Protecting Your Business: How to Identify Grant Scams

Security Alert: Protecting Your Business from Grant Fraud

As business grants have become more vital, "Grant Scams" have become more sophisticated. In 2026, AI-generated emails and fraudulent websites that mimic official government portals (like the SBA) are used to target vulnerable entrepreneurs looking for capital.

The Golden Rule: Grants are Free to Apply

If anyone asks for an upfront "processing fee," "insurance payment," or "security deposit" to release grant funds, it is a scam. Legitimate federal and private grants never require a payment to apply or to receive the money.

Verification Checklist

• Check the URL: Official US government sites always end in .gov.
• Verify on Grants.gov: Every official federal grant is listed in the central Grants.gov database. If it isn't there, proceed with extreme caution.
• No unsolicited phone calls: Government agencies will not call you out of the blue to tell you that you’ve "won" a grant you never applied for.