A grant is non-repayable funding awarded by a government agency, foundation, or corporation in exchange for the recipient delivering on a specific scope of work. The recipient keeps 100% ownership and pays nothing back if they meet the milestones in the grant agreement. Grants are the canonical example of funding.
You identify a program whose scope matches what you'd build anyway, write a proposal that maps your work to the funder's stated outcomes, and submit it on the program's deadline. Reviewers (peer reviewers for federal science grants, foundation program officers, corporate selection committees) score the proposal. If you win, the funder issues a grant agreement that defines milestones, reporting cadence, allowable expenses, and the period of performance. Money disburses on a schedule, sometimes upfront, more often in tranches tied to milestone completion or quarterly invoicing.
Federal grants (NSF, NIH, DOE, USDA, NEA, HUD, HRSA) are the largest by dollar value. Awards range from $50K to many millions. Heavy compliance: financial audits, indirect-cost rate negotiations, OMB reporting standards. The programs are the main route for tech startups.
Foundation grants (Gates, Ford, MacArthur, your local community foundation) range from $5K to $10M+. Cycles are long; apply 6–12 months before you need the money. Most require 501(c)(3) status or a fiscal sponsor.
Corporate grants (Comcast RISE, Hello Alice/FedEx, Visa She's Next, Amber Grant) are usually $5K–$50K and built around demographic or industry criteria: women-owned, BIPOC-owned, military-connected, climate-focused.
No cash. Real time. Federal proposals routinely take 100+ hours to write with single-digit success rates. Foundation grants are slightly easier but still want a Letter of Intent, a full proposal, and ongoing stewardship. Once you win, expect to spend 5–15% of the grant value on reporting, audit prep, and renewal applications.
When your work is genuinely aligned with the funder's stated mission. Chasing grants that don't fit your roadmap is a common failure mode that warps what you build. When you need without giving up equity. When the prestige of a federal or top-foundation award unlocks downstream non-dilutive sources that compound.