Are there government grants or grants-friendly programs for startups with no capital?

As an aspiring entrepreneur with a promising startup idea but no personal capital or assets to invest, I’m exploring non-dilutive funding options at the earliest possible stage—before generating revenue or seeking venture capital. Are there government grants or grants-friendly programs specifically tailored for startups in situations like mine, where there’s absolutely no seed money to cover initial costs, prototyping, or legal setup? I’m particularly interested in programs that target innovative, high-growth ideas but don’t require existing revenue or founder investments, and any initiatives that might prioritize underrepresented founders or emerging sectors like clean tech or biotech.

Government grants and grant-friendly programs for startups with no capital are available across various regions and agencies, focusing on innovation, research, and specific industries. Below is a comprehensive list:

United States

1. Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR)

   • Funder: Federal agencies (e.g., NSF, NIH, DOE).
   • Focus: Early-stage R&D grants for tech startups. Phase I provides up to $256,000 for feasibility studies; Phase II offers up to $1.5M for prototype development.
   • Eligibility: U.S.-based, for-profit small businesses (≤500 employees).
   • Capital Requirement: No initial capital needed; grants are non-dilutive.

2. National Science Foundation (NSF) Innovation Corps (I-Corps)

   • Grant: $50,000+ for market research and commercialization.
   • Focus: Translating academic research into startups.
   • Eligibility: Teams from universities or research institutions.

3. Small Business Administration (SBA) Programs

   • State Trade Expansion Program (STEP): Grants for startups entering international markets.
   • Veteran Small Business Certification: Grants for veteran-owned firms.
   • Note: SBA primarily offers loans, but state/local partners administer grants.

4. State-Level Grants

   • California Competes Tax Credit: Up to $100M/year for startups in industries like tech or clean energy.
   • New York State Energy Research and Development Authority (NYSERDA): Grants for clean tech startups.
   • Texas Emerging Technology Fund: Up to $30M/year for high-impact startups.

United Kingdom

1. Innovate UK

   • Program: Smart Grants (up to £2M) for R&D and innovation.
   • Focus: Projects with commercial potential; no capital required.
   • Eligibility: SMEs in tech, manufacturing, or digital sectors.

2. The Prince’s Trust

   • Grant: £0–5,000 + mentoring + low-interest loans for youth-led startups.

3. Regional Growth Funds

   • Example: London Co-Investment Fund (London-specific; co-investment up to £100K).

Canada

1. National Research Council (NRC) Industrial Research Assistance Program (IRAP)

   • Grant: Up to CA$150K for technical R&D; repayable if commercialized.
   • Focus: Early-stage innovation; no equity dilution.

2. Canada Small Business Financing Program (CSBFP)

   • Loan: Federal loan guarantees (up to CA$500K) for startups without collateral.

3. Ontario Centres of Excellence (OCE)

   • Grant: Co-funding for tech startups (e.g., V-CERT program).

Australia

1. R&D Tax Incentive

   • Benefit: 43.5% refundable tax offset for eligible R&D activities; no upfront capital needed.
   • Eligibility: Startups with revenue < AU$20M/year.

2. Commercialisation Australia

   • Grant: Up to AU$1M for product commercialization; no capital required.

3. State Grants:

   • Victoria: VCEI (Cleantech grants up to AU$250K).
   • Queensland: Advance Queensland (Grants for tech startups).

European Union

1. Horizon Europe

   • Program: Grants for innovative startups (€2M+ per project).
   • Focus: Climate, health, digital, and sustainability.
   • Eligibility: EU-based SMEs; no capital required.

2. European Innovation Council (EIC) Accelerator

   • Grant: €2.5M for proof-of-concept; combined with equity and debt.
   • Note: Highly competitive; supports pre-revenue startups.

3. Erasmus for Young Entrepreneurs

   • Benefit: Startup exchange program with subsidies; no capital needed.

Specialized Programs

• Military and Defense Grants:
  • U.S. Department of Defense: SBIR for defense tech startups.
  • Europe: European Defence Fund (EDF) for dual-use innovations.
• Climate Tech Grants:
  • Climate-KIC: €75M+ for climate startups (EU/UK).
  • Cleantech Open: Global accelerator with grants.
• University Partnerships:
  • Stanford StartX: Non-profit incubator with corporate/federal grants.
  • MIT Innovation Initiative: Grants for academic spinouts.

Global Platforms

• Y Combinator: Seed funding (up to $500K) for equity; no capital required for application.
• Techstars: Accelerator programs with grants (e.g., Techstars Sustainability Challenge).
• Founders Network: Grants and resources for underrepresented founders.

Eligibility Tips

• Grants Target Key Sectors: Tech, health, clean energy, and defense.
• Non-Dilutive Focus: Prioritize grants to avoid equity loss.
• Apply Early: Many grants have annual deadlines (e.g., Innovate UK cycles, NSF deadlines).
• Leverage Co-Funding: Some programs require matching funds; seek university/NGO partners.

Application Strategies

• Align with Government Priorities: Proposals must address national goals (e.g., decarbonization, AI).
• Mandatory Incubation: Some grants require incubation (e.g., NRC IRAP).
• Intellectual Property: Ensure project ownership is startup-controlled.

Note: Always verify specific eligibility criteria and deadlines via official sources (e.g., grants.gov, Innovate UK, EIC portal). Programs evolve; prioritize those targeting pre-revenue stages.