10 Veteran Small Business Grants: A Guide for 2026

If you’re a US veteran interested in launching, scaling, or maintaining a small business, you have access to unique funding opportunities. 

Veteran-owned businesses make up about 14% of small employer businesses, according to Fed Small Business. But the same data also shows that despite having similar credit risk to their non-veteran counterparts, firms with majority veteran ownership are less likely to receive the full financing they apply for.

This guide covers the federal and nonprofit programs running today for veterans, including grants, federal contracts, and loan programs, with eligibility rules and application requirements.

What are veteran small business grants?

A veteran small business grant is non-repayable funding awarded to a business with majority veteran ownership. According to the US Small Business Administration (SBA), that means your company is at least 51% owned and controlled by one or more veterans, with the veteran owner running day-to-day operations.

Private funding options for veteran-owned businesses typically mirror that criteria, though some programs apply different cutoffs or extend eligibility to military spouses, partners, and surviving spouses.

Read more: Business Ideas for Veterans: Inspiration for Starting a Business

Who qualifies as a veteran for grant purposes?

The federal definition of “veteran,” set out in 38 US Code § 101, includes anyone who served in the active military, naval, air, or space service and was discharged or released under conditions other than dishonorable.

For grant programs specifically, eligibility is set by each funder. Most veteran-specific grants require:

• Proof of veteran status. Typically, a DD-214, the Certificate of Release or Discharge from Active Duty, issued by the Department of Defense, which documents character of service.
• Honorable or general discharge. Hiring Our Heroes’ Small Business Grant Program, for example, explicitly limits eligibility to applicants with an honorable discharge or current Guard/Reserve status. Other programs apply different standards, so check each funder’s eligibility language directly, particularly if your DD-214 reflects a general or other than honorable discharge.
• Majority ownership of the business. Some programs structure eligibility differently. Warrior Rising, for instance, grants access upon completion of its training programs rather than based on a stated ownership percentage.

What’s the difference between grants vs. loans vs. contracts for veteran-owned businesses?

Each funding type comes with its own requirements, benefits, and trade-offs:

• Grants. Non-repayable funding awarded by federal agencies, nonprofits, foundations, or corporations. They’re typically tied to specific use cases with restrictions on how funds can be spent.
• Loans. Borrowed capital repaid with interest on a fixed schedule.The SBA’s Military Reservist Economic Injury Disaster Loan (MREIDL), for example, provides up to $2 million at 4% interest over a 30-year term to small businesses where an essential employee is called to active duty.
• Angel investment. Funding that trades capital for equity, typically a percentage of company ownership in exchange for the check.Hivers & Strivers, a veteran-focused angel group, writes checks between $100,000 and $1 million for early-stage companies led by US military veterans.
• Contracts. Not technically funding, contracts are paid work awarded by federal agencies, which often set aside a portion specifically for veteran-owned businesses. Businesses that have the SBA’s VetCert certification, for example, can pursue federal contracts under the VA’s Vets First program. 

Federal grants and SBA programs for veteran-owned businesses

Federal grants and SBA programs are run by federal agencies operating under statutory authority. Eligibility for these programs is set by law, and award sizes are typically larger than those of nonprofit programs.

The timelines may run longer, and most require federal certifications (like VetCert) before applying.

Military Reservist Economic Injury Disaster Loan (MREIDL)

The MREIDL is the SBA’s loan program for veteran-owned businesses. MREIDL provides loans to small businesses when an essential employee, including a sole proprietor, is a military reservist called up to active duty.

Eligibility requirements: 

• The reservist must be ordered to active service for more than 30 consecutive days, per the October 2025 Federal Register notice.
• Your business must have suffered or be likely to suffer substantial economic injury as a result of the call-up.
• Businesses with the financial capacity to fund their own recovery are not eligible. 

Loan terms:

• Maximum loan amount. $2 million, with authority to waive the cap if the business is a major source of employment.
• Interest rate. 4%, with no interest accrual for the first 12 months and the first payment deferred for 12 months.
• Maturity. Up to 30 years, with no pre-payment penalty.
• Collateral. Required on loans over $50,000; the SBA accepts real estate when available and won’t decline a loan for lack of collateral.

Proceeds may not be used to cover lost income or profits, refinance long-term debt, or expand the business.

How to apply

You can apply through the SBA’s online disaster lending portal. The application window opens on the date the essential employee receives notice of expected call-up, and closes one year after they’ve been discharged or released from active duty. 

The MREIDL application uses two SBA forms: SBA Form 5 (Disaster Business Loan Application) and SBA Form 1368 (Additional Filing Requirements for EIDL and MREIDL, used to document monthly sales and projected economic loss).

The SBA evaluates the documented economic injury, available business interruption insurance, and whether the business and its owners have sufficient funds to operate.

SDVOSB and VOSB federal contracting set-asides

Set-aside contracts are paid federal work, not grants. But for veteran-owned businesses, the pool for contracting set-asides is much larger than that for grant opportunities. The federal government aims to award at least 5% of all federal contracting dollars to SDVOSBs each year, and in the 2025 fiscal year, agencies awarded approximately $28.6 billion to SDVOSB firms.

There are two certifications:

• VOSB (Veteran-Owned Small Business). Certified VOSBs can compete for sole-source and set-aside contracts at the VA under the VA’s Vets First program.
• SDVOSB (Service-Disabled Veteran-Owned Small Business). Certified SDVOSBs can compete for sole-source and set-aside contracts across the federal government.

Both certifications are handled through SBA’s VetCert program.

Eligibility requirements:

• Be considered a small business under SBA’s size standards.
• Registered as a small business with SAM.gov.
• At least 51% owned and controlled by one or more veterans; for SDVOSB, those veterans must be rated as service-disabled by the VA.
• For veterans who are permanently and totally disabled and unable to manage daily operations, the business may still qualify if a spouse or appointed permanent caregiver assists in management.

How to apply

You can apply through MySBA Certifications. For guidance on document preparation, check out the SBA’s Veteran Small Business Certification fact sheet. The SBA’s average processing time is 12 days, according to a November 2025 press release. 

Veteran Readiness and Employment (VR&E) Self-Employment track

VR&E, also called Chapter 31, is a VA program that provides employment support and services to veterans with service-connected disabilities.

The program has five service tracks; the Self-Employment track is the one designed for veterans starting their own business.

The Self-Employment track provides:

• Coordination services and help with developing a business plan
• Analysis of your business concept
• Training in small-business operations, marketing, and finances
• Guidance in getting the right resources to implement your business plan

Eligibility requirements:

If you’re a service member or veteran with a service-connected disability, you must:

• Have an employment barrier or handicap
• Be enrolled in VR&E
• Have a service-connected disability that makes it hard for you to prepare for, obtain, and maintain suitable employment

For veterans discharged before January 1, 2013, the basic period of eligibility is 12 years from either the date of separation notice or the first VA disability rating, whichever is later. The window may be extended if a Vocational Rehabilitation Counselor (VRC) finds a serious employment handicap. 

For veterans discharged on or after January 1, 2013, there’s no time limit on eligibility.

How to apply

There are four ways to apply:

• Online through VA Form 28-1900 for veterans with a disability rating
• By mail to the Department of Veterans Affairs, VR&E Intake Center, PO Box 5210, Janesville, WI 53547-5210
• In person at a VA regional office
• With help from an accredited attorney, claims agent, or Veterans Service Organization (VSO) representative

The VA schedules a meeting with a Vocational Rehabilitation Counselor (VRC) to determine whether you have an employment handicap and are eligible for VR&E benefits. 

After the entitlement decision, the veteran and counselor develop a rehabilitation plan that outlines the services VR&E will provide. For Self-Employment, the plan includes business plan development and the VA’s review of whether self-employment is a viable option.

Small Business Innovation Research (SBIR) and Small Business Technology Transfer (STTR) programs

SBIR and STTR are federal research and development (R&D) funding programs. They’re not veteran-specific, but veterans qualify, and the programs are suitable for veteran entrepreneurs building technology or research-driven businesses. Both programs are coordinated by the SBA and funded through 11 participating federal agencies. SBIR/STTR awards add 65,578 jobs to the US economy a year, with nearly 7,000 awards given to more than 4,000 recipients in 2021.

The awards are typically structured in three phases: Phase I funds feasibility research, Phase II funds prototype development and demonstration, and Phase III transitions the technology to commercial or government use.

As of October 2024, agencies may issue Phase I awards up to $323,090 and Phase II awards up to $2,153,927, including modifications without seeking SBA waivers.

Eligibility requirements:

• For-profit business based in the US
• 500 or fewer employees
• At least 51% owned and controlled by US citizens or permanent residents

How to apply

To get started, you’ll need to register in SAM.gov and obtain a Unique Entity ID (UEI). From there, you can submit proposals in response to solicitations through the agency’s SBIR or STTR program.

The SBIR.gov apply page links to current agency solicitations. The review process times vary; make sure to check directly with the specific agency. Award decisions follow each solicitation’s published schedule.

SBIR/STTR is competitive. Each agency uses its own evaluation criteria, generally weighting technical merit, qualifications of the principal investigator and team, and commercialization potential.

Nonprofit and private grants for veteran entrepreneurs

Nonprofit and private grants come from corporate foundations, university centers, and nonprofits. There are also regional pitch competitions for veteran founders. 

For example, the Veteran Shark Tank, hosted annually in Philadelphia by the Greater Philadelphia Veteran Network, awards $50,000 in prize money across five veteran entrepreneur finalists.

Warrior Rising Small Business Grants 

Warrior Rising is a nonprofit that supports veteran entrepreneurs through a multistage program pipeline. Participants start out with entrepreneur training basics like building a business plan, eventually graduating to pitch their idea at a Business Shower.

The top finalists receive non-dilutive grants ranging from $2,000 to $150,000. Funding isn’t guaranteed and is only awarded to select Business Shower participants.

Eligibility requirements:

• For Warrior Rising programs. Veterans, military spouses, and immediate family members.
• For Business Showers specifically. You must be a graduate of Warrior University; Business Showers are invitation-only.

How to apply

You can’t apply to attend Business Showers. First you’ll need to enroll in Warrior Academy, progress through Warrior University, and, if selected based on traction and growth potential, receive an invitation to a Business Shower.

Warrior Academy enrollment runs on a rolling basis, and Business Showers are scheduled throughout the year. Check the Events page for current schedules.

Hivers & Strivers (Angel investment for veteran-led startups)

Hivers & Strivers is an angel investment group founded in 2009 by Doug Doan, a 1979 graduate of West Point, and Randy Beardsworth, both US service academy graduates and military veterans. 

Hivers & Strivers offers capital in exchange for equity in the business, and applicants are selected through investor due diligence. It manages $80 million in assets, with check sizes ranging from $100,000 to $1 million. Every investment goes to a veteran-led company, and the firm reports eight portfolio exits and a 60% or higher internal rate of return (IRR) across all investments over 10 years and two funds.

The firm invests throughout the early stages of the business, “from seed stage through Series B.”

Eligibility requirements:

The firm invests in early-stage companies led by US military veterans. Beyond veteran founder status, criteria are evaluated through investor due diligence.

How to apply

Founders interested in pitching can contact the firm directly through its Contact page.

Pitch decks and business plans are evaluated by investors; there’s no public application portal, deadline structure, or selection criteria scoring rubric. 

Hiring Our Heroes Small Business Grant Program

The Hiring Our Heroes Small Business Grant Program is sponsored by the US Chamber of Commerce Foundation, with funding from the FedEx Founder’s Fund. The program awards five grants annually: four at $10,000 each and one at $25,000.

Hiring Our Heroes uses a two-round selection. In round one, applications are reviewed, and semi-finalists are identified. In round two, a panel of judges comprising Hiring Our Heroes employees and potentially business and industry experts, veteran and military small business owners, and nonprofit leaders reviews the semi-finalists and selects the five grant winners.

Eligibility requirements: 

• Be a 51% or more owner of a for-profit business owned by an honorably discharged veteran or military spouse.
• The business must have three to 20 employees, including the owner, all full or part-time employees, and independent (1099) contractors.
• The business must generate no more than $5 million in annual revenue.
• The business must be located in an economically vulnerable community or otherwise demonstrate financial need.
• Applicants must be a legal resident of and currently reside in the contiguous 48 states, Alaska, or Hawaii.

“Veteran or military spouse” means anyone who previously served in active duty, National Guard, or Reserve components of the Army, Navy, Marine Corps, Air Force, Space Force, or Coast Guard with an honorable discharge; anyone currently serving in National Guard or Reserve units of those branches; or a military spouse.

The 2026 cycle rules also list specific business categories that are ineligible, even if the owner meets the veteran or military spouse eligibility requirements. For example, any venture primarily in the business of manufacturing, promoting, or selling diet aids, cannabis, gambling, tobacco, or firearms is ineligible. 

How to apply

The application must be submitted online through the program website. 

The 2027 cycle hasn’t been published yet. Keep an eye on the program page for the next application window.

Other active 2026 veteran business grant programs

The programs below are smaller in scale than the ones above, but each runs an active cycle and fits a specific profile.

National Association for the Self-Employed (NASE) Growth Grants

NASE Growth Grants are awarded by the National Association for the Self-Employed, a nonprofit membership association for self-employed and micro-business owners. The grant provides up to $4,000 per recipient, and the program has awarded nearly $1 million to members since 2006.

Eligibility requirements:

Applicants must be NASE members in good standing at the time of application and through the date the award is conferred. 

How to apply 

NASE offers a dedicated Veteran Membership tier at $99 annually, discounted 15% from the regular annual membership rate. Veteran Members can apply for Growth Grants immediately upon joining, without the 90-day waiting period that applies to monthly members. Grants are funded within 30 days after all signed usage and required regulatory documents are received.

You can join NASE as a Veteran Member, then log in to the Growth Grants page to access the application portal.

Texas Woman’s University Veteran Entrepreneur Grant

The Veteran Entrepreneur Grant is administered by Texas Woman’s University’s Center for Women Entrepreneurs. Despite its administering center, the grant is open to all Texas veterans regardless of gender. And it awards five $5,000 grants annually to qualified veteran-owned businesses operating in Texas, for a total of $25,000 per cycle.

Eligibility requirements: 

• Existing veteran-owned businesses owned and controlled by one or more veterans who are US citizens or US permanent residents.
• The business must be a for-profit corporation, partnership, LLP/LLC, or sole proprietorship.
• The business must currently be set up as a legal entity.

Read the full list of eligibility criteria. It also has a downloadable veteran grant checklist to prepare for the application. 

How to apply

When the application window opens, you can submit yours through the TWU Submittable portal. Only electronic submissions are accepted, and only one submission per person.

Farmer Veteran Fellowship Fund

The Farmer Veteran Fellowship Fund is a small grant program administered by the Farmer Veteran Coalition, a nonprofit based in Waco, Texas. The Fellowship Fund provides direct assistance to veterans in their beginning years of farming or ranching, with awards ranging from $1,000 to $5,000. 

Nearly $4 million has been awarded to more than 930 veterans since 2011.

The Fellowship Fund does not give money directly to the veteran. Instead, after an awardee identifies what they want to purchase, the Fellowship Fund manager pays an approved third-party vendor on the awardee’s behalf.

Eligibility requirements: 

• Be a member of the Farmer Veteran Coalition, which is free to join.
• Have served or are currently serving in any branch of the US military.
• Have an agricultural business currently in operation and a business plan.

Read the full list of eligibility criteria. You need a business plan and proof of service to apply. 

How to apply

The Fellowship Fund opens once per year, and applicants are given a minimum of four weeks to submit an application. After the application closes, the advisory panel review process can take up to two months, with awardees notified in the spring. Awardees have six months from notification to use the award.

You can join the Farmer Veteran Coalition for free, then complete the Fellowship Fund application when the next cycle opens. 

5 tips for applying to veteran small business grants

Since grants don’t have to be repaid, they’re often highly competitive. While application requirements differ by program, these best practices can help you put your best foot forward.

1. Confirm eligibility. Every grant program has its own set of requirements, so ensure your business meets them before you invest time in the application. Understanding the institution offering the grant, their mission, and grant purpose are also helpful. 
2. Read instructions carefully. Beyond eligibility basics, each grant will have its own application requirements and documents you’ll need to include, such as a business plan, mission statement, financial projections, or a plan for how you’d spend the funds if awarded them. Ensure you submit all required material with your application.
3. Organize your application materials. While requirements vary among different grant programs, collecting materials ahead of time—especially if they’re coming from someone else—can help ease the application process. Documents to consider include testimonials, recommendations, data sets, and success stories.
4. Track your applications. Create a spreadsheet or other tracking method to log application deadlines, expected decision dates, any actions you still need to take to complete each application, and the date you submit. 
5. Learn from rejection. It’s very likely you won’t receive every grant you apply for. If you don’t receive an explanation, reach out to the grant provider to ask if they have any feedback you can learn from and apply to your next application. 

Pro tip: SBA’s business plan guide outlines the standard nine-section structure most funders will recognize when the grant application calls for a business plan. SCORE, the SBA’s nonprofit resource partner, also runs free live webinars year-round on grant-readiness, business plans, and funding strategies for veteran entrepreneurs.

After the grant: How veteran founders can fund working capital with Shopify

A grant can help launch a business. But what it doesn’t typically do is fund recurring working capital—the next round of inventory or the cash flow buffer that lets a business take on bigger orders.

A 2025 Government Accountability Office (GAO) report on financial literacy and small business lending for military-affiliated people found that veteran business owners reported challenges obtaining financing from large banks, including high interest rates and difficult application processes. 

The GAO also identified structural barriers. Veterans who relocate after service can have difficulty establishing credit and developing local business relationships, and may face limited access to mentors and professional networks.

When Navy veteran and retired firefighter Luke Schneider started Fire Department Coffee, for example, he said funding was his biggest challenge. He used Shopify Capital to buy more inventory and equipment as the brand scaled, and today the brand’s sold in 8,000 retailers.

*All loans through Shopify Capital Loans are issued by WebBank. Offers are subject to change based on several factors, including your store’s performance and the review of your financial information. Shopify Capital Loans must be paid in full within 18 months, and two minimum payments apply within the first two six-month periods. Offers to apply do not guarantee funding. Repayments are made based on a percentage of daily sales.