Grant (money) facts for kids

A grant is like a special gift of money or products that doesn't need to be paid back. It's given by one group or person (called a "grant maker") to another (called a "recipient"). Grants are often given to help nonprofit organizations, schools, businesses, or even individuals. They help these groups or people do important work or achieve specific goals.

To get a grant, you usually need to send in a proposal or an application. This explains what you want to do and how you plan to use the money. Once you receive a grant, you'll need to follow some rules and report back on how the money was used.

What Are Grants?

Grants are a type of financial support that doesn't have to be returned. Unlike a loan, you don't pay back a grant. Instead, it's given to help someone or an organization achieve a specific purpose. Think of it as an investment in a good idea or a helpful project.

Who Gives Grants?

Many different groups can be grant makers. These include:

• Governments: Local, state, or national governments often give grants to support public services, research, or community projects. For example, a government might give a grant to build a new park or fund a science program.
• Foundations: These are organizations set up to give money away for charitable purposes. They often focus on specific areas like education, health, or the environment.
• Charities and Nonprofits: Larger charities might give grants to smaller groups that share similar goals.
• Companies: Some businesses offer grants as part of their social responsibility efforts, supporting causes important to their community.

Why Are Grants Given?

Grants are given for many reasons, but they always aim to support something positive. Here are a few examples:

• To help communities: Grants can fund projects that improve neighborhoods, like building community centers or starting after-school programs.
• To advance knowledge: Scientists and researchers often get grants to study important topics, from finding cures for diseases to understanding space.
• To support education: Schools and universities use grants for new teaching methods, scholarships for students, or special equipment.
• To encourage innovation: Grants can help new businesses or inventors develop exciting new products or services.
• To protect the environment: Groups working to clean up pollution or save endangered animals might receive grants.

Who Receives Grants?

Many different types of people and organizations can receive grants. The kind of grant often depends on who is giving it and what their goals are.

Nonprofit Organizations

These are groups that work for a cause, not for profit. They might help people in need, protect animals, or work on environmental issues. Grants are a major way for nonprofits to fund their important work. For example, a grant could help a food bank provide meals or an animal shelter care for rescued pets.

Educational Programs

Schools, colleges, and universities often receive grants. These grants can pay for:

• New research projects by professors and students.
• Programs that help students learn new skills.
• Scholarships that help students pay for their education.
• New technology or facilities for classrooms.

Businesses

While many grants go to nonprofits, some are also given to businesses. This is especially true for:

• Small businesses: Grants can help them start up or grow, creating jobs and boosting the local economy.
• Businesses working on new ideas: Companies developing new technologies or solutions to big problems might get grants to support their research and development.

Individuals

Sometimes, grants are given directly to people. This might be for:

• Artists: To create new works of art, music, or theater.
• Researchers: To conduct personal studies or experiments.
• Students: As scholarships to help them afford college or special training.

How Do You Get a Grant?

Getting a grant isn't always easy, but it follows a clear process.

The Application Process

The first step is usually to find a grant that matches your project or needs. Then, you'll need to submit an application or a proposal. This document explains:

• Who you are or what your organization does.
• What project you want to do.
• Why the project is important and what impact it will have.
• How much money you need and exactly how you plan to spend it.
• Your plan for how the project will be managed.

Following Rules and Reporting

If your application is successful and you receive a grant, there are usually rules to follow. Grant makers want to make sure their money is used wisely and for the intended purpose. This often includes:

• Using the money only for the project described in your application.
• Keeping good records of all expenses.
• Sending regular reports to the grant maker, explaining your progress and how the money is being spent. This helps show that the grant was a good investment.

Images for kids

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  Latin grant dated 1329, written on fine parchment or vellum, with seal

See also

In Spanish: Subvención para niños