup grants?
You can build your own list from government portals such as Grants.gov and SBIR.gov in the US, the EU Funding and Tenders Portal, national innovation agencies, and corporate startup pages. Expect this to take many hours, and update it often, because programs open, close, and change.
Free lists online are often outdated or mix in personal, housing, or student grants. A curated database saves time. ShipGrants maintains a spreadsheet of 1,500+ grants, prizes, fellowships, and cloud/AI credits, each with funding type, eligibility, and deadline, plus Telegram deadline alerts for buyers. Whatever source you use, confirm details on the official program page before applying, and save the page link and date in your tracker so you can recheck it before submission. Programs change their rules more often than most founders expect.
Stop hunting for funding across Google, government portals, and half-dead databases.
ShipGrants gives you 1,500+ grants, prizes, fellowships, and free cloud/AI credits in one filterable spreadsheet — each with funding type, eligibility, and deadline — plus a 21-page application playbook, ready-to-use templates, and Telegram deadline alerts. Find the programs you actually qualify for and apply with a system, not guesswork.
About the author
Volodymyr Rudyi is the founder of ShipGrants and an online entrepreneur based in Europe who runs a US-registered company, so he works with both the US and European funding systems. He built ShipGrants because funding programs for builders are scattered across government portals, corporate pages, and outdated lists. Before ShipGrants, he created TrafficTikTok, an education platform about affiliate marketing and online business, and runs a YouTube channel about building income online. He writes builder-to-builder: what each program actually requires, how to check eligibility, and how to apply with a system instead of guesswork.
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Update log
Last updated: November 8, 2026 — first published; figures for SBIR, SBA grants policy, EIC Accelerator, AWS Activate, Google for Startups Cloud Program, and Microsoft for Startups verified on official pages.
Sources
Methodology: this guide combines official program pages with the ShipGrants research database of 1,500+ grants, prizes, fellowships, and credits. Figures were checked on November 8, 2026. Sources: SBIR.gov · SBA: small business grants · EIC Accelerator · AWS Activate credits · Google for Startups Cloud Program · Microsoft for Startups
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