Government grants can often represent quite a boon to those in the business world. The government is simply unmatched in its ability to hand out money, and working under any form of grant is a good way to bolster a business’ resume. However, one should always be careful – grants often come with strings attached. Whether you have to submit to greater oversight or structure a project in a particular manner, working with government money can sometimes be more trouble than it is worth. Figuring out whether or not you should apply to take the money is often a difficult process, and the answer varies from business to business.
From a financial standpoint, government grants can be problematic. They do represent a wonderful source of money, of course, but they also represent a form of control. To qualify for a government grant, a business will generally both have to meet certain criteria and subject itself to closer government scrutiny. For some, this can mean having to invest more money into bringing their business up to new standards, making the entire process of applying for the grant one that might cost more money than is otherwise necessary.
This should not scare one away from using government grants as financing, of course. One should always operate a business as if someone was peering over one’s shoulder, just in case. It is wise, though, to consider whether or not your business can stand up to additional scrutiny without spending more money than necessary.
At the end of the day, it is wise to apply for government grants if you feel that your business can benefit from it. These grants are great sources of funding, and you can always use the prestige from finishing a major government project. Simply make sure that you are ready for the strings attached, and you should be able to complete the process without having to deal with too much pressure.