Non-dilutive funding is financing that does require any sales of your shares, so it does not dilute the value of existing shares or equity. In other words, it allows you to keep your company equity in place. Non-dilutive funding protects your equity and profits while giving you a financial boost to accomplish your goals. It may seem like a choice has to be made between grant funding and other funding, but that’s not the case! 

How is grant funding complementary to equity?

  • For venture-backed companies, grant funding can fund another program to grow your pipeline.
  • For seed-stage companies, grant funding allows you to deliver progress and preliminary data in advance.
  • If you’re still trying to find the right venture or equity partner, non-dilutive grant funding lets you wait for the right fit instead of rushing into something for the funds. It lets you stay in control.
  • Grant funding allows you to diversify your funding sources. This is crucial to long-term success!
  • Grant funding pays for the most expensive capital without diluting value, providing the cash you need to pay for development and growth.

How to Access Non-Dilutive Grant Funding

Government research grants from NIH and government-industry grants like SBIR offer non-dilutive funding that can impact your company’s equity in a good way. Grant Engine works to assist our clients in winning grants from a wide variety of funding programs offering non-dilutive grants, matching our clients with the funding programs that best suit their business needs.

These grants can fund areas like salaries and consumables, commercialization efforts, and of course, research and development including clinical trials and design. The end goal of these grants is to get a product into the market. This then improves the value and equity of your business. By using non-dilutive funding to get your business off the ground, you sell less equity at the start which improves your share of equity later on when your business is successful, and you are considering selling shares.

As a proven partner in grant-winning, Grant Engine improves the likelihood of your company or organization accessing non-dilutive funding through these programs. Some business leaders focus on dilutive funding because it seems easier to obtain, but we can walk you through the complexities of grant applications to help you navigate the process with great results.

Please feel free to contact Grant Engine to answer any further questions you may have

Please call (650) 937-9164, email greatscience@grantengine.com, or click here.