Best grants for veteran-owned businesses in 2026: military entrepreneur funding guide
Veterans start businesses at nearly twice the rate of the general population, yet face unique challenges in accessing capital — from gaps in credit history during service to difficulty translating military experience into bankable business plans. In 2026, dozens of grant programs, training initiatives, and non-dilutive funding sources exist specifically for veteran entrepreneurs. This guide covers every significant program, from the SBA's Boots to Business pipeline to private foundations like StreetShares and Hivers and Strivers. For general small business grants that veterans also qualify for, see our complete grants guide.
💰 Best direct grant: StreetShares Foundation Hero Award ($15,000)
⚡ Best for startups: Warrior Rising (incubator + funding up to $250,000)
🎯 Best for angel investment: Hivers and Strivers ($250,000–$1M, veteran-founded startups)
Understanding veteran business funding in 2026
There's an important distinction to make upfront: true grants (free money with no repayment) for veteran businesses are relatively rare compared to other programs marketed as "veteran grants" that are actually preferential loans, training programs, or contracting advantages. All of these are valuable, but knowing the difference helps you set realistic expectations and plan your funding strategy.
The veteran business ecosystem includes: direct cash grants (relatively few, but growing); free business training and mentorship programs (the SBA Boots to Business pipeline); preferential SBA loans (lower rates, relaxed requirements); federal contracting set-asides (Service-Disabled Veteran-Owned Small Business program); veteran-focused angel investors and venture capital; and state-specific veteran business programs. The most successful veteran entrepreneurs use a combination of all of these.
To qualify for most veteran-specific programs, you'll need proof of military service — typically a DD-214 form for separated veterans or current military ID for active duty. Service-Disabled Veteran-Owned Small Business (SDVOSB) certification through the VA opens additional doors, including federal contracting set-asides and some grant programs restricted to service-disabled veterans.
Veterans should also explore non-veteran-specific grants to maximize their funding. Our women-owned business grants guide covers programs open to military spouses, while our grants for Black-owned businesses includes programs that many minority veterans qualify for. For tech-focused veteran entrepreneurs, our startup grants guide covers SBIR/STTR programs that provide up to $1.5 million in non-dilutive funding. For help with applications, our grant proposal writing guide provides templates for every section, and our grant writing software comparison can help you track multiple applications.
Comparison: top veteran business grants and programs
| Program | Amount/Value | Type | Eligibility | Application |
|---|---|---|---|---|
| SBA Boots to Business | Free training + capital access | Training/Pipeline | Transitioning service members, veterans, spouses | Open enrollment |
| StreetShares Foundation Hero Award | $15,000 | Grant | Veteran, active duty, military spouse business owners | Quarterly |
| Warrior Rising | Up to $250,000 (incubator) | Incubator + Funding | Veteran entrepreneurs; application required | Rolling |
| Hivers and Strivers | $250,000–$1,000,000 | Angel Investment | Veteran-founded startups; early stage | Pitch required |
| National Veteran-Owned Business Association | Varies (training + contracts) | Training/Networking | Veteran business owners; membership | Open enrollment |
| VetFran | Franchise fee discounts (50-100%) | Discount/Grant | Veterans interested in franchising | Through participating franchises |
| Bob Woodruff Foundation | Grants to vet-serving orgs | Grant (indirect) | Nonprofits serving veterans | Annual |
| Veteran Business Outreach Centers | Free counseling and training | Services | Veterans, service members, spouses | Open enrollment |
| SBA OVBD Entrepreneurship Bootcamp | Free MBA-level training | Training | Service-disabled veterans | Annual cohorts |
| First Data/Fiserv Salute to Service Award | $5,000 + marketing | Grant | Veteran-owned businesses | Annual |
Detailed reviews: top veteran business grants
1. SBA Boots to Business — best starting point for all veteran entrepreneurs
Boots to Business is the SBA's flagship entrepreneurship training program for veterans. It's offered as part of the Department of Defense's Transition Assistance Program (TAP) at military installations worldwide, but it's also available to veterans who have already separated. The program begins with a two-day introduction to entrepreneurship course, followed by an eight-week online foundations course, and then connects participants to SBA resource partners including Small Business Development Centers (SBDCs), SCORE mentors, and Veterans Business Outreach Centers (VBOCs).
While Boots to Business itself doesn't provide direct funding, it's the gateway to the SBA's full range of capital access programs. Graduates are connected to SBA-guaranteed loan programs including the SBA Express Loan (up to $500,000 with streamlined approval for veterans), the SBA 7(a) loan with reduced fees for veterans, and the SBA Microloan program (up to $50,000). The program also connects veterans to local grant opportunities and angel investor networks.
2. StreetShares Foundation Veteran Small Business Award
The StreetShares Foundation Hero Award distributes $15,000 quarterly to veteran-owned and military spouse-owned businesses. The award is a true grant — no repayment, no equity. Applications involve a brief business description, a short essay on your military service and business connection, and a public voting component. Winners are selected based on a combination of community votes and judge evaluation.
What makes StreetShares particularly valuable beyond the cash is the community engagement. The voting process generates publicity for your business, and past winners report significant increases in customer awareness and sales even before receiving the grant money. The StreetShares lending platform also offers preferential loan rates to veteran-owned businesses, providing additional capital access beyond the grant program.
3. Warrior Rising — best incubator for veteran startups
Warrior Rising is a nonprofit incubator specifically designed for veteran entrepreneurs. The program provides business planning support, mentorship from successful veteran business owners, access to a network of veteran-friendly investors, and direct funding through the Warrior Rising Venture Fund, which invests up to $250,000 in qualifying veteran-owned businesses.
The incubator model is more intensive than a simple grant — participants go through a structured program that includes market validation, financial modeling, pitch development, and investor readiness assessment. Not all participants receive funding, but those who do get both capital and ongoing mentorship that significantly reduces the risk of business failure. The program accepts applications on a rolling basis and operates virtually, making it accessible to veterans nationwide.
4. Hivers and Strivers — angel investment for veteran founders
Hivers and Strivers is an angel investment group composed of graduates of the U.S. Military Academies (West Point, Naval Academy, Air Force Academy) who invest exclusively in startups led by veteran founders. Typical investments range from $250,000 to $1,000,000, and the group has invested in sectors ranging from technology to consumer products to defense services.
While technically an investment (not a grant), Hivers and Strivers deserves inclusion here because it's one of the very few sources of significant early-stage capital reserved exclusively for veteran founders. The group's military background means they understand the unique skills veterans bring to entrepreneurship — leadership, discipline, risk management — and evaluate businesses accordingly. To pitch, submit your business plan through the Hivers and Strivers website.
5. VetFran — franchise fee discounts for veterans
VetFran is a program of the International Franchise Association that connects veterans with franchise opportunities offering discounted franchise fees. Over 650 franchise brands participate, offering discounts ranging from 10% to 100% of the initial franchise fee. For a franchise with a $50,000 fee, a 50% VetFran discount effectively functions as a $25,000 grant.
Notable participating franchises include Dunkin', 7-Eleven, Anytime Fitness, SERVPRO, and hundreds of others. Some franchises also offer additional support including financing assistance, training, and ongoing mentorship for veteran franchisees. Browse participating franchises at VetFran.org.
Federal contracting advantages for veteran businesses
While not grants, federal contracting set-asides represent one of the most valuable financial advantages available to veteran-owned businesses. The federal government has a goal of awarding 3% of all federal contracts to Service-Disabled Veteran-Owned Small Businesses (SDVOSBs) — representing billions of dollars annually.
To access these set-asides, you need to get your SDVOSB certification through the VA's Center for Verification and Evaluation (CVE). The certification process takes 60-90 days and requires documentation of your service-connected disability rating, business ownership, and operational control. Once certified, you can access sole-source contracts up to $5 million (for manufacturing) or $4 million (for other contracts) — meaning the government can award these contracts directly to your business without competitive bidding.
Veteran-owned businesses without service-connected disabilities can still access federal contracting preferences through the Vets First Contracting Program at the VA, which prioritizes all veteran-owned businesses for VA contracts.
Many federal grants for veterans are listed on Grants.gov — see our complete Grants.gov walkthrough for registration and search instructions. Veterans interested in agriculture should explore our USDA agriculture grants guide, as the USDA gives priority to veteran farmers across many programs. For nonprofit veteran-serving organizations, our nonprofit grants guide covers additional funding sources.
State-level veteran business programs
Most states have their own veteran business assistance programs, many of which include grant components. Notable examples:
California: The California Department of Veterans Affairs Disabled Veteran Business Enterprise (DVBE) program provides preferential access to state contracts and connects veterans to the CalVet Business Fee Waiver program, which waives state business fees for veteran entrepreneurs.
Texas: The Texas Veterans Commission's Veterans Entrepreneur Program provides business planning assistance, mentorship, and connections to local grant programs. The state's Historically Underutilized Business (HUB) program includes preferences for veteran-owned businesses in state contracting.
New York: The Division of Veterans' Services connects veteran entrepreneurs to the Empire State Development programs, including grants through the Excelsior Jobs Program for job creation.
Florida: The Florida Department of Veterans' Affairs partners with the Florida SBDC Network to provide free business counseling, and the state's Veterans Florida Entrepreneurship Program provides a structured training curriculum and direct connections to funding sources.
Virginia: The Virginia Department of Veterans Services Veteran Entrepreneur Transition program provides structured mentorship and connects veterans to the Virginia Small Business Financing Authority's loan and grant programs.
For detailed state-specific programs, see our guides for Ohio small business grants and California small business grants — both states have dedicated veteran tracks. Our top 10 small business grants for 2026 also includes several programs well-suited to veteran-owned businesses. Veterans pursuing education or training can explore our education grants guide for additional funding. For skill-building courses that strengthen grant applications, EduBracket's free course guide lists business and finance courses. Amazon FBA sellers who are veterans can find specialized tool reviews at BagEngine's FBA tools guide.
Who should pursue veteran business grants
- Veterans of any branch and era with a business idea or existing business
- Service-disabled veterans (additional programs and contracting preferences)
- Military spouses (many programs include spouse eligibility)
- Veterans interested in franchising (VetFran discounts are substantial)
- Transitioning service members (start Boots to Business before separation)
- Don't limit yourself to veteran-only programs — also apply for general small business grants
- Beware of predatory "veteran grant" services that charge upfront fees — legitimate programs are free
- If you need capital fast, SBA Express loans (up to $500K with fee waivers for veterans) are faster than grants
Are there grants specifically for service-disabled veterans?
Can military spouses apply for veteran business grants?
Do I need to have served in combat to qualify?
What's the fastest way to get funding as a veteran entrepreneur?
Bottom line
Veteran entrepreneurs have more funding resources available than most realize. Start with SBA Boots to Business for free training and network access, apply for the StreetShares Hero Award quarterly, and explore VetFran if franchising interests you. If you have a service-connected disability, SDVOSB certification should be your top priority — the federal contracting advantages alone are worth billions collectively. Don't limit yourself to veteran-only programs though — also apply to general small business grants and startup funding programs.