Grants for veterans starting a business in 2026: federal, state & private programs
Veterans own approximately 2.5 million businesses in the United States, generating over $1 trillion in annual revenue. Yet veterans launching new businesses face a paradox: the discipline, leadership, and operational skills developed during military service are ideal for entrepreneurship, but the financial support system designed to help them is fragmented across dozens of federal, state, and private programs that few veterans know how to navigate. This guide consolidates every major funding program available to veteran entrepreneurs in 2026, from SBA-backed loans with reduced fees to private grants awarding $15,000 or more, with the specific documentation you'll need (including how to use your DD-214), certification paths that unlock government contracts worth millions, and state-by-state programs for Ohio, Texas, California, Florida, and beyond. For the broader federal grant landscape, see our federal grants for startups guide.
💰 Best training program: Boots to Business (free, available during TAP)
⚡ Best private grant: StreetShares Foundation ($15,000 quarterly)
🎯 Best for angel investment: Hivers and Strivers ($250K-$1M for veteran founders)
Federal programs for veteran entrepreneurs
1. SBA Veterans Advantage
The SBA Veterans Advantage program provides reduced fees and preferential terms on SBA-guaranteed loans for veteran-owned businesses. Specifically, the SBA waives or reduces the upfront guarantee fee, which normally costs 2-3.75% of the loan amount, on SBA Express loans up to $500,000 and offers fee reductions on standard SBA 7(a) loans up to $5 million.
On a $350,000 SBA Express loan, the guarantee fee waiver saves you approximately $7,000-$13,000 upfront. That's money that goes directly to your business instead of to fees. Veterans Advantage also provides dedicated veteran loan officers at participating lenders who understand military experience and can translate your service record into business qualifications that civilian lenders might miss.
Loan amount: Up to $5 million (SBA 7(a)) or $500,000 (SBA Express)
Fee reduction: Up to 100% fee waiver on Express loans; reduced fees on 7(a)
Interest rate: Prime + 2.25%-4.75% (varies by loan amount and term)
Eligibility: Businesses 51%+ owned by veterans (including service-disabled veterans, active-duty military in TAP, National Guard/Reserve members, and current spouses of any of the above, or widowed spouses of service members who died during service)
Where to apply: Through any SBA-approved lender. Use SBA Lender Match to find veteran-friendly lenders.
2. Boots to Business program
Boots to Business is a free entrepreneurship training program offered by the SBA through the Department of Defense's Transition Assistance Program (TAP). The program includes a two-day introductory course on business ownership, followed by an eight-week online course covering business plan development, market research, financial management, and funding strategies.
Boots to Business is available to transitioning service members and their spouses during TAP, as well as veterans of any era, National Guard and Reserve members, and military spouses. The program has trained over 200,000 participants since its launch, and graduates report significantly higher rates of business formation compared to veterans who don't participate.
What you get: Two-day in-person course + eight-week online course on business ownership
Cost: Free
Eligibility: Active-duty service members (during TAP), veterans, National Guard/Reserve, military spouses
Where to enroll: Boots to Business enrollment page
Why it matters for funding: Beyond the training itself, Boots to Business connects you to the VBOC (Veterans Business Outreach Center) network, 22 centers nationwide that provide ongoing mentoring, business plan review, and connections to funding sources. VBOC advisors are veterans themselves and have deep knowledge of every grant, loan, and investment program available to veteran entrepreneurs. A single meeting with a VBOC advisor is worth more than weeks of independent research.
3. VA Small Business Liaison
The VA's Office of Small and Disadvantaged Business Utilization (OSDBU) connects veteran-owned businesses with government contract opportunities worth billions annually. The federal government has a statutory goal of awarding at least 3% of all federal contracting dollars to service-disabled veteran-owned small businesses (SDVOBs).
OSDBU provides: matchmaking events that connect veteran businesses directly with federal procurement officers, training on how to bid on government contracts, and assistance with GSA Schedule registration. For many veteran-owned businesses, a single government contract can provide more revenue than any grant, and OSDBU's role is to help you win those contracts.
What you get: Government contract matchmaking, bidding assistance, GSA Schedule help
Cost: Free
Where to access: VA OSDBU
4. National Veteran Small Business Coalition (NVSBC)
NVSBC is a nonprofit that advocates for veteran-owned businesses and provides networking, training, and access to government and private-sector contract opportunities. Membership ($450-$2,000/year depending on business size) includes access to matchmaking events, proposal writing workshops, and a directory that federal procurement officers use to find veteran-owned vendors.
NVSBC also offers an annual conference that is one of the largest veteran business networking events in the country, attended by procurement officers from every major federal agency. For veteran businesses pursuing government contracts, NVSBC membership pays for itself with a single connection.
Membership cost: $450-$2,000/year
What you get: Contract matchmaking, training, directory listing, annual conference access
Where to join: NVSBC.org
Private grants and investment for veteran entrepreneurs
5. StreetShares Foundation
The StreetShares Foundation awards $15,000 quarterly through the Veteran Small Business Award. The application involves a short business pitch (500 words or less), a public voting phase, and judge evaluation. The competition is open to veteran-owned businesses of any size and industry.
StreetShares also provides separate lending products, lines of credit ($2,000-$250,000) and term loans ($2,000-$250,000), specifically for veteran-owned businesses. The combination of grant competition and lending products makes StreetShares a one-stop funding source for veteran entrepreneurs.
Grant amount: $15,000 (quarterly)
Loan products: $2,000-$250,000 (lines of credit and term loans)
Eligibility: U.S. veteran-owned businesses
Application window: Quarterly (check StreetShares website for current cycle)
Where to apply: StreetShares.com/foundation
6. Hivers and Strivers
Hivers and Strivers is an angel investment firm that exclusively funds veteran-led startups, providing seed-stage investments of $250,000 to $1 million. Founded by veterans, the firm invests in early-stage companies led by graduates of U.S. military academies and other veteran entrepreneurs.
Unlike grants, Hivers and Strivers investments are equity investments, they take ownership in your company in exchange for capital. But for veteran founders who need substantial seed funding and can't access traditional venture capital, Hivers and Strivers fills a critical gap. They understand the value of military leadership, discipline, and mission-oriented execution, qualities that civilian VCs often undervalue.
Investment range: $250,000-$1,000,000
Type: Angel equity investment
Eligibility: Early-stage companies led by military academy graduates and veteran entrepreneurs
Where to apply: HiversAndStrivers.com
7. VetFran franchise discounts
VetFran is a program of the International Franchise Association that provides franchise fee discounts of 10-50% for veteran entrepreneurs. Over 650 franchise brands participate, including household names like McDonald's, UPS Store, 7-Eleven, Sport Clips, and Dunkin'. For veterans interested in franchise ownership, VetFran can save $10,000-$50,000 or more on initial franchise fees.
Franchise ownership is one of the most successful paths for veteran entrepreneurs, the franchise model's structure, systems, and operational playbooks align naturally with military training. Veterans currently own approximately 14% of all franchise businesses in the United States.
Discount range: 10-50% off franchise fees (varies by brand)
Participating brands: 650+
Eligibility: Veterans and military spouses
Where to browse: VetFran.org
8. Hello Alice veteran grants
Hello Alice runs dedicated grant programs for veteran-owned businesses, typically awarding $5,000-$50,000. Their platform also aggregates third-party grants and automatically matches veteran business owners with programs they qualify for. Creating a free account takes minutes and immediately provides access to veteran-specific funding opportunities.
Award amount: $5,000-$50,000 (varies by program)
Where to apply: HelloAlice.com/grants
State-specific veteran business programs
Ohio
Ohio's VetBiz program provides grants up to $25,000 and below-market loans for veteran-owned businesses. The Ohio Development Services Agency also offers the Veterans Initiative, which provides fee waivers on state business registrations and certifications. Ohio veterans can also access the Ohio Mini-Loan Program ($1,000-$45,000) through CDFIs with veteran-preference scoring.
The Ohio Department of Veterans Services additionally connects veteran entrepreneurs to state procurement opportunities, Ohio state government has a 5% set-aside goal for veteran-owned businesses.
Texas
Texas offers some of the strongest veteran business support in the country. The Texas Veterans Commission's Entrepreneurship Program provides free business counseling and connects veterans to funding sources. The Texas Product Development and Small Business Incubator Fund provides grants and loans for veteran-owned businesses. Texas also has a Historically Underutilized Business (HUB) certification that includes service-disabled veterans, providing access to state contract set-asides.
The Texas Workforce Commission's Skills Development Fund also provides grants to train employees of veteran-owned businesses, effectively subsidizing your labor costs as you scale.
California
California's CalVet agency partners with the California Office of the Small Business Advocate (CalOSBA) to provide grants and technical assistance to veteran entrepreneurs. The California Small Business Grant program has awarded grants up to $25,000 to veteran-owned businesses. California also offers the Disabled Veteran Business Enterprise (DVBE) certification, which provides access to state contracts, California has a 3% DVBE contract goal across all state agencies.
CalVet's Entrepreneurship and Self-Employment Program provides free business planning, mentoring, and connections to veteran-specific funding sources throughout California.
Florida
Florida's Division of Emergency Management and Department of Economic Opportunity provide veteran small business recovery and development grants. The Florida SBDC (Small Business Development Center) network has dedicated veteran business advisors at centers statewide. Florida Veterans Foundation provides emergency financial assistance and connects veteran entrepreneurs to state-level funding programs.
Florida also exempts service-disabled veteran businesses from many state licensing fees and provides preferential scoring on state procurement contracts. The Florida Department of Management Services maintains a veteran-owned business directory used by state agencies for purchasing decisions.
Additional state programs
New York: NY Veterans Business Development Program provides grants up to $15,000 and free business counseling. The NY SDVOB certification provides access to state contract set-asides (6% goal).
Virginia: Virginia Department of Veterans Services operates the V3 (Virginia Values Veterans) program, which connects veteran-owned businesses to state resources and procurement opportunities.
Illinois: Illinois Veteran's Business Program provides free SBDC advising plus connections to the state's Advantage Illinois loan program with veteran-preference scoring.
Veteran-specific qualification tips
Your DD-214 is your golden ticket
The DD-214 (Certificate of Release or Discharge from Active Duty) is the single most important document for veteran business funding. Every veteran-specific program requires it. Keep multiple certified copies accessible, digital and physical. If you've lost your DD-214, request a replacement through the National Archives (allow 2-4 weeks for processing).
What your DD-214 proves: Veteran status, dates of service, character of discharge (honorable discharge is required for most programs), branch of service, and military specialties. Some programs accept other discharge types (general under honorable conditions), but honorable discharge qualifies you for the widest range of programs.
SDVOB certification: unlock the highest-value opportunities
Service-Disabled Veteran-Owned Small Business (SDVOB) certification through the SBA's VetCert portal is the single highest-value certification available to disabled veteran entrepreneurs. SDVOB status provides access to:
Sole-source contracts: Federal agencies can award contracts up to $4 million ($7 million for manufacturing) directly to SDVOBs without competitive bidding. This is a massive advantage, other small businesses must compete for every contract.
Set-aside contracts: Federal agencies set aside specific contracts exclusively for SDVOBs. The government's statutory goal is 3% of all federal contracting dollars to SDVOBs.
Grant priority: Many state and private grant programs give preference or additional points to SDVOB-certified businesses.
Certification requirements: Business must be 51%+ owned by one or more service-disabled veterans. The veteran must have a service-connected disability rating from the VA (any percentage qualifies). The veteran must control the management and daily business operations. Apply through the SBA VetCert portal. Processing takes 60-90 days.
VA procurement preferences
The VA has a unique procurement preference called the "Rule of Two", if two or more SDVOB-certified businesses can provide a product or service at a fair market price, the VA must restrict the contract competition to SDVOBs only. This gives veteran businesses serving the healthcare, technology, facilities, and administrative sectors a significant advantage when competing for VA contracts. The VA awards over $5 billion annually to veteran-owned businesses.
Understanding how grant income and government contract payments affect your taxes is critical. CeoCult's self-employment tax deduction guide covers what veteran business owners need to know about deducting business expenses and managing quarterly tax obligations.
Veteran business grant comparison table
| Program | Amount | Type | Best For | Timeline |
|---|---|---|---|---|
| SBA Veterans Advantage | Up to $5M | Fee-reduced loan | Any veteran business needing capital | 30-60 days |
| Boots to Business | Free training | Training + mentorship | Transitioning service members | 10 weeks |
| StreetShares Foundation | $15,000 | Grant (quarterly) | Any veteran-owned business | Quarterly |
| Hivers and Strivers | $250K-$1M | Angel investment | Veteran-led tech/growth startups | 2-4 months |
| VetFran | 10-50% off franchise fees | Franchise discount | Veterans interested in franchise ownership | Immediate |
| Hello Alice | $5K-$50K | Grant | Veteran-owned businesses | 2-4 months |
| NVSBC | Contract access | Networking/advocacy | Businesses pursuing gov't contracts | Ongoing |
| State Programs (OH, TX, CA, FL) | $5K-$25K | Grant + services | State-specific veteran businesses | 1-3 months |
Step-by-step action plan for veteran entrepreneurs
Week 1: Locate your DD-214 (or request a replacement from the National Archives). Register for Boots to Business if you haven't completed it. Create a free Hello Alice account and complete the veteran business profile.
Week 2-3: Contact your nearest Veterans Business Outreach Center (VBOC) and schedule a free meeting. Begin your business plan. If you have a VA disability rating, start the SDVOB certification process through VetCert.
Week 4-6: Apply to the current StreetShares Foundation quarterly award. Research VetFran discounts if franchise ownership interests you. With your VBOC advisor's help, identify the 3-5 programs on this list that best match your business and timeline.
Month 2-3: Submit your SBA loan application through a veteran-approved lender (use SBA Lender Match). Apply to any open Hello Alice veteran grants. Begin your state-specific program applications.
Month 3-6: If pursuing SDVOB certification, your VetCert application should be approved within this window. Once certified, register in SAM.gov and the Dynamic Small Business Search (DSBS) to be visible to federal procurement officers. Attend an NVSBC matchmaking event.
Ongoing: Reapply to StreetShares quarterly. Check Hello Alice monthly for new veteran grants. Attend veteran business networking events in your state. Pursue at least one government contract bid per quarter once SDVOB-certified.
The bottom line
The funding landscape for veteran entrepreneurs in 2026 is deeper than it has ever been. Between SBA Veterans Advantage loans with waived fees, private grants from StreetShares and Hello Alice, angel investment from Hivers and Strivers, franchise discounts through VetFran, and state programs in all 50 states, a veteran who applies strategically can access tens of thousands of dollars in subsidized or free funding, plus preferential access to government contracts worth far more. The key is starting with your DD-214 and a VBOC meeting. From there, your advisor will map a funding path tailored to your specific business, location, and service record. If you have a service-connected disability, SDVOB certification should be your top priority, it unlocks sole-source contracts and set-asides that represent the single most valuable financial benefit available to any small business owner in America. For additional funding programs beyond veteran-specific ones, see our federal grants for startups guide and our grant proposal writing guide for application strategies.